Compliance & Regulatory Track

Compliance & Regulatory Track

Rules and regulations are the bedrock of financial services and payments, and provide the necessary surety for transactions. Understanding the most crucial concepts and innovations will lead to positive, competitive results.

Sponsored by Mastercard logo

Monday, May 6, 2019

Regtech: The Advantages & Challenges of New-Age Compliance Technologies

9:30 AM-10:20 AM | Room: Crystal G

This session explores the practical advantages and challenges that the new-age regtech solutions bring to the table. Speakers review various aspects to consider about managing compliance operations as they relate to regtech solutions. Attendees leave with a 360-degree perspective from compliance executives covering financial institutions, fintechs and vendors.

Questions answered by this session:
1. What are the different types of regtech solutions available for conventional FIs and payments companies? What are the potential impacts as seen by fintechs?
2. What regulatory challenges should fintechs keep in mind while considering adopting a new-age regtech solution?

Amelia Childress
Compliance Director, Square

Melissa Raman
SVP, Head of Sanction Compliance, Banc of California

Jas Randhawa
Director, Fintech Compliance, PwC


DEEP DIVE - Solving the Oxymoron of Fintech Compliance

9:30 AM-10:20 AM | Room: Miami

When we think of fintech, words like innovative, fast-paced and forward looking come to mind, yet we rarely use these same words to describe financial services regulation. With the growth and disruption by technology companies in banking and the increase in fintech/bank partnerships, as well as incubators, these worlds are colliding under increased regulatory scrutiny.  How can we ensure these opposites – fintech and compliance - find a compatible existence where we can leverage technology safely to transform customer experience and drive further innovation in the financial services industry? Join this session and learn more about this issue from a regulator, a financial institution and a fintech. In a lively debate about what it takes to balance risk and reward, attendees engage with speakers to understand the current state of play regarding fintech regulation as well how financial instutions and their fintech partners can work better together to mitigate risk and deliver on the promise that this disruptive technology offers.

Questions answered by this session:
1. What are some key ways FIs and fintechs can work together to mitigate risk while delivering new technological options and enhancements?
2. How can we ensure fintech and compliance find a compatible existence?

Jim Cunha
SVP, Treasury & Financial Services, Federal Reserve Bank of Boston

Byron Marshall
Director, BAI Research

Shannon Myhre
Product Manager, Digital Disbursements, Fiserv


Privacy Compliance for Financial Institutions

10:40 AM-11:30 AM | Room: Crystal D-F

Worried about the impact of the new California Consumer Privacy Act on your financial institution? So are we. The speaker discusses the requirements and obligations of this significant law that will take effect in 2020, with an emphasis on possible effects for financial institution. Attendee dialogue is encouraged and attendees leave with a better understanding of what preparations can be made now.

Questions answered by this session:
1.How will the California Consumer Privacy Act affect your organization?
2. What should be done to prepare for compliance with the Act?

Joseph S. Campbell
Director, Navigant

Daniel Wood
Attorney, Pillsbury Winthrop Shaw Pittman, LLP


Federal Reserve Town Hall

10:40 AM-11:30 AM | Room: Crystal H

The Federal Reserve has continued to pursue payments improvements in the U.S. by enhancing its service offerings over the past year; evolving wire, ACH and electronic check services to meet the changing needs of the payments ecosystem; and helping to ensure the system’s safety and security. Attend this session to hear from senior Fed executives about efforts to support a world-class payment system that is immediate, ubiquitous, broadly inclusive, safe, highly secure and efficient. They also cover the latest on the Fed's assessment to determine its role in the U.S. faster payments system, while delving into the latest payments regulatory news and updates to paint a vivid picture of what customers can expect to see in the coming years.

Questions answered by this session:
1. How has the Federal Reserve continued to pursue payments improvements in the U.S.?
2. What role will the Federal Reserve play in the U.S. faster payments system and what is in store for payments regulatory payments?

