Latest U.S. Regulatory Insight

FinCEN, OCC, and OFAC Assess Record BSA/AML Penalties Against Bank of America

On October 13, 2026, U.S. regulators imposed coordinated enforcement actions against Bank of America totaling $1.2 billion for willful Bank Secrecy Act violations, reckless sanctions failures, and deficient transaction monitoring, driven in part by a flawed automated correspondent-banking routing system.

OCC and Federal Reserve Levy Parallel BSA/AML Enforcement Actions Against American Express

The OCC and Federal Reserve Board have issued parallel enforcement actions against American Express, including a $350 million penalty and a mandatory SAR look-back, citing systemic BSA/AML failures and $13 billion in unreported suspected trade-based money laundering.

SEC Proposes Crypto Asset Custody Framework for Investment Advisers and Regulated Funds

The SEC's proposed crypto custody framework would conditionally permit adviser self-custody when no qualified custodian is available, subject to strict operational conditions including dual-authorization and independent accountant review, while formally authorizing state-chartered trust companies as eligible custodians.

Federal Banking Agencies and NCUA Propose Comprehensive Overhaul to Third-Party Risk Management Guidance

The Federal Reserve, FDIC, OCC, and NCUA have jointly proposed a risk-tailored, third-party risk management framework to replace the 2023 interagency guidance, formally incorporating credit unions for the first time and introducing dedicated relief for community institutions.

SEC Proposes Rescission of Rule 14a-8 Governing Shareholder Proposals

The SEC has proposed rescinding Rule 14a-8 under the Exchange Act, which would leave the governance of shareholder proposals principally to state corporate law and company governing documents if adopted; in the interim, Rule 14a-8 remains in full legal effect despite the staff discontinuation of Rule 14a-8 no-action responses.

SEC Proposes Complete Rescission of Investment Adviser "Pay-to-Play" Rule

The SEC has proposed the outright rescission of Rule 206(4)-5, aiming to eliminate the strict-liability two-year compensation ban on investment advisers managing government capital following political contributions.

SEC Charges 38 Entities for Exploiting Exempt Reporting Adviser Status in Fraudulent Form ADV Sweep

The SEC has charged 38 entities in federal court for filing fraudulent Forms ADV as Exempt Reporting Advisers, exploiting unreviewed public filings and fabricated auditor disclosures to feign regulatory legitimacy to retail investors.

SEC Charges Three Former Tricolor Executives With Fraud Following $1.9 Billion Subprime Auto Lender Collapse

The SEC charged three former Tricolor Holdings executives with orchestrating a multi-year scheme to double-pledge subprime auto loan collateral and falsify loan performance data, underscoring the risks of relying on self-certified servicing data without independent verification.

FinCEN Permanently Ends CTA Beneficial Ownership Reporting for U.S. Persons

The Financial Crimes Enforcement Network (FinCEN) issued a final rule permanently rolling back Corporate Transparency Act reporting requirements for domestic entities and U.S. persons, effective August 14, 2026.

Record $125 Million FinCEN Penalty Against UBS Signals End of Patience for Repeat AML Failures

FinCEN has assessed a record $125 million civil penalty against UBS Financial Services for repeat Bank Secrecy Act violations, highlighting aggressive regulatory action against uncorrected transaction monitoring failures and deficient wealth management due diligence.

SEC Approves FINRA Capital Formation Rule Amendments to Streamline Offerings

The SEC has approved FINRA’s amendments to Rules 5110 and 5123, providing member firms with critical operational relief by expanding private placement filing exemptions and simplifying underwriting compensation valuation.

Federal Banking Agencies Enhance Security Protocols for Highly Sensitive Examination Data

To protect confidential supervisory information from cybersecurity risks, federal banking agencies have adopted a coordinated framework prioritizing on-site document reviews and pledging a 72-hour notification window for material data breaches.

SEC Proposes Regulation E-Delivery to Modernize Investor Communications

The SEC's proposed Regulation E-Delivery modernizes investor communications by establishing electronic delivery as the default method for mandatory securities disclosures, shifting financial institutions to an opt-out framework that requires proactive operational adjustments and the preservation of physical paper fallback options.

