New York DFS Unveils Two New Divisions Focused on Consumer Protection, Financial Enforcement and Cybersecurity

New York State’s Department of Financial Services recently unveiled two new divisions with broad enforcement authority focused on consumer protection, financial enforcement, and cybersecurity. Financial service providers should take note as New York and other states continue to shore up their enforcement capabilities.

The New York Department of Financial Services (“NY DFS”) published an updated proposed Second Amendment to its Cybersecurity Regulation (23 NYCRR Part 500) in the New York State Register on June 28, 2023, updating its previous proposed Second Amendment, which was published November 9, 2022. While the language proposed is largely similar to the previous […]

The post NY DFS Releases Revised Proposed Second Amendment of its Cybersecurity Regulation appeared first on Alston & Bird Privacy, Cyber & Data Strategy Blog.

On May 1, 2023, bitFlyer USA, Inc. (“bitFlyer”) entered into a Consent Order with the New York Department of Financial Services (“DFS”) for multiple deficiencies in bitFlyer’s cybersecurity program, most notably for failure to conduct periodic risk assessments to sufficiently inform the design of bitFlyer’s cybersecurity program (as required by 23 NYCRR § 500.09(a)). BitFlyer […]

The post NYDFS Penalizes bitFlyer $1.2 Million for Violations to Cybersecurity Regulation appeared first on Alston & Bird Privacy, Cyber & Data Strategy Blog.

On October 18, 2022, EyeMed Vision Care LLC (“EyeMed”) entered into a Consent Order with the New York Department of Financial Services (“DFS”) relating to a cybersecurity event from 2020 that exposed consumer nonpublic information (“NPI”) to an unauthorized individual. EyeMed agreed to pay DFS a $4.5 million penalty, in addition to implementing mandatory remediation […]

The post NYDFS Announces Significant Cybersecurity Settlement with EyeMed Vision Care appeared first on Alston & Bird Privacy, Cyber & Data Strategy Blog.

A&B ABstract: Less than one month into the new year, New York’s Department of Financial Services (DFS) has taken strong measures to make good on its proclamation that  “2020 must be the year of the consumer” by: (1) unveiling a 12-member Consumer Protection Task Force to help implement an extensive consumer protection agenda; and (2) […]

The post NY DFS unveils Consumer Protection Task Force, adds Former CFPB Deputy Director appeared first on Alston & Bird Consumer Finance ABstract.