Shonda Clay
ECM Executive Vice President, Customer Relations Support Office, Federal Reserve Bank of Chicago

Susan Foley
Senior Associate Director, Program Direction, Board of Governors of the Federal Reserve System

Kenneth S. Isaacson
Senior Vice President & Wholesale Product Manager, Wholesale Product Office, Federal Reserve Bank of New York

Cheryl Venable
Executive Vice President & Product Manager, Retail Product Office, Federal Reserve Bank of Atlanta

Moderated by: Connie Theien
Director, Payments Industry Relations, Federal Reserve Bank of Chicago


Working Out Cannabis Banking Issues

10:40 AM-11:30 AM | Room: Grand 11-12

While some states have approved legalized recreational cannabis, 46 states have legalized some form of medical cannabis or cannabidiols (CBDs). It is projected that the legalized cannabis industry will create more than a quarter million new jobs by 2020. Yet it is still illegal on the federal level. This regulatory structure creates unique problems for businesses looking to obtain financial services, and for every financial institution – not just those willing to offer basic business account services to the industry. Panelists discuss lessons learned regarding banking issues from the frontlines of the legalized cannabis industry as it continues to expand.

Questions answered by this session:
1. What are the regulatory impacts of the legalized cannabis industry on the banking industry?
2. How can financial institutions develop a cannabis banking policy even if they are not directly involved in the industry?

Cora Parker
Director of Finance, Oregon State Treasury

Jim Petkovits, AAP, APRP, NCP
Vice President of Education, WesPay

Rachel Pross
Chief Risk Officer, Maps Credit Union


Audit Lessons: Learn from Mistakes and Improve Your ACH Operations

2:05 PM-2:55 PM | Room: Crystal A-C

This session provides insights from an auditor, regulator and an FI on how to prepare for the ACH Compliance Audit, and what can be learned from the audit to improve their ACH payments operations.

Questions answered by this session:
1. What are some best practices for preparing and gathering requested documentation  for an audit? 
2. How can you use audit results to help prepare for future audits?

Tony DaSilva, AAP
Subject Matter Expert, Federal Reserve Bank of Atlanta

Kay Dugger, AAP
ACH Product Manager, Huntington National Bank

Jennifer Kline, AAP, APRP, NCP
Director, Audit Services, EPCOR


How to Provide Financial Services for Cannabis Payments

2:05 PM-2:55 PM | Room: 

The cannabis industry continues to grow. Nearly 25 percent of the U.S. population lives in one of the 10 states that permit the recreational use of cannabis and 33 states have legalized its medicinal use. In addition, the Farm Bill signed into law on Dec. 20, 2018 legalized industrial hemp and its derived products on a federal level. However, the passage of this law only adds to the confusion, with states free to implement their own regulations of the hemp industry. Although the air surrounding cannabis payments are still hazy, it is clear that this industry is here to stay and only getting larger and more complex. Despite the fact that marijuana remains illegal at the federal level, a number of financial institutions are staking a claim in this $8 billion industry and offering financial services to marijuana-related businesses. This panel moves beyond discussions of drug policy, the Suspicious Activity Report (SAR), the Cole Memo and pending federal legislation. Panelists will talk about the real ins and outs of how to provide financial services to the cannabis industry and what to think about as you determine whether to capitalize on this growing line of business.

Questions answered by this session:
1. How can your institution assess and address risks as the industry to grow?
2. How do you maintain relationships with regulators and law enforcement while performing due diligence on potential business partners/clients?

Philip DS Martin, CAMS
Head of Compliance, Tital Vault, LLC

Jaimie Nawaday
Partner, Kelley Drye & Warren LLP & Former Assistant U.S. Attorney

Modersted by: Matthew C. Luzadder
Partner, Kelley Drye & Warren LLP

Tuesday, May 7, 2019

2019 Legal, Regulatory & Compliance Update: Trends, Technology & Predictions

10:45 AM-11:35 AM | Room: Crystal J

Join a panel of legal and compliance practitioners from around the country as they share what’s occurred in the world of payments legal, regulatory and compliance, what we can learn from these events and what the industry can expect in the future. Speakers address topics that include anti-money laundering and sanctions compliance, developments at the FTC and CFPB, the state of the OCC’s special purpose charter, trends in NACHA enforcement and more. Special attention is paid to what lessons and best practices can be learned from some of the highest profile legal and regulatory enforcement actions. Attendees also hear about stated government priorities for 2019 and beyond, and have a chance to ask questions from this group of professionals.

