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General Regulations of the Superintendent > Superintendents Regulations: Information Subject to Confidential Treatment Under Section 36.10 of the Banking Law
Short Summary
This legal document governs the disclosure of confidential supervisory information under section 36.10 of the Banking Law. It applies to regulated entities, legal counsel, independent auditors, affiliates, directors, officers, and employees. The general rule is that a regulated entity cannot disclose any confidential supervisory information without prior written approval from the department. However, there are exceptions to this rule. A regulated entity may disclose confidential supervisory information to legal counsel or an independent auditor without prior written approval, provided that they acknowledge the confidentiality of the information and agree to abide by the prohibition on dissemination. Similarly, a regulated entity may disclose such information to independent auditors as part of their acceptance of a new client engagement or continuation of an existing annual audit engagement, with written acknowledgement and agreement. Additionally, a regulated entity may disclose confidential supervisory information to its affiliates and their directors, officers, and employees for business purposes, as long as confidentiality is maintained. The document also outlines the duty to notify the Office of the General Counsel when served with a request for confidential supervisory information and the actions the department may take in response. It allows for disclosure to government agencies with approval. The possession of confidential supervisory information does not waive the department’s right to control its subsequent use and dissemination. The purpose of this document is to provide clarity and guidance on the treatment of confidential supervisory information within the banking industry.
Whom does it apply to?
Regulated entities, legal counsel, independent auditors, affiliates, directors, officers, and employees
What does it govern?
Disclosure of confidential supervisory information
What are exemptions?
Regulated entities may disclose confidential supervisory information to legal counsel or an independent auditor without prior written approval, provided they acknowledge the confidentiality and agree to abide by the prohibition on dissemination. Similarly, disclosure to independent auditors is allowed as part of their acceptance of a new client engagement or continuation of an existing annual audit engagement, with written acknowledgement and agreement. Regulated entities may also disclose confidential supervisory information to their affiliates and their directors, officers, and employees for business purposes, as long as confidentiality is maintained. Disclosure to government agencies is permitted with approval.
What are the Penalties?
No specific penalties are mentioned in the document.
Jurisdiction
New York