OCC Amends Enforcement Action Against Citibank, Assesses $75 Million Civil Money Penalty

WASHINGTON—The Office of the Comptroller of the Currency (OCC) today issued an amendment to its October 7, 2020, Cease and Desist Order against Citibank, N.A, Sioux Falls, South Dakota, related to deficiencies in enterprise-wide risk management, compliance risk management, data governance, and internal controls (2020 Order).

The amendment is based on the bank’s failure to meet remediation milestones and make sufficient and sustainable progress towards compliance with the 2020 Order. It was issued to ensure Citibank prioritizes the remediation work, including through the allocation of sufficient resources.

The amendment supplements but does not replace the 2020 Order, which remains in full force and effect.

“Citibank must see through its transformation and fully address in a timely manner its longstanding deficiencies,” said Acting Comptroller of the Currency Michael J. Hsu. “While the bank’s board and management have made meaningful progress overall, including taking necessary steps to simplify the bank, certain persistent weaknesses remain, in particular with regard to data. Today’s amendment requires the bank to refocus its efforts on taking necessary corrective actions and ensuring appropriate resources are allocated for this purpose.”

The OCC also assessed a $75 million civil money penalty against Citibank based on the bank’s violations of the 2020 Order and lack of processes to monitor the impact of data quality concerns on regulatory reporting.

The Federal Reserve Board took a separate but related action against Citigroup, the bank's holding company.

The OCC penalty will be paid to the U.S. Treasury.

Related Links

• Amendment to the October 7, 2020, Consent Order (PDF)
• Civil Money Penalty (PDF)
• October 7, 2020, Consent Order (PDF)