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FinCEN has posted additions and updates to its FAQ page on the Beneficial Ownership Information Reporting requirements. Updated and added questions are dated October 3, 2024.

The FDIC has issued FIL-71-2024 with materials pertaining to the Call Report for the September 30, 2024, report date and guidance on certain reporting issues. The FIL and accompanying Supplemental Instructions should be shared with the individual(s) responsible for preparing the Call Report at your institution. Completed Call Reports must be received by Wednesday, October 30, 2024.

The Treasury Department yesterday reported that OFAC designated one individual and three companies that have facilitated weapons procurement and smuggling operations for Ansarallah, commonly known as the Houthis. This action targets key procurement operatives and suppliers located in Iran and the People’s Republic of China (PRC) that have enabled the Houthis to acquire dual-use materials and components needed to manufacture, maintain, and deploy an arsenal of advanced missiles and unmanned aerial vehicles (UAVs) against U.S. and allied interests.

Additionally, OFAC designated one entity and two vessels linked with illicit Houthi and Iranian commercial shipments, including one that has transported shipments for Houthi financial official Sa’id al-Jamal and an affiliate of Iran’s Armed Forces General Staff.

For the names and identification information of the designated individuals, entities and vessels, see yesterday's BankersOnline OFAC Update.

The FDIC, Federal Reserve Board, NCUA, OCC and state financial regulators have issued an interagency statement on supervisory practices regarding financial institutions affected by Hurricane Helene. These agencies recognize the serious impact of Hurricane Helene on the customers and operations of many financial institutions and will provide appropriate regulatory assistance to affected institutions subject to their supervision. The agencies encourage institutions operating in the affected areas to meet the financial services needs of their communities.

The statement addressed agency views on lending, temporary facilities, publishing requirements, regulatory reporting requirements, and potential CRA consideration for certain financial institutions' efforts.

For more information, refer to the Interagency Supervisory Examiner Guidance for Institutions Affected by a Major Disaster, which is available as follows:

• State Financial Regulators
• FDIC
• FRB
• OCC
• NCUA

The FDIC yesterday issued FIL-70-2024 with guidance to help financial institutions and facilitate recovery in areas affected by Hurricane Helene in Florida, Georgia, North Carolina, and South Carolina, on September 23, 2024, and continuing.

The OCC has released its bank supervision operating plan for fiscal year (FY) 2025. The plan outlines the OCC’s supervision priorities and objectives for the year. It also facilitates the implementation of supervisory strategies for individual national banks, federal savings associations, federal branches and agencies of foreign banking organizations, and third-party service providers subject to OCC examination. OCC staff uses this plan to guide its supervisory priorities, planning, and resource allocations.

Heightened focus areas include:

• Financial
  • Credit
  • Allowance for credit losses
  • Asset and liability management
  • Capital
  • Climate-related financial risks for banks with over $100 billion in total consolidated assets
• Operational
  • Cybersecurity
  • Enterprise change management
  • Operations
  • Third-party risks
  • Payments
• Compliance
  • Bank Secrecy Act/anti-money laundering/countering the financing of terrorism and Office of Foreign Assets Control
  • Consumer compliance
  • Community Reinvestment Act
  • Fair lending

The Treasury Department yesterday announced that OFAC was designating Hilltop Youth, a violent extremist group that has repeatedly attacked Palestinians and destroyed Palestinian homes and property in the West Bank.

The Treasury Department alsoreported that OFAC was designating seven individuals and two entities associated with the Russia-based cybercriminal group Evil Corp, in a tri-lateral action with the United Kingdom’s Foreign, Commonwealth & Development Office (FCDO) and Australia’s Department of Foreign Affairs and Trade (DFAT). Additionally, the U.S. Department of Justice has unsealed an indictment charging one Evil Corp member in connection with his use of BitPaymer ransomware targeting victims in the United States.

For identification information on the sanctioned individuals and entities, see BankersOnline’s October 1, 2024, OFAC Update.

On Friday, the Treasury Department announced OFAC actions to defend and protect U.S. campaign and government officials from Iranian attempts to interfere in U.S. elections. OFAC designated seven individuals as part of a coordinated U.S. government response to Iran’s operations that sought to influence or interfere in the 2024 and 2020 presidential elections.

For the names and identification information of the designated individuals, see Friday's BankersOnline OFAC Update.

The FDIC has issued guidance to help banks and facilitate recovery in areas of Georgia (FIL-68-2024) and Vermont (FIL-69-2024) affected by severe weather.

The FDIC his released a list of enforcement orders issued in August 2024.

• Comenity Bank, Wilmington, Delaware, and Comenity Capital Bank, Draper, Utah, each received an order to pay and agreed to pay a civil money penalty of $1 million after a finding, which the banks neither admit nor deny, that they engaged in unfair acts and practices in or affecting commerce in violation of Section 5 of the Federal Trade Commission Act related to reward programs and the processing of automatic payments matters resulting from the conversion from an internal core system platform to an external core system platform.
• Removal and prohibition orders were issued to:
  • Sammy Sims, former CFO of Eastern International Bank, Los Angeles, California (use of bank funds to purchase life insurance for bank employees without their knowledge, for which his wife received compensations as insurance broker)
  • Debra L. Poulsen, former officer and director of Ericson State Bank, Ericson, Nebraska (failure to report to directors misconduct of which she was aware, including repeated violations of Nebraska's legal lending limit, unsafe and unsound overdrafts, etc.)
  • Jackie L. Poulsen, former president and director of Ericson State Bank, Ericson, Nebraska (underwriting loans without appropriate documentation or risk mitigation, making loans "vastly exceeding" Nebraska's lending limit, failing to obtain real estate appraisals, etc.)
  • Patricia Jean Niemeyer, former cashier and director of Ericson State Bank, Ericson, Nebraska (aiding and abetting the actions of Jackie Poulsen).
  • Robert S. Catanzaro, former CEO and director of Independence Bank, East Greenwich, Rhode Island, for failing to implement and supervise appropriate oversight and management practices over the bank's SBA Small Loan Advantage lending program, causing the bank to suffer over $1.7 million in losses.