August 9, 2011 -- The Federal Deposit Insurance Corporation (FDIC) has clarified certain criteria in the FDIC’s Statement of Policy for Section 19 of the Federal Deposit Insurance Act (FDI Act), which prohibits—without the prior written consent of the FDIC—a person convicted of a criminal offense involving dishonesty, breach of trust, money laundering, or drugs from participating in the affairs of an FDIC-insured institutions. The clarifications to the Statement of Policy include complete expungement, de minimis factors, and de minimis factors for “bad checks.” The clarification is expected to reduce the number of Section 19 applications and regulatory burden. The updated Statement of Policy is available at http://www.fdic.gov/regulations/laws/rules/5000-1300.html#fdic5000applicationsus.