OCC Adjusts Civil Money Penalties

OCC BULLETIN 2019-2

To: Chief Executive Officers of All National Banks and Federal Savings Associations; Federal Branches and Agencies of Foreign Banks; Department and Division Heads; All Examining Personnel; and Other Interested Parties

Description: Notice Adjusting Civil Money Penalties for 2019 

Summary

On December 27, 2018, the Office of the Comptroller of the Currency (OCC) published in the Federal Registerthe attached notice to adjust the maximum amount of each civil money penalty (CMP) within its jurisdiction pursuant to the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015 (2015 Adjustment Act). The adjusted maximum penalties became effective as of January 1, 2019, for violations occurring on or after November 2, 2015.

Note for Community Banks

The OCC may exercise its discretion to impose inflation-adjusted maximum CMPs on any national bank or federal savings association, if appropriate.

Highlights

The notice updates the inflation-adjusted maximum CMPs that the OCC may impose, using the inflation adjustment required under the 2015 Adjustment Act, as provided by the Office of Management and Budget (OMB) in OMB Memorandum M-19-04 issued on December 14, 2018. This revision does not affect the OCC’s discretion to assess a CMP in an amount lower than the maximum allowed.

Background

The 2015 Adjustment Act requires federal agencies with CMP authority to annually adjust each CMP authorized by law that the agency has jurisdiction to administer, in accordance with the guidance published by the OMB. Agencies must adjust their CMPs no later than January 15 of each year and publish those adjustments in the Federal Register.

Further Information

Please contact Lee Walzer, Counsel, Chief Counsel’s Office, at (202) 649-5490.

 

Bao Nguyen
Principal Deputy Chief Counsel

There are two sizable tables – one for national banks, one for federal savings associations – which delineate the maximum penalties depending on the type of violation and the institution size, in the Federal Register Notice.

Links:

OCC Notice

Federal Register Notice of Inflation Adjustments for Civil Money Penalties

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