OCC proposed to update and clarify licensing policies and procedures, eliminate unnecessary requirements consistent with safe, sound, and fair operation of the federal banking system, and make other technical and conforming changes. The proposal would make various changes to the Rules, Policies, and Procedures for Corporate Activities, codified under 12 CFR part 5. The amendments proposed by this notice of proposed rulemaking would apply to all national banks and federal savings associations, including community institutions. Comments on this proposal are due by May 04, 2020.
This notice of proposed rulemaking proposes the following changes, among others:
- Permit national banks and federal savings associations to elect to follow the procedures applicable to state banks or state savings associations, respectively, for certain business combination
- Add chief risk officer to the list of positions for which a bank in troubled condition must provide notice when making a change in personnel
- Make the definition of “well managed” consistent for all filing type
- Eliminate the filing requirement for federal savings associations that adopt without change the OCC model or optional bylaws
- Provide procedures for granting and revoking citizenship and residency waivers for national bank director
- Permit national banks to request approval for a reduction in capital over more than four quarters
- Change the definition of “troubled condition” for purposes of changes in directors and senior executive officers to align with OCC supervisory practices. The updated definition would specify that an enforcement action (a cease-and-desist order, consent order, or formal written agreement) must require the national bank or federal savings association to improve its financial condition for it to be considered in “troubled condition” solely as a result of the enforcement action
Comment Due Date: May 04, 2020
Keywords: Americas, US, Banking, Licensing Requirements, 12 CFR Part 5, Bank Licenses, OCC
Previous ArticleMAS Response to Parliamentary Question on Green Bond Grant Scheme
PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.
EBA published a report that sets out the final draft regulatory technical standards specifying the conditions according to which consolidation shall be carried out in line with Article 18 of the Capital Requirements Regulation (CRR).
EBA updated the list of other systemically important institutions (O-SIIs) in EU.
BCBS published two reports that discuss transmission channels of climate-related risks to the banking system and the measurement methodologies of climate-related financial risks.
UK Authorities (FCA and PRA) welcomed the findings of FSB peer review on the implementation of financial sector remuneration reforms in the UK.
PRA and FCA jointly issued a letter that highlights risks associated with the increasing volumes of deposits that are placed with banks and building societies via deposit aggregators and how to mitigate these risks.
MFSA announced that amendments to the Banking Act, Subsidiary Legislation, and Banking Rules will be issued in the coming months, to transpose the Capital Requirements Directive (CRD5) into the national regulatory framework.
EC finalized the Delegated Regulation 2021/598 that supplements the Capital Requirements Regulation (CRR or 575/2013) and lays out the regulatory technical standards for assigning risk-weights to specialized lending exposures.
OSFI launched a consultation to explore ways to enhance the OSFI assurance over capital, leverage, and liquidity returns for banks and insurers, given the increasing complexity arising from the evolving regulatory reporting framework due to IFRS 17 (Insurance Contracts) standard and Basel III reforms.
ECB published results of the benchmarking analysis of the recovery plan cycle for 2019.