As was shared by lobbyists on Sunday, the Federal Reserve could have ended up retaining oversight of major banks across the country, which is currently holding firms, under a properly sketched regulatory reform plan that is being reviewed and considered by important Senators, but there are many important queries which have still not been answered.

In what seemed to be a retreat from a much bold and controversial proposal to streamline a bank regulatory system which seems to be disturbed, lawmakers were looking at possibly keeping the task of supervising companies like Citigroup and Bank of America with the Fed.

The lobbyists, however, stressed that it was still not clear if the Fed would be an "umbrella supervisor" under the plan, which is still in the works. Also, it was not clarified whether the Fed would continue to depend on other agencies for the detailed examination of banks and how many companies would be put under the Fed scrutiny.

Reform of regulations governing the banks seems to be a top domestic priority of President Barack Obama, who is now looking to "crack down" on banks and capital markets after the worst global financial crisis to hit the world after WW II.