FDIC Incorporates Convicted Individuals Participation Policy

The FDIC issued a final rule incorporating an existing Statement of Policy for Section 19, which includes requirements for convicted individuals, into the Federal Deposit Insurance Act.  Section 19 of the Federal Deposit Insurance Act requires that individuals that have been convicted of certain criminal offenses must get written consent before contributing to a depository institution’s actions and affairs.  The FDIC is incorporating the existing Statement of Policy to increase transparency about the regulation and to provide information for individuals who are impacted by the regulations as well as for insured depository institutions.  The change will be effective on September 21, 2020.