On October 25, 2016, the Financial Crimes Enforcement Network (FinCEN) issued an Advisory to financial institutions to (i) clarify reporting requirements under the Bank Secrecy Act (BSA) for filing Suspicious Activity Reports (SARs) on cyber-attacks and cyber-enabled crimes, (ii) note what information financial institutions should include in such reports, and (iii) encourage financial institutions to share information on cyber-attacks within the institution itself, with other banks, and with FinCEN and other regulators as appropriate.  The Advisory states that it is not designed to change current law.

Continue Reading FinCEN Issues Advisory on Suspicious Activity Reporting Requirements for Cyber-attacks Under the Bank Secrecy Act

On October 5, 2016, the Office of the Comptroller of the Currency (“OCC”) issued guidance to national banks, federal savings associations, and federal branches and agencies regarding their periodic evaluation of the risks related to foreign correspondent accounts.  The guidance appears aimed to address widely reported concerns that financial institutions are unnecessarily terminating relationships with foreign correspondent banks, particularly in high-risk jurisdictions, due to regulatory threats of anti-money laundering or terrorist financing (collectively, “AML”) violations.  In particular, the guidance encourages OCC-regulated institutions to take a risk-based and individualized approach to closing foreign correspondent accounts rather than terminating entire categories of relationships.

Continue Reading OCC Releases De-Risking Guidance for Foreign Correspondent Banking