|

Billion-Dollar Bank Failure: $65 Million Civil Penalty for Failing to Keep Proper Risk Controls

If operational risk failures can happen to a bank with a US200 million dollar asset base, what about your bank?

Why are we so comfortable (normalized deviance, confirmation bias, or availability bias?) with the internal controls of our banks in the Caribbean? 

“The Office of the Comptroller of the Currency announced on Wednesday that the bank is required to take “broad and comprehensive corrective actions” to strengthen its internal practices.

The OCC found that City National “engaged in unsafe or unsound practices” related to the management of operational risk, strategic risk, investment management practices and compliance”….

READ FULL ARTICLE

Similar Posts

| | |

A New Variant Discovered: Maybe Leaders Should Be Looking at People’s Resilience Under Pressure

ByKen Hackshaw

If the one of the greatest risks to any organization is their people (decision makers/employee) risk, why then are we not putting more emphasis on mitigating that risk, especially given the new construct of employee engagement deployed because of and during the pandemic. Think: WFH, hybrid work hours, stress management etc.

An Example of Why Strategic Plans Must Be Agile…

ByKen Hackshaw

As companies develop their strategic plans, I submit that agility must be one of the pillars of that plan. Companies must employ horizon scanning, using both a microscope and telescope to ensure they are looking at not only what is happening and immediate (what is close) but also what can happen (i.e., future-proofing) and what is farther away….

|

Managing Cybersecurity Risks: The Value of Enterprise Risk Management

ByKen Hackshaw

“The Office of the Attorney General and Ministry of Legal Affairs (AGLA) (Trinidad and Tobago) has detected a cyber-attack on its network. In a media release yesterday, The Ministry of Digital Transformation said that “This unauthorized and illegal access has negatively impacted operations at the AGLA and certain associated Divisions. Having taken actions to minimize…

|

Power Grid Attacks: Are We Concerned Yet?

ByKen Hackshaw

“Just three days before two electrical substations were shot up, causing tens of thousands of customers to lose power in North Carolina, the federal Department of Homeland Security issued a bulletin warning “lone offenders and small groups” could be plotting attacks and that the nation’s critical infrastructure was among the possible targets”… ABC News (USA) The…

|

Now We Know: Why Silicon Valley Bank Imploded or Failed…

ByKen Hackshaw

“The bank waited too long to address its problems and, ironically, the overdue actions it finally took to strengthen its balance sheet sparked the uninsured depositor run that led to the bank’s failure,” said Barr (Federal Reserve Vice Chair), adding that there was “inadequate” risk management and internal controls. The above questions apply to YOUR organization…