Comerica Bank & Trust reaches formal agreement with US OCC over enforcement action
The US Office of the Comptroller of the Currency (OCC) has reached a formal agreement with Comerica Bank & Trust, National Association – the Michigan-based subsidiary of financial services firm Comerica Incorporated – over an enforcement action from the regulator relating to “unsafe or unsound practices, including those relating to the bank’s risk governance framework and internal controls”.
OCC and Comerica reach formal agreement
Comerica has agreed to create a compliance committee containing at least three members to “monitor and oversee the bank’s compliance with the provisions of this agreement”.
By 30 June, the bank must issue the regulator with “an acceptable written programme to provide the overall direction, oversight, and corporate governance of the bank”.
Comerica has also been ordered to provide the regulator with “an acceptable written plan to improve the bank’s asset management internal controls” along with a data management and management information systems plan, a financial accounting plan, a written internal audit program, a “written program to effectively assess and manage the risks posed by third-party relationships”, and “a written program to mitigate information technology (IT) asset end-of life (EOL) risk”.
“The provisions of this agreement shall remain effective and enforceable except to the extent that, and until such time as, such provisions are amended, suspended, waived, or terminated in writing by the OCC,” the order states.
A Comerica spokesperson tells FinTech Futures: “We take this agreement very seriously, and this effort is a top priority for Comerica Incorporated’s indirect subsidiary, Comerica Bank & Trust, N.A, which is a small, niche national bank separate and distinct from Comerica Bank.”
