Three bills – H.B. 2368, H.B. 2369, and H.B. 2370 –
that greatly expand the regulatory and enforcement tools available
to the Pennsylvania Department of Banking and Securities
("Department"), bring Pennsylvania law into compliance
with the Dodd-Frank Act and modernize, where necessary,
Pennsylvania's Banking Code, became effective on December 24,
2012. Key changes that institutions, credit unions, licensees, and
the officers, directors and employees of those entities should be
aware of:
Amendments to the Department of Banking and Securities
("DOBS") Code, 71 P.S. § 733-1 et seq.
1. Expanded enforcement authority of the
Department
H.B. 2369 amended the DOBS Code to grant the Department the
authority to impose a civil money penalty of up to $25,000 per
violation against an institution, or any of its officers,
employees, directors, or trustees for: (i) violations of any law or
Department order, (ii) engaging in any unsafe or unsound practice,
or (iii) breaches of
