Banks are not required to check anything.
Suggest you contact the OCC rep and give him or her a chance to rephrase or recant. Bonnie's observation is good, the reference may have been limited to the particular audience; i.e. there is little practical value to reviewing loans consumated in the past against today's additions to the list.
Excuse me, I meant even less practical value than usual.
In this world you must be oh so smart or oh so pleasant. Well, for years I was smart. I recommend pleasant.