How many of these are present in your organization?
1.No cybersecurity training for employees
How many of these are present in your organization?
1.No cybersecurity training for employees
While uncertainty surrounds the U.S. economy at present, America’s banks remain healthy and prepared to support the communities they serve, said American Bankers Association President and CEO Rob Nichols today during an online forum discussing recent economic conditions and longer-term outcomes.
“It’s a challenging moment for the U.S. economy, with inflation running at its highest level in a generation, hitting every American in their wallet. We continue to suffer supply disruptions due to the lingering effects of the pandemic and the Russian aggression in Ukraine,” Nichols said, adding that the Federal Reserve has been working to slow demand by raising interest rates and plans to do so until inflation is under control.
As lawmakers attempt to reconcile the House and Senate versions of the America Competes Act, the Conference for State Bank Supervisors today advocated for the SAFE Banking Act to be included in the final version of the bill. The ABA-backed provision—which would enable banks to serve legitimate cannabis businesses in states where it is legal—was included in the House version of the Competes Act.
CSBS noted that allowing cannabis businesses to access banking services would help reduce risk, increase public safety and facilitate tax collection, among other things. “By granting a safe harbor for financial institutions, Congress can bring regulatory clarity to the financial services industry, address public safety concerns and ensure access to financial services for state-compliant marijuana and marijuana-related businesses,” said CSBS Acting President and CEO James Cooper.
It is with great sadness that we announce that John W. Ryan, President and Chief Executive Officer of CSBS, died unexpectedly late Monday in Washington, D.C.
“On behalf of the CSBS Board of Directors, executive team, staff and membership, we extend our deepest sympathies to John’s family and everyone who knew and worked with John over his more than 30-year career. John was an inspirational and humble leader who brought incredible dedication, intellect and passion to CSBS, the state regulatory system and financial services more broadly,” said Melanie Hall, Chair of the CSBS Board of Directors.
Last Friday, the Treasury Department issued its 2022 strategy for combating terrorist financing and other illicit funding.
Recent risk assessments highlighted threats posed by the abuse of legal entities, the complicity of professionals that misuse their positions or businesses, small-sum funding of domestic violent extremism networks, the effective use of front and shell companies in proliferation finance, and the exploitation of the digital economy. To combat these issues, the Treasury’s strategy identifies four priorities to address the most significant illicit finance threats to the U.S. financial system.
Haley joined the SDBA on Monday, May 9. She grew up in Vivian, S.D., on a 4th generation farming and ranching operation. She always felt as though she was missing out on what the “town kids” got to do. But looking back now, she wouldn’t have it any other way because of the appreciation she gained over the years for the beautiful wide-open spaces and lessons learned on the family farm. “I found a love for all animals, but especially horses and had the typical love/hate relationship with my only comrades in the country, my brother and sister,” Haley said. “My grandparents only lived two miles down the road, so the closeness allowed for a special bond to be formed with them.”
Outside of work, Haley enjoys spending time with her family, friends, and her rescue dog, Dax, and enjoys travelling and exploring new places. She likes to be out in God’s creation and one of her favorite places to go is the Black Hills. In her free time, Haley also reads or listens to audiobooks and podcasts.
On Monday, American Bankers Association and a coalition of financial services groups called for extensive changes to a proposal by the Securities and Exchange Commission that would create new requirements for public companies regarding the disclosure of cybersecurity incidents. Among other things, the SEC would amend Form 8-K to require that registrants “disclose information about a material cybersecurity incident within four business days after the registrant determines that it has experienced a material cybersecurity incident.”
Among other things, the groups called for changes to the timing of disclosure to “four business days after the registrant has reasonably determined that the cybersecurity incident is no longer ongoing, and that public disclosure of the incident will not seriously jeopardize the security of the registrant,” emphasizing that the current proposal’s requirements lack “sufficient regard for the security risks and harms that such disclosures may pose in certain circumstances.”
The banking sector is among the most prepared industries to combat fraud, corruption and illicit activity, according to a recent report. According to the results of a recent survey of more than 1,330 senior risk-strategy decision-makers across multiple industries, 84% of respondents in the banking sector reported they had conducted an internal investigation in the last three years—more than any other sector surveyed. In addition, 89% of respondents in the banking sector reported their organization had been significantly affected by serious misconduct—the second highest behind travel and tourism.
