Fintech · Industry brief

The House Committee on Financial Services reported eight bills favorable on September 18, including H.R. 1653 (Civil Investigative Demand Reform Act) and H.R. 10184 (Consumer Financial Protection Accountability and Reform Act), both reforming CFPB authority over enforcement and rulemaking. The Senate Banking Committee held an executive session on September 17 considering CFPB director nominee Brian Johnson alongside TRIA reauthorization, with Senator Warren opposing Johnson citing concerns about weakened CFPB enforcement costing Americans over $26 billion. The FDIC Board approved a notice of proposed rulemaking on September 17 reforming its bank merger review process to accelerate timelines and reduce regulatory burden by accounting for credit unions, establishing deemed approval for de minimis transactions, and tailoring filing requirements. The SEC's Chairman Atkins expressed support on September 17 for expanded 24-hour equities trading with infrastructure already underway through the Depository Trust and Clearing Corporation's 23-by-5 trade-capture system. The CFTC's Market Participants Division issued a no-action position on September 17 extending relief to passive software providers enabling derivatives trading without registration requirements, provided certain compliance conditions are met. The SBA announced its largest fraud action on September 14, suspending 870,000 PPP and EIDL borrowers connected to approximately $39 billion in suspected fraud across 45 states and territories, with the Department of Justice simultaneously announcing enforcement actions under Operation Heartland Surge. The FTC published detailed auto advertising price transparency guidance on September 15 clarifying that advertised prices must include all mandatory fees except taxes, with variable doc fees reflecting the highest amount any consumer would pay. The New York DFS issued an industry letter on September 10 providing cybersecurity risk assessment guidance to covered entities under Part 500, addressing gaps in governance, methodology, scope, documentation, and program integration observed during examinations.

The CMA called for public consultation on draft regulatory provisions to enhance IPO practices, with a 30-day comment period ending October 22, 2026. The proposed rules strengthen linkage between participation requests and actual liquidity, require underwriting agreements to be executed before book-building begins, mandate verification of investor financial capacity using only cash or equivalents, and require issuers to disclose forward-looking financial performance indicators for at least one year. The CMA also approved several capital market transactions: ANB Capital's Perpetual Sukuk Fund public offering, Allied Cooperative Insurance Group's capital increase from SAR 291 million to SAR 300 million, Ades Holding's bonus share issuance doubling its capital to SAR 2.26 billion, Retal Urban Development's capital increase to SAR 555 million to acquire 47.5% of Ajdan Real Estate, and Knauf International GmbH's acquisition offer for United Mining Industries Company shares.