Treasury

The fact that financial institutions increasingly are engaging in transactions involving digital assets has spurred federal agencies to speak up regarding additional compliance obligations that come with the territory.

The agencies detailed those obligations and the circumstances that trigger their applicability in a recent joint statement.

Find out more details about the new guidance on digital assets.

The financial industry, which has been clamoring for a modernized approach to Bank Secrecy Act/anti-money laundering (BSA/AML) compliance policies, has expressed support for a bipartisan bill recently introduced in the Senate.

The Illicit Cash Act (S. 2563), introduced by Sens. Mark Warner (D-Va.) and Tom Cotton (R-Ark.), would create a beneficial ownership registry within the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) to help eliminate illegal activities perpetrated by anonymous shell corporations.

Find out more details about the legislation.

One thing has become abundantly clear with regard to the prospect of reforming the county’s housing finance policy – Congress needs to act. However, that does not mean that regulators can only sit on their hands in the meantime.

Regulatory leaders tactfully noted during a recent Senate Banking Committee hearing that although there are actions they can take in the interim, their ability to act ultimately is limited by the willingness of Congress to reach a comprehensive bipartisan solution.

Get an in-depth look at how federal regulators plan to get the ball rolling.

At a time when the president is being criticized over Twitter comments he made about a group of freshman House representatives, two administration officials have been in the news for their roles in fair lending violations. 

A complaint filed by the California Reinvestment Coalition (CRC) alleged that, from 2014 to at least 2017, OneWest Bank/CIT Bank discriminated against minority borrowers. Treasury Department Secretary Steven Mnuchin and Comptroller of the Currency Joseph Otting are former top executives of OneWest Bank.

Learn more details about the matter.

Federal regulators recently outlined a new risk-based approach to assess banks for Bank Secrecy Act/anti-money laundering (BSA/AML) rule compliance as part of an ongoing effort to increase transparency regarding their supervisory process.

Through its risk-focused approach, the federal agencies and the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) said they intend to better tailor examination plans and procedures based on the unique risk profiles of individual banks in a joint statement.

Find out more about the new risk-based approach.

The Financial Crimes Enforcement Network (FinCEN) recently issued an updated advisory warning businesses about email schemes targeting businesses, which netted fraudsters more than $300 million a month in 2018.

Business email compromise schemes target businesses and their fund transfers through a variety of methods which continue to evolve, according to FinCEN.

Learn more about this type of fraud and how businesses can protect themselves.

The results of the Federal Reserve’s 2019 Dodd-Frank Act stress test (DFAST) indicated that the nation’s largest bank holding companies are well-equipped to handle a severe financial downturn should one occur.

The number of firms participating in the 2019 DFAST is roughly half the number that participated in 2018, thanks to the passage of the Economic Growth, Regulatory Relief, and Consumer Protection Act (EGRRCPA) in May 2018.

Find out more details about the first half of the latest stress test results.

Banks and credit unions have thrown support behind legislation proposing that the Financial Accounting Standards Board (FASB) put the brakes on implementation of its current expected credit loss (CECL) accounting standard and to conduct a quantitative study of its impact to capital and the economy.

Senate Banking Committee Member Thom Tillis (R-N.C.), introduced the “Stop and Study” bill, also known as the Continued Encouragement for Consumer Lending Act (S. 1564) in response to concerns expressed by various industry professionals.

Find out more details about the bill and the industry’s support for its passage.

Explaining how the Financial Crimes Enforcement Network’s (FinCEN) regulations apply to money transmission involving convertible virtual currencies, the agency’s new guidance is intended to consolidate existing regulations, administrative rulings and guidance rather than impose new ones.

The guidance specifically addresses the applicability of Bank Secrecy Act (BSA) regulations enforced by FinCEN relating to money services businesses (MSBs) apply to certain business models involving money transmission denominated in value that substitutes for currency, specifically, convertible virtual currencies (CVCs).

Find out more details about the topic.

Two measures proposing updates to Bank Secrecy Act/Anti-Money Laundering standards recently met with strong industry support.

The House Financial Services Committee voted unanimously to pass a measure proposing to index Currency Transaction Report thresholds for inflation. It also introduced a measure aiming to increase transparency and accountability among corporations and limited liability companies in the name of preventing fraud.

Find out details about what the bills propose to change.