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HOUSE_OVERSIGHT_024126

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In June 2011, FinCEN entered into an MOU with the Consumer Financial Protection Bureau (CFPB), which provides the CFPB direct electronic access to BSA information and analytical materials (e.g., analytical tools, BSA information reviews, etc.) as required and appropriate for the exercise of the CFPB's regulatory authority. In return, the CFPB, upon request, will provide reports on the results of its investigations or examinations and statistical information related to any inquiries to assist FinCEN in understanding and analyzing the value of BSA information. Enforcement Actions 27. What types of enforcement actions are available to regulators for addressing AML Compliance Program deficiencies and violations? Regulators have a range of enforcement tools available to address AML Compliance Program deficiencies and violations of AML laws and regulations. While enforcement actions against nonbanks have increased in recent years, the number of enforcement actions issued by bank regulators continues to outnumber those of other agencies, at least in the United States. Examples of enforcement actions available to U.S. bank regulators in order of severity are: e Commitment Letter: A Commitment Letter is an agreement between a bank's board of directors and a bank regulator in which the board, on behalf of a bank, agrees to take certain actions to address issues or concerns surfaced by the regulator. A Commitment Letter is not legally binding, but the failure of a bank to live up to the terms of the Commitment Letter may subject the bank to more formal regulatory action. e Memorandum of Understanding: A Memorandum of Understanding (MOU) is an agreement between a bank's board of directors and one or more regulatory agencies. The content of an MOU may be similar or identical to more formal enforcement actions, but MOUs are nonpublic documents and, similar to Commitment Letters, not legally binding. e Formal Agreements: A Formal Agreement is an agreement between a bank'

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