Questions answered by this session:
1. How should your organization be responding to and preparing for the changes and developments the speakers address?
2. Is there anything particularly worrisome on the horizon or is everything looking pretty standard? And what is the appropriate response to either scenario?

Jeanette Hait Blanco
Associate General Counsel - Network, NACHA

Jeffrey D. Dunn
Shareholder, Munsch Hardt Kopf & Harr, P.C.

Laurie Nelson
Chief Compliance Officer & General Counsel, PaymentVision

Ryan Stinneford
Partner, Hudson Cook LLP

Moderated by Matthew C. Luzadder
Partner, Kelley Drye & Warren LLP


Payments Modernization & Open Banking in Canada: Compliance Considerations & Fraud Management

2:00 PM-2:50 PM | Room: Crystal D-F

Speakers in this session introduce the goals and initiatives of payments modernization in Canada and associated challenges. The conversation will focus on nonbank payment service providers (PSPs) and the Real-Time Rail (RTR). Gain insight on fraud management and the RTR, including monitoring for fraud management and participant compliance with standards and rules, as well as an update on the Canadian government's next steps on an open banking consultation paper.

Questions answered by this session:
1. What are the potential compliance considerations for non-bank payment service providers (PSPs) seeking direct access to the Real Time Rail (RTR)?
2. How could fraud risk be managed in the RTR?

Charles Docherty
Assistant General Counsel, Canadian Bankers Association

Jacqueline Shinfield
Partner, Blakes

Jason Young
Director & Corporate Secretary, PayPal Canada


What We Can Learn from Europe's Successes & Mistakes

2:00 PM-2:50 PM | Room: Grand 11-12

Speakers in this session review the legal and business changes that are reshaping the payments market in Europe, and provide U.S.-based financial institutions and payment processors with insight into what they can do to get and stay ahead of their competitors. Topics include the EU's passporting system; the UK's fintech sandbox, PSD2 and open banking requirements; and how the GDPR is reshaping privacy and data security, even for entities that have no presence in Europe. The panel discusses which of these initiatives have been successful and which have been missteps, providing U.S. financial institutions and payment processors with insights that will keep them ahead in the payments innovation race.

Questions answered by this session:
1. How does the OCC's proposed limited-purpose fintech bank charter and the CFPB's new Office of Innovation align with the changes in Europe?
2. How can lessons learned in Europe shape the U.S. payments ecosystem?

Cindy Fazio
Chief of Regulatory Affairs - Consumer Services, Washington Department of Financial Institutions

Erin Fonte
Partner, Hunton Andrews Kurth LLP

Gareth Lodge
Senior Analyst, Celent


Real-Time Payments & Regulatory Balkanization

3:05 PM-3:55 PM | Room: Crystal H

Speakers in this session examine the current regulatory landscape and the possible affects on the speed of adoption of new payment capabilities. Panelists provide their thoughts on what is working well and what could be improved, while offering a look at how the U.S. compares to the rest of the world as the industry – and the regulatory environment – continue evolving.

Questions answered by this session:
1. What are some of the different mechanisms (rules, regulations, contracts) used to assure safety and efficiency of the payments experience?
2. What are the strengths and weaknesses of the regulatory and governance framework in the U.S.?

Michelle Lewis
VP, Payments Governance Risk and Operations, Early Warning

Samantha Pelosi
Senior Vice President, Payments and Innovation, BAFT

Gary Stein
Deputy Assistant Director, Office of Card, Payment & Deposit Markets, Consumer Financial Protection Bureau

Ky Tran-Trong
Vice President & Associate General Counsel, Regulatory, Visa Inc.


Unclaimed Property Compliance

3:05 PM-3:55 PM | Room: Crystal N-Q

This session assists financial institutions on how to identify what unclaimed property is and how to get into compliance while reducing exposure and liability. Speakers engage with attendees on a variety of levels, including through the use of a white paper and quiz to help ensure compliance with the laws and provide attendees with tools, including a glossary, white paper, and a useful quiz to help ensure compliance.

