Skip to main content
Menu Icon Menu Icon

InfoBytes Blog

Financial Services Law Insights and Observations

FDIC releases July enforcement actions, including breaches of fiduciary duty and FDPA violations

Federal Issues FDIC Enforcement Flood Insurance Flood Disaster Protection Act

Federal Issues

On August 25, the FDIC announced a list of administrative enforcement actions taken against banks and individuals in July. The 10 orders include “two orders that combined a prohibition order and order to pay CMP; one combined personal consent order and order to pay CMP; four prohibition orders; one order modifying a prohibition order; one order of termination of deposit insurance; and one order to pay CMP for pattern or practice violations of the Flood Disaster Protection Act.” The FDIC assessed a civil money penalty against a North Dakota-based bank for alleged violations of the Flood Disaster Protection Act and the National Flood Insurance Act including providing or extending loans secured by a building or mobile home situated in or intended for placement within an area with a recognized risk of flooding, without promptly notifying the borrower and/or the servicer about the availability of flood insurance for the asset.