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Failed Bank Executives Clawback Act

USA118th CongressS-1045| Senate 
| Updated: 5/17/2023
Elizabeth Warren

Elizabeth Warren

Democratic Senator

Massachusetts

Cosponsors (4)
Mike Braun (Republican)Catherine Cortez Masto (Democratic)Mark R. Warner (Democratic)Josh Hawley (Republican)

Banking, Housing, and Urban Affairs Committee

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
Failed Bank Executives Clawback Act This bill requires the Federal Deposit Insurance Corporation (FDIC) to claw back compensation paid to certain responsible parties when an insured depository institution is placed into FDIC receivership. Specifically, all or part of the compensation paid the previous five years to an institution-affiliated party responsible for the condition of the institution must be paid to FDIC to prevent unjust enrichment and to assure that the party bears losses consistent with their responsibility. Compensation includes salary, bonuses, awards, and profits from buying or selling securities. The bill also expands the authority of the FDIC to claw back compensation of parties responsible for financial losses incurred by a financial company regardless of the process by which FDIC is appointed receiver. Finally, the bill establishes that the creditors and shareholders of an insured depository institution's holding company are responsible for the losses when the institution is resolved by the FDIC.
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Timeline
Mar 29, 2023
Introduced in Senate
Mar 29, 2023
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Apr 27, 2023

Latest Companion Bill Action

HR 118-2972
Introduced in House
May 4, 2023
Committee on Banking, Housing, and Urban Affairs. Hearings held.
May 16, 2023
Committee on Banking, Housing, and Urban Affairs. Hearings held.
May 17, 2023
Committee on Banking, Housing, and Urban Affairs. Hearings held.
  • March 29, 2023
    Introduced in Senate


  • March 29, 2023
    Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.


  • April 27, 2023

    Latest Companion Bill Action

    HR 118-2972
    Introduced in House


  • May 4, 2023
    Committee on Banking, Housing, and Urban Affairs. Hearings held.


  • May 16, 2023
    Committee on Banking, Housing, and Urban Affairs. Hearings held.


  • May 17, 2023
    Committee on Banking, Housing, and Urban Affairs. Hearings held.

Finance and Financial Sector

Related Bills

  • S 118-1790: Failed Bank Executives Clawback Act
  • HR 118-2972: Failed Bank Executives Clawback Act
Administrative law and regulatory proceduresBank accounts, deposits, capitalBanking and financial institutions regulationCivil actions and liabilityConsumer affairsCorporate finance and managementFederal Deposit Insurance Corporation (FDIC)Financial crises and stabilizationSecuritiesWages and earnings

Failed Bank Executives Clawback Act

USA118th CongressS-1045| Senate 
| Updated: 5/17/2023
Failed Bank Executives Clawback Act This bill requires the Federal Deposit Insurance Corporation (FDIC) to claw back compensation paid to certain responsible parties when an insured depository institution is placed into FDIC receivership. Specifically, all or part of the compensation paid the previous five years to an institution-affiliated party responsible for the condition of the institution must be paid to FDIC to prevent unjust enrichment and to assure that the party bears losses consistent with their responsibility. Compensation includes salary, bonuses, awards, and profits from buying or selling securities. The bill also expands the authority of the FDIC to claw back compensation of parties responsible for financial losses incurred by a financial company regardless of the process by which FDIC is appointed receiver. Finally, the bill establishes that the creditors and shareholders of an insured depository institution's holding company are responsible for the losses when the institution is resolved by the FDIC.
View Full Text

Suggested Questions

Get AI-generated questions to help you understand this bill better

Timeline
Mar 29, 2023
Introduced in Senate
Mar 29, 2023
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Apr 27, 2023

Latest Companion Bill Action

HR 118-2972
Introduced in House
May 4, 2023
Committee on Banking, Housing, and Urban Affairs. Hearings held.
May 16, 2023
Committee on Banking, Housing, and Urban Affairs. Hearings held.
May 17, 2023
Committee on Banking, Housing, and Urban Affairs. Hearings held.
  • March 29, 2023
    Introduced in Senate


  • March 29, 2023
    Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.


  • April 27, 2023

    Latest Companion Bill Action

    HR 118-2972
    Introduced in House


  • May 4, 2023
    Committee on Banking, Housing, and Urban Affairs. Hearings held.


  • May 16, 2023
    Committee on Banking, Housing, and Urban Affairs. Hearings held.


  • May 17, 2023
    Committee on Banking, Housing, and Urban Affairs. Hearings held.
Elizabeth Warren

Elizabeth Warren

Democratic Senator

Massachusetts

Cosponsors (4)
Mike Braun (Republican)Catherine Cortez Masto (Democratic)Mark R. Warner (Democratic)Josh Hawley (Republican)

Banking, Housing, and Urban Affairs Committee

Finance and Financial Sector

Related Bills

  • S 118-1790: Failed Bank Executives Clawback Act
  • HR 118-2972: Failed Bank Executives Clawback Act
  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
Administrative law and regulatory proceduresBank accounts, deposits, capitalBanking and financial institutions regulationCivil actions and liabilityConsumer affairsCorporate finance and managementFederal Deposit Insurance Corporation (FDIC)Financial crises and stabilizationSecuritiesWages and earnings