We have considerable experience working with executive management and Boards in regulatory enforcement action matters involving banks and thrifts and their holding companies, and both Federal and State banking regulatory agencies. Such enforcement actions typically involve corporate governance, capital raising, balance sheet management, policies and procedures and compliance with laws and regulations. Corporate governance matters we have significant expertise in include evaluating board and management composition and effectiveness (see Management Studies), requirements to establish special compliance committees and reporting structures. We also have significant experience in helping banks evaluate their capital needs and strategic alternatives to comply with Individual Minimum Capital Requirements imposed through regulatory enforcement actions. RP Financial frequently assists banks in the formulation and preparation of strategic and business plans submitted to Federal and State regulatory agencies (see Strategic and Business Planning Services). Such plans are generally required in connection with regulatory enforcement actions.

Our senior consultants have working knowledge in restructuring balance sheets and reducing the risk profile of banking companies. We can help you evaluate the feasibility and project the income statement and balance sheet effect of reducing or mitigating the level of adversely classified assets, commercial real estate, or other loan concentrations to comply with the reduction schedules often found in formal regulatory enforcement actions.  Additional strategies that we can assist you in considering from a feasibility perspective include branch transactions and other divestitures, expense reduction initiatives, downsizing and shrinkage plans, among others.

RP Financial provides effective enterprise risk assessment consulting services (see Enterprise Risk Assessment Services) to assist our clients in evaluating the degree to which they have properly identified, understood, measured, monitored and controlled enterprise risk as part of a deliberate risk/reward strategy and to help them implement strategies to mitigate risk, enhance performance, ensure effective reporting and compliance with laws and regulations and avoid potential future damage to their reputation and associated consequences, and to mitigate residual risk and unanticipated losses. We apply the expertise we have developed in this area to help our clients develop effective regulatory enforcement action compliance and remediation mechanisms and reporting structures.

RP Financial’s senior staff has been advising banking companies in matters involving regulatory enforcement actions since the early 1980s and its team includes a combination of career consultants and seasoned former bankers who have experience in developing effective corporate governance and reporting structures and mechanisms to comply with and resolve such enforcement actions. Our consultants include former members of executive management, Boards, de novo bank organizers/principals and regulators of banking companies. These individuals have assessed, developed and implemented corporate wide and line of business restructuring and reengineering plans to mitigate risk identified through examination and due diligence processes, including for public holding companies with non bank subsidiaries; developed and executed strategic business and CRA plans; formulated policies and procedures; engaged in asset/liability, investment and balance sheet management; negotiated, executed and integrated bank mergers; and formulated and implemented capital strategies.