Regulatory Update: SEC Expands Five-Business-Day Framework for Debt Tender and Exchange Offers

The SEC’s new exemptive order replaces the old no‑action regime with a formal, expanded five‑day framework that materially changes how issuers can structure debt tenders and exchanges.

U.S. Supreme Court Ruling in Sripetch v. SEC on Disgorgement Authority

U.S. Supreme Court rules that the SEC is not required to prove that investors suffered actual financial loss to obtain a disgorgement award in civil enforcement actions.

Latest CDN Regulatory Insight

Privacy Commissioner of Canada Updates Guidance on Call Recording and Voiceprints

The Office of the Privacy Commissioner of Canada (OPC) has updated its long-standing call-recording guidance, reaffirming that voiceprints are sensitive biometric data and clarifying that generic “quality assurance” notices cannot establish valid consent for biometric enrollment, voice authentication, or customer profiling.

FATF Mutual Evaluation Validates Canada's AML Regime; Ottawa and FINTRAC Build on Existing Reforms With New Enforcement Data and Resource Expansion

The Financial Action Task Force (FATF) has placed Canada in its top-tier "regular follow-up" category, and FINTRAC has responded with a record $247 million enforcement year and a 60% supervisory budget increase, building on reforms Ottawa already had underway, including the incoming Financial Crimes Agency and a proposed crypto ATM ban.

CSA Updates National Policy 11-207 to Remove Obsolete Dual FFCTO Procedures

Effective December 7, 2026, the CSA has updated National Policy 11-207 to strip out procedural language for "Dual" failure-to-file cease trade orders that has been obsolete since Ontario's automatic reciprocation regime took effect in 2023.

Federal Government Proposes "Productivity Mega Deduction" for Capital Investments

The Canadian federal government has proposed a permanent, immediate 100% tax write-off for qualifying depreciable capital property and development expenses acquired on or after September 15, 2026, subject to the legislative process.

CSA Implements "Access Equals Delivery" Model for Financial Statements (NI 51-102)

Effective September 22, 2026, the CSA's final amendments to NI 51-102 will allow non-investment fund reporting issuers to satisfy financial statement delivery obligations electronically via SEDAR+ and a news release.

CSA and CIRO Guidance Excludes Sports and Entertainment Event Contracts from Securities and Derivatives Regulation

The CSA and CIRO have issued guidance clarifying that event contracts based on sports and entertainment outcomes fall outside securities and derivatives legislation, leaving them to provincial gaming and gambling regulation.

CIRO Sanctions Scotia Securities Over Firm-Wide Complaint-Handling and Supervisory Failures

CIRO sanctioned Scotia Securities Inc. for firm-level control gaps spanning complaint intake through supervisory investigation, underscoring that regulators treat the full complaint pipeline as a single compliance obligation.

SCC Landmark Decision on Digital Evidence Destruction & Spoliation (SS&C v. BNY Mellon)

The Supreme Court of Canada has modernized digital evidence rules, imposing severe penalties and mandatory adverse inferences for destroyed electronic records.

Bill C-36 Proposes Overhaul of Canada's Federal Privacy Framework

The Canadian government has tabled Bill C-36, which seeks to replace PIPEDA with a modernized and highly prescriptive privacy regime featuring new compliance requirements and significant enforcement penalties.

CSA Clarifies Compliance Standards for the Listed Issuer Financing Exemption

Canadian securities regulators have issued updated guidance on the Listed Issuer Financing Exemption, clarifying listing prerequisites, continuous‑disclosure default restrictions, and available‑funds requirements for exempt offerings.

OSFI Issues Guidance Outlining Sound Practices for Generative and Agentic AI Risk Management

A break down OSFI’s newly issued sound practices for managing the escalating data, software, and third-party risks introduced by generative and autonomous agentic AI in financial institutions.

Modernizing Securities Disclosure: Understanding the CSA’s New Access Model for Continuous Disclosure Documents

The Canadian Securities Administrators (CSA) finalized a voluntary "access equals delivery" regime for non-investment fund issuers, launching September 22, 2026.

Canada’s Proposed Foreign Influence Transparency Regulations

Canada’s proposed Foreign Influence Transparency regulations introduce sweeping registration requirements for businesses and advisory firms engaging with foreign state-linked clients.