Notice2022-00286

Notice of Inflation Adjustments for Civil Money Penalties

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
January 11, 2022

Issuing agencies

Federal Deposit Insurance Corporation

Abstract

The Federal Deposit Insurance Corporation is providing notice of its maximum civil money penalties as adjusted for inflation.

Full Text

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<title>Federal Register, Volume 87 Issue 7 (Tuesday, January 11, 2022)</title>
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[Federal Register Volume 87, Number 7 (Tuesday, January 11, 2022)]
[Notices]
[Pages 1411-1413]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-00286]


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FEDERAL DEPOSIT INSURANCE CORPORATION

RIN 3064-ZA29


Notice of Inflation Adjustments for Civil Money Penalties

AGENCY: Federal Deposit Insurance Corporation.

ACTION: Notice of monetary penalties 2022.

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SUMMARY: The Federal Deposit Insurance Corporation is providing notice 
of its maximum civil money penalties as adjusted for inflation.

DATES: The adjusted maximum amounts of civil money penalties in this 
notice are applicable to penalties assessed after January 15, 2022, for 
conduct occurring on or after November 2, 2015.

FOR FURTHER INFORMATION CONTACT: Graham N. Rehrig, Senior Attorney, 
Legal Division, (703) 314-3401, <a href="/cdn-cgi/l/email-protection#c6a1b4a3aeb4afa186a0a2afa5e8a1a9b0"><span class="__cf_email__" data-cfemail="076075626f756e604761636e6429606871">[email&#160;protected]</span></a>; Federal Deposit 
Insurance Corporation, 550 17th Street NW, Washington, DC 20429.

SUPPLEMENTARY INFORMATION: This notice announces changes to the maximum 
amount of each civil money penalty (CMP) within the Federal Deposit 
Insurance Corporation's (FDIC) jurisdiction to administer to account 
for inflation under the Federal Civil Penalties Inflation Adjustment 
Act of 1990 (1990 Adjustment Act),\1\ as amended by the Federal Civil 
Penalties Inflation Adjustment Act Improvements Act of 2015 (2015 
Adjustment Act).\2\ Under the 1990 Adjustment Act, as amended, federal 
agencies must make annual adjustments to the maximum amount of each CMP 
the agency administers. The Office of Management and Budget (OMB) is 
required to issue guidance to federal agencies no later than December 
15 of each year providing an inflation-adjustment multiplier (i.e., the 
inflation-adjustment factor agencies must use) applicable to CMPs 
assessed in the following year.
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    \1\ Public Law 101-410, 104 Stat. 890, codified at 28 U.S.C. 
2461 note.
    \2\ Public Law 114-74, sec. 701(b), 129 Stat. 599, codified at 
28 U.S.C. 2461 note.
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    Agencies are required to publish their CMPs, adjusted under the 
multiplier provided by the OMB, by January 15 of the applicable year. 
Agencies, like the FDIC, that have codified the statutory formula for 
making the CMP adjustments may make annual inflation adjustments by 
providing notice in the Federal Register.\3\
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    \3\ See Office of Mgmt. & Budget, Exec. Office of the President, 
OMB Memorandum No. M-22-07, Implementation of Penalty Inflation 
Adjustments for 2022, Pursuant to the Federal Civil Penalties 
Inflation Adjustment Act Improvements Act of 2015 4 (Dec. 15, 2021), 
<a href="https://www.whitehouse.gov/wp-content/uploads/2021/12/M-22-07.pdf">https://www.whitehouse.gov/wp-content/uploads/2021/12/M-22-07.pdf</a> 
(``OMB Guidance''); see also 12 CFR 308.132(d) (FDIC regulation that 
guides readers to the Federal Register to see the annual notice of 
CMP inflation adjustments).
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    On December 15, 2021, the OMB issued guidance to affected agencies 
on implementing the required annual adjustment, which guidance included 
the relevant inflation multiplier.\4\ The FDIC has applied that 
multiplier to the maximum CMPs allowable in 2021 for FDIC-supervised 
institutions to calculate the maximum amount of CMPs that may be 
assessed by the FDIC in 2022.\5\ There were no new statutory CMPs 
administered by the FDIC during 2021.
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    \4\ See OMB Guidance at 1 (providing an inflation multiplier of 
1.06222).
    \5\ Penalties assessed for violations occurring prior to 
November 2, 2015, will be subject to the maximum amounts set forth 
in the FDIC's regulations in effect prior to the enactment of the 
2015 Adjustment Act.
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    The following charts provide the inflation-adjusted maximum CMP 
amounts for use after January 15, 2022--the effective date of the 2022 
annual adjustments--under 12 CFR part 308, for conduct occurring on or 
after November 2, 2015:

                   Maximum Civil Money Penalty Amounts
------------------------------------------------------------------------
                               Current maximum CMP  Adjusted maximum CMP
     U.S. code citation       (through January 14,     \6\ (beginning
                                      2022)           January 15, 2022)
------------------------------------------------------------------------
12 U.S.C. 1464(v):
    Tier One CMP \7\........                $4,146                $4,404
    Tier Two CMP............                41,463                44,043
    Tier Three CMP \8\......             2,073,133             2,202,123
12 U.S.C. 1467(d)...........                10,366                11,011
12 U.S.C. 1817(a):
    Tier One CMP \9\........                 4,146                 4,404

[[Page 1412]]

