Legal Briefs

Consumer Financial Protection Bureau (CFPB)

The CFPB announced that it is taking nominations for the new Consumer Advisory Board. The board will provide insight and guidance as the CFPB moves forward. The CFPB is looking for diverse perspectives and innovative ideas from nominees with backgrounds in consumer protection, financial services, fair lending, civil rights, consumer financial products and services, or community development.

National Credit Union Administration (NCUA)

The NCUA has release Legal Opinion Letter 11-1211. The Legal Opinion Letter covers federal credit union separation and release agreement with former employees and contractually prohibiting the former employee/credit union member for running for the board of directors or serving on the supervisory committee.

The NCUA released Regulatory Alert 12-RA-01. The Regulatory Alert is to remind credit unions that submission of the 2011 Home Mortgage Disclosure (HMDA) data to the Federal Reserve Board is due by March 1, 2012.

Office of Foreign Assets Control (OFAC)

The OFAC SDN list was updated again. Last update: Feb. 23, 2012.

Internal Revenue Service (IRS)

The IRS has released a revised Form 941, which enables employers to properly report the newly extended payroll tax cut.

Financial Crimes Enforcement Network (FinCEN)

FinCEN has released an announcement that re-affirms that FinCEN reports are to be filed electronically starting July 1, 2012. The mandatory e-filing of reports includes currency transaction reports (CTRs) and suspicious activity reports (SARs). Note: this is not in reference to the new SAR and CTR forms that FinCEN is currently working on and will have in use by March 31, 2012.

FinCEN has also issued a reminder to financial institutions that are still filing paper reports to use the most current version of the various Bank Secrecy Act (BSA) reports. FinCEN must reject expired versions, and filers who submit expired paper reports will be notified and instructed to resubmit the correct version. Failure to properly file a BSA report may result in fines or penalties.

Finally, FinCEN is seeking comment on strengthening and clarifying customer due diligence requirements.

U.S. Securities and Exchange Commission (SEC)

The SEC has released proposed rules to help prevent and detect identity theft. The proposed rules will require SEC-regulated entities to adopt a written identity theft program that would include reasonable policies and procedures regarding identification of and response to red flags.


Questions? Contact the Compliance Hotline: 1.800.546.4465,

Posted in Advocacy News, Compliance News, NCUA.