Appeals of Material Supervisory Determinations: Guidelines & Decisions
SARC-95-06 (October 19, 1995)
The Supervision Appeals Review Committee (Committee) of the Federal Deposit Insurance Corporation (FDIC), on October 17, 1995 considered the appeal of the Compliance Rating of [Bank A] (formerly [Bank B]), (Bank) submitted by you on behalf of the board of directors of that institution. The Compliance Rating was issued pursuant to the FDIC Compliance Examination Report as of April 10, 1995.
The Committee concluded that the Composite 3 Compliance Rating is appropriate given the violations cited at the examination and the Banks deficiencies in its compliance program at the time of the examination. The examination report satisfactorily illustrates the condition of the Bank as of April 10, 1995, taking into consideration the compliance performance of the Bank since the previous examination. It is FDICs policy and practice, in determining any enforcement action against an institution as a result of examination findings, to give positive consideration to corrective measures implemented by the institution during the examination. The Committee noted that the Bank appears to have taken appropriate corrective actions to address the violations cited. The committee also noted the Banks potential for greater improvement in its overall compliance program in light of Parent purchase of this institution. However, the basis for the rating was correct at the time the examination was conducted.
As communicated to you previously by our New York Regional Office, we are planning a follow-up compliance examination of Bank in the very near future.
The determination of the Committee is considered a final supervisory decision by the FDIC.
By direction of the Committee of the FDIC.