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FTC Extends Enforcement Date of Red Flags Rule to August 1

Client Alert | 1 min read | 05.04.09

On April 30th, in a surprising move, the Federal Trade Commission (the "FTC") extended its deferral of enforcement of the Red Flags Rule until August 1, 2009. This marks the second extension by the FTC. The Red Flags Rule's mandatory enforcement date was originally November 1, 2008. However, the FTC suspended enforcement of the Rule until May 1, 2009. The FTC explained that this second extension is in response to ongoing questions from some sectors - particularly smaller entities that are subject to a low risk of identity theft that "continue to have questions and concerns about the specific obligations they must meet and the burden of complying with the rule."1

The FTC has estimated that there are more than 1.6 million low-risk entities that will be required to comply with the Red Flags Rule.2 The Red Flags Rule requires that "financial institutions" and "creditors" that offer or maintain "covered accounts," develop and implement a program to identify, detect, and respond to identity theft (the "Program"). The FTC intends to publish a guidance to assist low-risk entities in complying with the rule.

If you are interested in learning more about Red Flags Rule policies, training, or sample language, please contact those listed below, or your regular Crowell & Moring contact.


1 FTC Extended Enforcement Policy: Identity Theft Red Flags Rule, 16 CFR 681.1
2 74 Fed. Reg. 18709, 18711 (April 24, 2009).

Insights

Client Alert | 3 min read | 09.15.25

Senate Finance Committee Looking to Take White River to the Train Station, Confirms DOJ Investigation into Tribal Tax Credits

On August 19, 2025, the U.S. Senate Committee on Finance (“Senate Finance Committee”) sent Paul Atkins, Chairman, U.S. Securities and Exchange Commission (“SEC”) a letter calling on the SEC to investigate White River Energy Corp (“White River”). In the letter, the Senate Finance Committee confirmed a criminal investigation into White River related to the sale of so-called “tribal tax credits” that according to both Congress and the IRS, do not exist. The letter further states that White River allegedly earned millions of dollars selling these credits and has not been forthcoming with investors regarding the existence of the criminal investigation. According to the Senate Finance Committee, White River has failed to file financial disclosure documents with the SEC since March 15, 2024, missing six consecutive reporting periods. The letter instructs White River to disclose the existence of the DOJ criminal tax investigation, and calls on the SEC to take action if White River fails to do so....