#2021-7, February 26, 2021

Bill to Address Corporate Diversity Introduced in Senate

Sen. Bob Menendez (D-NJ) recently introduced a corporate diversity bill similar to one passed last year in the House. The Improving Corporate Governance through Diversity Act requires public companies to disclose the self-reported racial, ethnic, and gender composition and veteran status of their board members, board nominees, and executive officers annually.  The measure also mandates that firms report whether they have adopted policies or strategies to promote board and executive diversity.

In addition, the bill requires the Treasury Department’s director of the office of minority and women inclusion to report annually to the Securities and Exchange Commission (SEC) on best practices and compliance and establish a diversity advocacy group that would report to Congress on the status of corporate diversity.  Senator Elizabeth Warren (D) is one of several cosponsors of the bill.

To read Senator Menendez’s press release, click here.

Regulators Propose Call Report Revisions

Last week, the Federal Financial Institutions Examination Council (FFIEC) proposed a series of temporary revisions to the Call Report to provide relief to banks with under $10 billion in assets that have seen increases in assets due to pandemic-related programs.  The proposed changes will allow banks to use the lesser of the total consolidated assets reported in its Call Report as of December 31, 2019, or June 30, 2020, when determining whether the institution has crossed certain total asset thresholds to report additional data items in its Call Reports for report dates in 2021.

Specifically, the changes include the $5 billion threshold for limiting eligibility to use the FFIEC 051 version of the Call Report, and the $100 million, $300 million, $1 billion, and $10 billion thresholds for reporting certain additional data items in the Call Reports. This relief expires after 2021.

To read more, click here.

FinCEN Issues Fraud Advisory on Economic Impact Payments

Earlier this week, the Financial Crimes Enforcement Network issued an advisory regarding fraud related to the federal economic impact payments.  The advisory details several types of EIP fraud, red flags, and the appropriate way to report this activity.

According to FinCEN, a wide range of EIP-related fraud has been detected, including fraudulent checks, theft of EIPs and phishing schemes using EIPs as a lure where fraudsters use emails, letters and phone calls about the payments to get personal information like account numbers and passwords.  FinCEN also issued a companion notice for filing suspicious activity reports related to COVID-19.

To read the advisory, click here.

New York Fed Hosting DEI Webinar on March 1

On Monday, the Federal Reserve Bank of New York is hosting a webinar on March 1 at 9:00 a.m. regarding diversity, equity and inclusion, as part of a series focusing on culture.  New York Fed President John Williams will open the webinar with a panel discussion following his remarks.

To read more and register, click here.