CFTC Issues Statement on Swaps Rules Implicated in Recent Bank Failures
March 16, 2023
On March 16, 2023, the Commodity Futures Trading Commission (CFTC) announced that it will not commence enforcement action for violations of CFTC regulations resulting solely due to FDIC ordered transfers of qualified financial contracts (QFCs) that are swaps.
The CFTC also recognized the transfers may have implications for the reporting obligations of counterparties. The CFTC will consider further action related to reporting and parties should use best efforts to fulfill their reporting obligations with respect to such swaps. More information is available here.