OFAC sanctions compliance; DOJ to evaluate corporate compliance program effectiveness; FINRA rule on firms with history of misconduct.
Financial services legislative and regulatory news
FINRA proposed a rule to impose additional obligations on firms with a significant history of misconduct.
The Federal Reserve proposed a rule to apply netting protections to a broader range of financial institutions.
The House of Representatives passed H.R. 1876, the Senior Security Act, which would create an SEC task force for senior issues; the bill now moves to the Senate.
A federal judge ruled the New York Department of Financial Services may proceed with its case to invalidate the OCC’s fintech charter. (American Banker).
Ginnie Mae considered changes to the eligibility requirements for its bond programs to address certain “abnormal prepayment patterns,” generally referred to as “churning.” (WSJ).
Financial services policy news
The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) released a framework for a sanctions compliance program; the framework applies to organizations subject to U.S. jurisdiction, or foreign entities operating in or with the U.S., U.S. persons, or using U.S.-origin goods and services.
The U.S. Department of Justice Criminal Division released new guidelines on evaluating the effectiveness of corporate compliance programs.
The CFTC released results for the third in a series of supervisory stress testing exercises for central counterparties (CCP) covering a reverse stress test of CCP resources and analysis of stressed liquidation costs.