The Office of the Superintendent of Financial Institutions (OSFI) announced it will take a “lower tolerance” approach, fining the banks and other firms it oversees “when we determine lower levels of negligence and harm.” (The Logic)

Talking point: OSFI’s enforcement efforts have been under scrutiny since TD Bank was fined US$3 billion last year for failing to prevent money laundering in the U.S. In comparison with TD’s massive U.S. penalty, OSFI collected just $68,000 in fines from financial institutions in the 2024 financial year. Speaking to reporters, Theresa Hinz, OSFI’s executive director of policy and risk response, said the regulator won’t increase its scrutiny of the institutions it oversees to identify violations. “It’s still very much based on the institutions coming forward” to disclose non-compliance, she said. Since 2005, OSFI has had the power to fine banks, insurance companies and other federally regulated financial institutions for such violations as failing to maintain records or holding more loans than they’re supposed to.