On September 4, the Federal Reserve Board (Fed) released enforcement actions against a Texas-based bank, addressing regulatory violations and compliance lapses.Continue Reading Fed Issues Cease and Desist Order for Crypto-Related Compliance and Risk Management Deficiencies
On a July 19, the Federal Reserve Board announced it has issued a consent order against a Utah-based bank and its parent company for engaging in unfair and deceptive acts and practices in violation of Section 5(a)(1) of the FTC Act, as well as for having a faulty consumer compliance risk management program. In addition to the consent order, the Federal Reserve imposed a $44 million fine.Continue Reading Fed Cracks Down on Utah Bank for Alleged Compliance Failures with $44 Million Fine
On June 14, the Federal Reserve Board (Fed) released a cease and desist order against an Arkansas-based banking-as-a-service (BaaS) provider for compliance and risk management failures. As part of the order, the bank is prohibited, without prior approval, from (i) establishing any new fintech partners, subsidiaries, business lines, products, programs, services, or program managers, or (ii) offer new products, programs, or services to an existing fintech partner, program manager, or subsidiary.Continue Reading Federal Reserve Board Issues Cease and Desist Order Against Banking-As-A-Service Provider
On January 19, the Federal Reserve Board (FRB) and New York Department of Financial Services (NYDFS) each issued orders settling an action against a large global bank for alleged BSA/AML violations and other compliance failures. The FRB issued a cease and desist order with a $2.4 million civil money penalty, while the NYDFS issued a consent order with a $30 million civil money penalty.Continue Reading Federal Reserve and NYDFS Penalize Large Global Bank for BSA/AML and Other Compliance Failures
On January 20, the Federal Reserve (Fed) released a much-anticipated discussion paper examining the pros and cons of a potential U.S. central bank digital currency (“CBDC”). To fully evaluate a potential CBDC, the Fed asks for public comment on more than 20 questions. Comments will be accepted for 120 days and can be submitted here.
Continue Reading Federal Reserve Examines Pros and Cons of a Central Bank Digital Currency