Top Regulator Caught in Bank Crisis Squeeze Play : Congress: Robert L. Clarke’s renomination has been delayed by the Senate Banking Committee chairman.

Comptroller of the Currency Robert L. Clarke is fast becoming the most visible symbol of the growing political strains between Congress and the White House over the banking crisis.

After six months of holding up Clarke’s renomination as the nation’s chief banking regulator, Sen. Donald W. Riegle Jr. (D-Mich.), chairman of the Senate Banking Committee, has finally agreed in principle to start formal consideration of the appointment.

But Riegle is refusing to begin hearings until the General Accounting Office completes a major new investigation of the collapse of the Bank of New England--a report that may not be released for weeks or months.

Now, that report may be delayed even longer by Riegle’s insistence that the GAO also investigate the failure of the Washington-based Madison National Bank, which collapsed earlier this year amid charges that its directors were making sweetheart loans to one another.

Some say Riegle’s reluctance stems from his annoyance over having been targeted as one of the “Keating Five” senators.

Riegle’s new demands have led to growing friction between Riegle and the Administration, as well as with Republicans on the Senate Banking Committee.

Staffers for Sen. Phil Gramm (R-Tex.) say Gramm had been led to believe that Riegle would be willing to begin hearings on Clarke as early as mid-July, and they now feel that any further delay will represent a breach of Riegle’s promise.

Riegle aides insist that he will wait for the GAO report before scheduling Clarke’s hearing, and that report may be delayed by the additional request for information about Madison.

Administration sources say the GAO report is not likely to be completed by mid-July. “I know GAO doesn’t think it can get it done that fast,” one source said. Now, the Administration fears Clarke’s nomination will be pushed back until the fall.

Riegle’s staffers argue that the delays over Clarke’s nomination have resulted from policy disputes over the Bank of New England, and, more broadly, the banking crisis generally.

“If you look at his (Clarke’s) record . . . he is a deregulator,” said one Riegle aide. “He has favored forebearance” for weak banks. “His record is worrisome.”

But Riegle’s critics charge that the chairman is simply lashing out at an easy target in response to his bitterness over having been targeted as one of the Keating Five senators who were investigated for their ties to Charles H. Keating Jr. and his failed Lincoln Savings & Loan.

They say Riegle, still licking his wounds from the Keating Five case, may be trying to prove his willingness to get tough in the current bank crisis. “I think maybe Riegle wants to say, ‘I’m a tough chairman,’ ” said one. “And maybe he feels that way more because of Keating.”

Riegle is apparently not be the only one on the banking panel willing to make an issue of Clarke’s nomination. The banking crisis hit during his watch, and Clarke will have tough questions to answer--if he ever gets his hearing.

“I think there will be some grave reservations expressed by a number of senators about the qualifications of this nominee,” a committee staffer said.