Chief Risk Officer Enforcement and Accountability Act

This bill requires more banks to have a chief risk officer and a risk committee. Chief risk officers set limits on risky activities, watch for problems, and report issues to the risk committee, which oversees the bank's risk management. Currently, only large publicly traded bank holding companies must have these positions. The bill expands this requirement to large privately held bank holding companies and large banks without holding companies. Banks must tell regulators within 24 hours if their chief risk officer position becomes empty, and if it stays empty for 60 days or more, the bank cannot grow its assets beyond what it had when the position became vacant. The bill also lets the Federal Reserve require smaller bank holding companies to have these positions.

Your Vote