Comments due on false FDIC coverage ads proposal
The FDIC has issued a proposed rule implementing its statutory authority to prohibit any person or organization from making misrepresentations about FDIC deposit insurance or misusing the FDIC’s name or logo. This statutory authority allows the FDIC to bring formal enforcement actions, such as cease and desist orders or civil money penalties, against individuals or entities for violations.
The proposed rule describes the process by which the FDIC would identify and investigate potential violations, and the procedures it would follow, when formally and informally enforcing the statutory prohibitions. The proposed rule would also create a central point-of-contact where the public could report or make inquiries about potential violations.
Comments on the proposed rule will be accepted for 60 days after publication in the Federal Register.
- FDIC press release
- UPDATE on publication and comment period: Scheduled for publication on 5/10/2021, with comments due by 7/9/2021