[Federal Register Volume 89, Number 8 (Thursday, January 11, 2024)]
[Notices]
[Pages 1917-1919]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-00409]


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FEDERAL DEPOSIT INSURANCE CORPORATION

RIN 3064-ZA40


Notice of Inflation Adjustments for Civil Money Penalties

AGENCY: Federal Deposit Insurance Corporation.

ACTION: Notice of monetary penalties 2024.

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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, 2024, for 
conduct occurring on or after November 2, 2015.

FOR FURTHER INFORMATION CONTACT: Graham N. Rehrig, Counsel, Legal 
Division, 703-314-3401, [email protected]; 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, 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

[[Page 1918]]

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-24-07, Implementation of Penalty Inflation 
Adjustments for 2024, Pursuant to the Federal Civil Penalties 
Inflation Adjustment Act Improvements Act of 2015 4 (Dec. 19, 2023), 
https://www.whitehouse.gov/wp-content/uploads/2023/12/M-24-07-Implementation-of-Penalty-Inflation-Adjustments-for-2024.pdf (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 19, 2023, 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 2023 for FDIC-supervised 
institutions and other parties subject to the FDIC's jurisdiction to 
calculate the maximum amount of CMPs that may be assessed by the FDIC 
in 2024.\5\ There were no new statutory CMPs administered by the FDIC 
during 2023.
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    \4\ See OMB Guidance at 1 (providing an inflation multiplier of 
1.03241).
    \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, 2024--the effective date of the 2024 
annual adjustments--under 12 CFR part 308, for conduct occurring on or 
after November 2, 2015:
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    \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 $153-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.

                   Maximum Civil Money Penalty Amounts
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                                  Current maximum   Adjusted maximum CMP
       U.S. Code citation           CMP (through       \6\ (beginning
                                 January 14, 2024)    January 15, 2024)
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12 U.S.C. 1464(v):
    Tier One CMP \7\...........             $4,745                $4,899
    Tier Two CMP...............             47,454                48,992
    Tier Three CMP \8\.........          2,372,677             2,449,575
12 U.S.C. 1467(d)..............             11,864                12,249
12 U.S.C. 1817(a):
    Tier One CMP \9\...........              4,745                 4,899
    Tier Two CMP...............             47,454                48,992
    Tier Three CMP \10\........          2,372,677             2,449,575
12 U.S.C. 1817(c):
    Tier One CMP...............              4,339                 4,480
    Tier Two CMP...............             43,377                44,783
    Tier Three CMP \11\........          2,168,915             2,239,210
12 U.S.C. 1817(j)(16):
    Tier One CMP...............             11,864                12,249
    Tier Two CMP...............             59,316                61,238
    Tier Three CMP \12\........          2,372,677             2,449,575
12 U.S.C. 1818(i)(2): \13\
    Tier One CMP...............             11,864                12,249
    Tier Two CMP...............             59,316                61,238
    Tier Three CMP \14\........          2,372,677             2,449,575
12 U.S.C. 1820(e)(4)...........             10,846                11,198
12 U.S.C. 1820(k)(6)...........            390,271               402,920
12 U.S.C. 1828(a)(3)...........                148                   153
12 U.S.C. 1828(h): \15\
    For assessments <$10,000...                148                   153
12 U.S.C. 1829b(j).............             24,793                25,597
12 U.S.C. 1832(c)..............              3,446                 3,558
12 U.S.C. 1884.................                345                   356
12 U.S.C. 1972(2)(F):
    Tier One CMP...............             11,864                12,249
    Tier Two CMP...............             59,316                61,238
    Tier Three CMP \16\........          2,372,677             2,449,575
12 U.S.C. 3909(d)..............              2,951                 3,047
15 U.S.C. 78u-2:
    Tier One CMP (individuals).             11,162                11,524

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    Tier One CMP (others)......            111,614               115,231
    Tier Two CMP (individuals).            111,614               115,231
    Tier Two CMP (others)......            558,071               576,158
    Tier Three CMP                         223,229               230,464
     (individuals).............
    Tier Three CMP (others)....          1,116,140             1,152,314
15 U.S.C. 1639e(k):
    First violation............             13,627                14,069
    Subsequent violations......             27,252                28,135
31 U.S.C. 3802.................             13,508                13,946
42 U.S.C. 4012a(f).............              2,577                 2,661
------------------------------------------------------------------------


------------------------------------------------------------------------
                                        Current            Adjusted
                                    presumptive CMP     presumptive CMP
          CFR citation             (through January   (beginning January
                                       14, 2024)           15, 2024)
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12 CFR 308.132(e)(1)(i):
    Institutions with $25
     million or more in assets.
        1 to 15 days late.......  $651..............  $672.
        16 or more days late....  1,302.............  1,344.
    Institutions with less than
     $25 million in assets.
        1 to 15 days late \17\..  218...............  225.
        16 or more days late      433...............  447.
         \18\.
12 CFR 308.132(e)(1)(ii):
    Institutions with $25
     million or more in assets.
        1 to 15 days late.......  1,084.............  1,119.
        16 or more days late....  2,168.............  2,238.
    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       institution's
                                   total assets.       total 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)............  47,454............  48,992.
12 CFR 308.132(e)(3):
    Tier One CMP................  4,745.............  4,899.
    Tier Two CMP................  47,454............  48,992.
    Tier Three CMP \19\.........  2,372,677.........  2,449,575.
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Federal Deposit Insurance Corporation.

    Dated at Washington, DC, on January 8, 2024.
James P. Sheesley,
Assistant Executive Secretary.
[FR Doc. 2024-00409 Filed 1-10-24; 8:45 am]
BILLING CODE 6714-01-P