 
    Tier Two CMP............                41,463                44,043
    Tier Three CMP \10\.....             2,073,133             2,202,123
12 U.S.C. 1817(c):
    Tier One CMP............                 3,791                 4,027
    Tier Two CMP............                37,901                40,259
    Tier Three CMP \11\.....             1,895,095             2,013,008
12 U.S.C. 1817(j)(16):
    Tier One CMP............                10,366                11,011
    Tier Two CMP............                51,827                55,052
    Tier Three CMP \12\.....             2,073,133             2,202,123
12 U.S.C. 1818(i)(2): \13\
    Tier One CMP............                10,366                11,011
    Tier Two CMP............                51,827                55,052
    Tier Three CMP \14\.....             2,073,133             2,202,123
12 U.S.C. 1820(e)(4)........                 9,476                10,066
12 U.S.C. 1820(k)(6)........               341,000               362,217
12 U.S.C. 1828(a)(3)........                   129                   137
12 U.S.C. 1828(h): \15\
    For assessments <                          129                   137
     $10,000................
12 U.S.C. 1829b(j)..........                21,663                23,011
12 U.S.C. 1832(c)...........                 3,011                 3,198
12 U.S.C. 1884..............                   301                   320
12 U.S.C. 1972(2)(F):
    Tier One CMP............                10,366                11,011
    Tier Two CMP............                51,827                55,052
    Tier Three CMP \16\.....             2,073,133             2,202,123
12 U.S.C. 3909(d)...........                 2,579                 2,739
15 U.S.C. 78u-2:
    Tier One CMP                             9,753                10,360
     (individuals)..........
    Tier One CMP (others)...                97,523               103,591
    Tier Two CMP                            97,523               103,591
     (individuals)..........
    Tier Two CMP (others)...               487,616               517,955
    Tier Three CMP                         195,047               207,183
     (individuals)..........
    Tier Three CMP (others).               975,230             1,035,909
15 U.S.C. 1639e(k):
    First violation.........                11,906                12,647
    Subsequent violations...                23,811                25,293
31 U.S.C. 3802..............                11,803                12,537
42 U.S.C. 4012a(f)..........                 2,252                 2,392
------------------------------------------------------------------------
\6\ The maximum penalty amount is per day, unless otherwise indicated.
\7\ 12 U.S.C. 1464(v) provides the maximum CMP amounts for the late
  filing of certain Call Reports. In 2012, however, the FDIC issued
  regulations that further subdivided these amounts based upon the size
  of the institution and the lateness of the filing. See 77 FR 74573,
  74576-78 (Dec. 17, 2012), codified at 12 CFR 308.132(e)(1). These
  adjusted subdivided amounts are found at the end of this chart.
\8\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.
\9\ 12 U.S.C. 1817(a) provides the maximum CMP amounts for the late
  filing of certain Call Reports. In 1991, however, the FDIC issued
  regulations that further subdivided these amounts based upon the size
  of the institution and the lateness of the filing. See 56 FR 37968,
  37992-93 (Aug. 9, 1991), codified at 12 CFR 308.132(e)(1). These
  adjusted subdivided amounts are found at the end of this chart.
\10\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.
\11\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.
\12\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.
\13\ These amounts also apply to CMPs in statutes that cross-reference
  12 U.S.C. 1818, such as 12 U.S.C. 2601, 2804(b), 3108(b), 3349(b),
  4009(a), 4309(a), 4717(b); 15 U.S.C. 1607(a), 1681s(b), 1691(b),
  1691c(a), 1693o(a); and 42 U.S.C. 3601.
\14\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.
\15\ The $137-per-day maximum CMP under 12 U.S.C. 1828(h), for failure
  or refusal to pay any assessment, applies only when the assessment is
  less than $10,000. When the amount of the assessment is $10,000 or
  more, the maximum CMP under section 1828(h) is 1 percent of the amount
  of the assessment for each day that the failure or refusal continues.
\16\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.


------------------------------------------------------------------------
                               Current presumptive  Adjusted presumptive
        CFR citation          CMP (through January     CMP (beginning
                                    14, 2022)         January 15, 2022)
------------------------------------------------------------------------
12 CFR 308.132(e)(1)(i):
    Institutions with $25
     million or more in
     assets:
        1 to 15 days late...  $569................  $604.
        16 or more days late  $1,137..............  $1,208.
    Institutions with less
     than $25 million in
     assets:
        1 to 15 days late     $190................  $202
         \17\.
        16 or more days late  $378................  $402.
         \18\.

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12 CFR 308.132(e)(1)(ii):
Institutions with $25
 million or more in assets:
        1 to 15 days late...  $947................  $1,006.
        16 or more days late  $1,894..............  $2,012.
    Institutions with less
     than $25 million in
     assets:
        1 to 15 days late...  1/50,000th of the     1/50,000th of the
                               institution's total   institution's total
                               assets.               assets.
        16 or more days late  1/25,000th of the     1/25,000th of the
                               institution's.        institution's
                              total assets........  total assets.
12 CFR 308.132(e)(2)........  $41,463.............  $44,043.
12 CFR 308.132(e)(3):
    Tier One CMP............  $4,146..............  $4,404.
    Tier Two CMP............  $41,463.............  $44,043.
    Tier Three CMP \19\.....  $2,073,133..........  $2,202,123.
------------------------------------------------------------------------
\17\ The maximum penalty amount for an institution is the greater of
  this amount or 1/100,000th of the institution's total assets.
\18\ The maximum penalty amount for an institution is the greater of
  this amount or 1/50,000th of the institution's total assets.
\19\ The maximum penalty amount for an institution is the lesser of this
  amount or 1 percent of total assets.


Federal Deposit Insurance Corporation.

    Dated at Washington, DC, on January 5, 2022.
James P. Sheesley,
Assistant Executive Secretary.
[FR Doc. 2022-00286 Filed 1-10-22; 8:45 am]
BILLING CODE 6714-01-P


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Indexed from Federal Register on January 11, 2022.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.