Key Highlights
Sanctions risks. OFAC sanctioned a virtual currency mining company and its Russian subsidiaries stating that sales of the mining capacity help Russia to monetize its natural resources commercial bank; OFAC also sanctioned a privately-owned commercial bank and a Russian oligarch and entities and individuals related to him. (See KPMG Regulatory Alert, here.)
Fairness. CFPB and FTC advocated extending the protections of the FDCPA to small businesses through Congressional action.
Investigations and enforcement. IRS, banking regulators and inspectors general offices are investigating business-card sales and reward programs; CFPB initiated a lawsuit against a money transmitter as part of its focus on “repeat offenders;” OCC issued a consent order against a crypto currency bank related to BSA/AML compliance.
Financial services regulatory and policy news
Banking
- Interagency (FRB, OCC, FDIC, IRS):
- Are investigating a large credit card company for business-card sales and reward practices, including tax-related guidance and marketing
- OCC:
- Provided remarks on Expanding Access to Homeownership for Minorities
- Issued a consent order against a crypto currency bank related to BSA/AML compliance
- CFPB:
- Published reports on medical billing challenges and financial challenges facing rural communities
- Submitted its annual report to Congress on the Fair Debt Collection Practices Act (FDCPA)
- Issued blogs on higher education institutions that withhold transcripts from students in order to collect education-related debt and debt collection protections for consumers and small businesses
- Initiated a lawsuit against a remittance transfer provider for alleged repeat violations of consumer protection laws
Capital Markets
- FINRA:
- Reminded firms of their sales practice obligations for alternative mutual funds
Other
- Administration:
- Provided updates on Russia and Ukraine
- Treasury:
- Issued remarks at the Coalition of Finance Ministers for Climate Action; referenced the Coalition’s report
- FinCEN issued an advisory on kleptocracy and foreign public corruption
- OFAC:
- Designated Russian entities and individuals involved in attempts to evade sanctions imposed by the United States and its international partners
- Issued Russia related General License 27 and fact-sheet on food and humanitarian sanctions authorizations
- Housing and Urban Development (HUD):
- Issued guidance on marketing and application requirements for subsidized multifamily properties
- Announced the addition of a 40-year mortgage modification option for mortgage servicers
- Department of Justice:
- Issued remarks on combating elder abuse at the at the Elder Justice Decision-Making Capacity Symposium
- NY DFS:
- Announced guidance to expand access to low-cost bank accounts
- FSB:
- Published a letter to G20 outlining the financial stability issues arising from Russia’s invasion of Ukraine
Industry news headlines
(Some links may require subscription)
- Wall Street’s deal-making boom starts to sputter out (WSJ)
- SEC cyber rule could trigger more attacks, experts warn (Risk.net)
- Shields Up: U.S. Officials preparing for potential Russian cyberattacks (CBS News)
- Why the OCC is creating fintech supervision specialists (American Banker)
- Biden aims to expand access to student-loan debt forgiveness for millions of people (WSJ)
- FATF to evaluate countries Anti-Money-Laundering systems more frequently (WSJ)
- High-risk payments are proving harder for banks to avoid (American Banker)
- Prosecution of NY lender marks shift in PPP enforcement (JPSupra)
- The Science Based Targets Initiative launches net-zero targets for financial institutions (Banking Exchange)
- Banking sector grapples with patent aggression lawsuits (American Banker)
- Senate Banking Chair: FinTechs pose increased risk to consumers (Business Insider)
- Rising Rates Threaten Companies Acquired in LBO Boom (WSJ)
- New York Is Battleground for Crypto Mining Fight (WSJ)