Questions answered by this session:
1. Why must your organization be compliant with state unclaimed property laws?
2. How do laws differ from state to state?

Mary Gilmeister, AAP, NCP
President, WACHA - The Premier Payments Resource

Michael Ryan
SVP, Business Development, Georgeson LLC

Cheryl Tiedt, AAP
Cash Manager, Thrivent Financial


DEEP DIVE - Examiner's Perspective on Third Party Relationships

5:10 PM-6:00 PM | Room: Miami

Attend this session and receive an examiner’s perspective on what your institution should be doing to stay competitive, but avoiding some of the hype and risks. The potential benefits of Third-Party Service Providers and Third-Party Sender relationships in the ACH Network, the risks and rewards of these types of business arrangements and best practices for contracting with third parties and how to actively manage these relationships are also explored. Speakers offer insights on how to manage risk and share case studies that support these relationships.

Questions answered by this session:
1. What should your institution be doing to prepare and more importantly, why it is critical for the safety and soundness of your institution to comply?
2. Why are these issues at the top of the regulator’s list?

Tony DaSilva, AAP
Subject Matter Expert, Federal Reserve Bank of Atlanta

Cavin Tran, PhD., CISSP, CISA, CSXF, APRP, MCSE, MCT
Senior Cyber Security Risk Specialist, Federal Reserve Bank of Atlanta

Wednesday, May 8, 2019

Common Mistakes in Third-Party Payee Authorizations

8:00 AM-8:50 AM | Room: Grand 13-14

This session highlights common mistakes Originators make when obtaining authorizations from consumers and third parties, and addresses what can occur when customers change the original authorization or even revoke it completely. Attendees come away with guidance and practical solutions to help minimize these mistakes.

Questions answered by this session:
1. How can an organization help originators identify areas where their process for obtaining and relying on customer authorizations make contain weaknesses or deficiencies?
2. What is some guidance and practical solutions to correct mistakes that originators can implement in their organizations immediately?

Susan Chylik
Member, McGlinchey Stafford


Consumer Finance Regulatory Updates

9:05 AM-9:55 AM | Room: Grand 9-10

This session provides regulatory updates of relevant consumer financial regulatory developments, with a particular focus on the CFPB and the Federal Trade Commission. Topics addressed include  use of the Congressional Review Act to impact consumer financial regulations, as well as the status of ongoing CFPB regulations, including the Prepaid Account Rule, Payday Lending Rule, Gramm Leach Bliley, and UDAAP Developments.

Questions answered by this session:
1. What are the regulatory developments in the consumer financial space?
2. What are the possible future developments in the consumer financial regulatory space and which are most relevant to their daily work and potential impact to business?

Brandis Anderson
Product & Regulatory Counsel, Plaid, Inc.

Maria Earley
Partner, Reed Smith

Genessa Stout
Head of Legal & Compliance, Tally Technologies Inc.


Bank & Fintech Partnerships: The Prepaid Model

10:10 AM-11:00 AM | Room: Grand 11-12

Fintech companies that do not obtain their own charter or license will need to partner with a financial institution to provide depository, lending and payment services. Some companies will simply act as Third-Party Service Providers to FIs, but fintechs that want to be the brand and own the customer relationship will need to create new business models supported by more complex legal relationships. Prepaid debit card programs provide an accepted model for such arrangements. This panel discusses the legal relationships between prepaid issuers, program managers, processors and other service providers; allocation of risk and responsibility among participants; and regulator review and approval of prepaid programs.

Questions answered by this session:
1. How can prepaid debit card programs provide a model for structuring partnerships between financial institutions and fintech companies?
2. What are the essential elements of a prepaid program that should be mirrored in fintech partnerships adopting the model?

Brad Fauss
General Counsel, Wirecard North America, Inc.

John Hagy
Chief Policy Officer, MetaBank

Stephen Middlebrook
Of Counsel, Womble Bond Dickinson