Federal regulators have been busy publishing newly updated
information, compliance evaluations and penalty amounts.
Below is a sampling of the latest news that may not make the
mainstream headlines but is important for financial institutions to have on
their radar:
FTC publishes civil money penalty adjustments
The Federal Trade Commission (FTC) recently published adjusted
maximum civil penalty dollar amounts for 16 legal violations the FTC enforces.
The FTC is required to adjust these amounts annually under the Federal Civil
Penalties Inflation Adjustment Act Improvements Act of 2015, which directs
agencies to implement annual inflation adjustments based on a prescribed
formula. The new maximum civil penalty amounts became effective upon
publication in the Federal Register on Jan. 10.
The agency increased the maximum penalty from $50,120 to
$51,744 for violations of Sections 5(l), 5(m)(1)(A), and 5(m)(1)(B) of the FTC
Act, Section 7A(g)(l) of the Clayton Act, and Section 525(b) of the Energy
Policy and Conservation Act. Max penalties increased from $659 to $680 for
violations of Section 10 of the FTC Act.
Violations of Section 814(a) of the Energy Independence and
Security Act of 2007 will have a maximum civil penalty of $1,472,546, up from
$1,426,319. The max penalties for other legal violations within the FTC’s
jurisdiction are listed in the Federal Register notice.
FFIEC updates UBPR balance sheet dollar page
The Federal Financial Institutions Examination Council’s (FFIEC)
task force on surveillance systems recently made changes to the Uniform Bank
Performance Report (UBPR) balance sheet dollar page, according to an
announcement by the council’s member agencies. The changes are part of a multiyear
review of the content provided on the page. Specifically, the task force plans
to add a new “Allowance for Credit Loss” (ACL) section with nine new reporting
items, five new deposit-related memorandum reporting lines, six new lines of “Real
Estate Loan” detail and other new or updates information. Read more here.
OCC releases CRA evaluations for 25 banks
The Office of the Comptroller of the Currency (OCC) recently
released a list of Community Reinvestment Act (CRA) performance evaluations
that became public between Dec. 1, 2023, and Dec. 31, 2023. The list is
comprised of national banks, federal savings associations and insured federal
branches of foreign banks. The possible ratings are outstanding, satisfactory,
needs to improve and substantial noncompliance. Eighteen banks were
rated satisfactory and seven were rated outstanding. The full list
can be found here.
FDIC publishes bank resolution plans for nine large banks
The Federal Deposit Insurance Corporation (FDIC) recently
released information about resolution plans submitted by nine large federally
insured domestic banks. Section 165(d) of Title I of the Dodd-Frank Act requires
insured depository institutions to submit resolution plans for the FDIC to use
in the event of a failure. The Federal Deposit Insurance Act stipulates these
plans must allow depositors timely access to their insured deposits, maximize
returns on the sale or disposition of assets, and minimize creditor losses.
Resolution plans are divided into public and confidential sections. The
publicly available sections can be found here.