The report, conducted by risk and compliance technology firm Kroll, noted that the costs associated with investigating fraud and illicit activity have increased, particularly for organizations with revenue of more than $15 billion. The survey also indicated that risk professionals believe that some investigative services firms fail to deliver value, suggesting that many external providers may not employ the most up-to-date technology to find relevant information in massive volumes of structured and unstructured data.
In a significant move yesterday, the Federal Reserve announced that it will increase the target range for the federal funds rate to 0.75 to 1%, and signaled that “ongoing increases in the target range will be appropriate.”
“Assuming that economic and financial conditions evolve in line with expectations, there is a broad sense on the committee that additional 50 basis point increases should be on the table at the next couple of meetings,” Fed Chairman Jerome Powell said in a press conference following the announcement, though he noted that 75 basis point hikes were not currently being contemplated by the Fed. “We will make our decisions meeting by meeting, as we learn from incoming data and the evolving outlook for the economy.”
Bitcoin exchange Binance's move to participate in Elon Musk's $44 billion takeover of Twitter could boost digital currency evangelists' hopes for the development of a more "decentralized," crypto-friendly social media platform.
Binance plans to invest $500 million in equity funding as part of a $7 billion financing pledge to support the Tesla CEO's bid to buy Twitter. Oracle co-founder Larry Ellison and venture capital firm Sequoia are among the other investors involved.
As more states allow some form of cannabis legalization, small businesses, banks and the communities they serve continue to be stuck in the middle of the divide between state and federal cannabis law. Congress has an opportunity to do something about it by passing the SAFE Banking Act, which would provide state-licensed cannabis businesses with a transition into the regulated banking system. The SAFE Banking Act has passed the U.S. House six times with strong bipartisan support and it’s now being considered for inclusion as part of the broader COMPETES Act.
The House and Senate are actively working out differences in the COMPETES Act and are expected to vote on it in the coming weeks. Write to your members of Congress today and ask them to weigh-in in favor of including the SAFE Banking Act in the final COMPETES bill. Learn more here.
The following is from Jim Edman, CISA Cybersecurity Advisor for South Dakota
From the desk of long-time listener, first time submitter Andrew J. Ogan, a call recorded with a group of scammers in India. The investigator does a great job of identifying and frustrating the scammers over the phone. It’s a 14-minute video but he does a good job of explaining each step along the way on his call. The initial scam is in regards to an expired Norton anti-virus subscription with the ultimate goal of the scammers to empty his bank account. Unfortunately, far too many Americans fall for these types of scams. https://youtu.be/j0c_I7MWB1U
Join North and South Dakota bankers, June 14-15, for an incredible convention in Bismarck, as the community celebrates 150 years. We will be reminded in all of the best ways why we do what we do, why we do it together, and why we are grateful to make a difference in our hometowns throughout the Dakotas. A dynamic convention program awaits with many top-of-mind topics: leadership, employee retention, the economy, cryptocurrency and cybersecurity. The challenges of today create opportunities for tomorrow. As generations before us blazed trails, let’s gather together and continue to shape the future. Onward!
The full schedule and registration information can be found here.
The SDBA has a scholarship available to students who are entering their first year at GSB. The total value of the scholarship if $4,500 or $1,500 for each year of attendance. Click here for full details and to apply for the scholarship. Click here to learn more about GSB, July 31-August 12, 2022 and to register.
The following tip was provided by our friend, Jim Edman, CISA Cybersecurity Advisor for South Dakota.
We spend a majority of time talking about the software and hardware vulnerabilities and related aspects of cybersecurity. It’s important that we remember the physical aspects also. Though we are a small state and considered by some to be somewhat geographically isolated, a critical aspect of cybersecurity continues to be the physical aspects. Reports surfaced this week of Russian nationals attempting to gain access to critical infrastructure facilities across the country. Recommendations for in-person and voice I/T support include:
The Federal Reserve, FDIC and OCC will host a joint “Ask the Regulators” webinar on Thursday, April 28 at 1 p.m. CDT on the recently finalized computer security notification rule, which has a compliance deadline of May 1.
Webinar participants can email questions in advance to [email protected], and questions submitted prior to April 20 will receive priority for responses by panelists. The webinar will also be made available for future viewing. Register for the webinar.