Voglio sapere a riguardo di…

6880

Federal Register / Vol. 86, No. 14 / Monday, January 25, 2021 / Notices
Dated at Washington, DC, on January 19, 2021.
James P. Sheesley, Assistant Executive Secretary.
FR Doc. 202101543 Filed 12221; 8:45 am BILLING CODE 671401P

FEDERAL DEPOSIT INSURANCE
CORPORATION
RIN 3064ZA20

Guidelines for Appeals of Material Supervisory Determinations Federal Deposit Insurance Corporation.
ACTION: Notice of guidelines.
AGENCY:

The Federal Deposit Insurance Corporation has adopted revised Guidelines for Appeals of Material Supervisory Determinations to establish an independent office that would replace the existing Supervision Appeals Review Committee and to modify the procedures and timeframes for considering formal enforcementrelated decisions through the supervisory appeals process.
DATES: The new Guidelines for Appeals of Material Supervisory Determinations will become effective once the Office of Supervisory Appeals is fully operational.
SUMMARY:

FOR FURTHER INFORMATION CONTACT:

Sheikha Kapoor, Senior Counsel, Legal Division, 202 8983960, skapoor@
fdic.gov; James Watts, Counsel, Legal Division, 202 8986678, jwatts@
fdic.gov.

jbell on DSKJLSW7X2PROD with NOTICES

SUPPLEMENTARY INFORMATION:

On September 1, 2020, the Federal Deposit Insurance Corporation FDIC
published in the Federal Register for notice and comment proposed amendments to its Guidelines for Appeals of Material Supervisory Determinations Guidelines, which provide the process by which insured depository institutions IDIs may appeal material supervisory determinations made by the FDIC.1 The FDIC proposed to establish an independent office that would replace the existing Supervision Appeals Review Committee SARC and to modify the procedures and timeframes for considering formal enforcementrelated decisions through the supervisory appeals process. The comment period ended October 20, 2020, and the FDIC received fifteen comment letters. These comments and 1 85

FR 54377 Sep. 1, 2020.

VerDate Sep<11>2014

18:31 Jan 22, 2021

Jkt 253001

the FDICs responses are summarized below.
I. Background Section 309a of the Riegle Community Development and Regulatory Improvement Act of 1994
Riegle Act required the FDIC as well as the other Federal banking agencies and the National Credit Union Administration to establish an independent intra-agency appellate process to review material supervisory determinations.2 The Riegle Act defines the term independent appellate process to mean a review by an agency official who does not directly or indirectly report to the agency official who made the material supervisory determination under review. 3 In the appeals process, the FDIC is required to ensure that: 1 An IDIs appeal of a material supervisory determination is heard and decided expeditiously; and 2 appropriate safeguards exist for protecting appellants from retaliation by agency examiners.4
The Riegle Act defines material supervisory determinations to include determinations relating to: 1
Examination ratings; 2 the adequacy of loan loss reserve provisions; and 3
classifications on loans that are significant to an institution.5 Expressly excluded from this definition are decisions to appoint a conservator or receiver for an IDI or to take prompt corrective action pursuant to Section 38
of the Federal Deposit Insurance Act FDI Act, 12 U.S.C. 1831o.6 Finally, Section 309g of the Riegle Act expressly provides that the requirement to establish an appeals process shall not affect the authority of the Federal banking agencies to take enforcement or supervisory actions against an IDI.7
A. Structure of the Supervisory Appeals Review Committee On March 21, 1995, the FDICs Board of Directors Board adopted the Guidelines to implement Section 309a.
The Board, at that time, established the SARC to consider and decide appeals of material supervisory determinations.8
The SARC was initially comprised of five members: The FDICs Vice Chairperson as Chairperson of the SARC, the Director of the Division of Supervision DOS the predecessor to the Division of Risk Management Supervision RMS, the Director of the 2 12

U.S.C. 4806a.
U.S.C. 4806f2.
4 12 U.S.C. 4806b.
5 12 U.S.C. 4806f1A.
6 12 U.S.C. 4806f1B.
7 12 U.S.C. 4806g.
8 60 FR 15923 Mar. 28, 1995.
3 12

PO 00000

Frm 00019

Fmt 4703

Sfmt 4703

Division of Compliance and Consumer Affairs DCA the predecessor to the Division of Depositor and Consumer Protection DCP, the FDIC
Ombudsman, and the General Counsel.9
Consistent with the Riegle Acts mandate to create an intra-agency appeals process, membership in the SARC was limited to FDIC officials.10 In order to establish a fair and credible review process, the SARC was comprised of senior officials at the FDIC, including the Directors of DOS
and DCA, who were expected to bring to the Committee the necessary experience and judgment to make wellinformed decisions concerning determinations under review. 11 The Guidelines were subsequently amended to add the Director of the Division of Insurance as a voting member of the SARC, and to provide formally that the Directors of DOS and DCA would not vote on cases brought before the SARC
involving their respective divisions.12
In July 2004, the FDIC revised the Guidelines to change the structure and composition of the SARC to its current form. Specifically, the voting members of the SARC are now comprised of: One of the FDICs three inside directors who serves as the SARC Chairperson, and one deputy or special assistant to each of the other two inside directors.13 The FDICs General Counsel also serves as a non-voting member of the SARC. In the event of a vacancy, the Guidelines authorize the FDIC Chairperson to designate alternate members to the SARC, so long as the alternate member was not directly or indirectly involved in making or affirming the material supervisory determination under review. These changes were intended to avoid the potential conflicts then faced by the Ombudsman and Division Directors,14 and to further underscore the perception of the SARC as a fair and independent high-level body for review of material supervisory determinations within the FDIC. 15
In July 2017, the FDIC further revised the Guidelines to provide an opportunity for IDIs to appeal certain material supervisory determinations 9 60 FR 15923, 15930. Committee members could also designate another person to serve on their behalf.
10 60 FR 15923, 15924.
11 60 FR 15923, 15924.
12 69 FR 41479, 41480 July 9, 2004.
13 69 FR 41479, 41480.
14 69 FR 41479, 4148081. For example, the Ombudsman was excluded from the SARC in order to avoid any possible conflict between the Ombudsmans statutory role as a liaison between the agency and financial institutions on the one hand, and as a decision maker on the SARC on the other hand.
15 69 FR 41479, 41480.

E:FRFM25JAN1.SGM

25JAN1