[sheet: Master Timeline]

Milestone ID	Date / Deadline	Consent Order Article	Workstream	Milestone Description	Responsible Party — BRB	Responsible Party — External	Status	Completion Date	Completion Evidence / Documentation	Days Until Deadline	Notes / Comments
MS-001	2025-01-15	Article I	Regulatory / Governance	Consent Order No. OCC-2025-003 effective date	Gregory Nardone, General Counsel	OCC — Jonathan Frey, Examiner-in-Charge	Complete	2025-01-15	Consent Order issued by OCC; acknowledged by BRB	0	OCC Charter No. 48271; FDIC Certificate No. 31845
MS-002	2025-01-16	N/A	Disclosure / Shareholder	BRFG public disclosure of Consent Order (8-K filing); stock price declined to $41.15/share (from approx. $47.82 pre-disclosure; decline of ~$6.67/share or 13.9%)	Samantha Reeves, CFO; Gregory Nardone, General Counsel	N/A	Complete	2025-01-16	8-K filed with SEC; BRFG ticker NYSE: BRFG	0	Market cap impact: 179.5M shares outstanding; post-disclosure market cap ~$7.39B vs. pre-disclosure ~$8.58B
MS-003	2025-01-31	N/A	Counsel Transition	Termination of Drayton Mercer LLP as outside regulatory counsel; engagement of successor counsel initiated	Gregory Nardone, General Counsel	Drayton Mercer LLP — Helen Frazier (former lead partner)	Complete	2025-01-31	Termination letter to Drayton Mercer; file transfer protocol initiated	0	Drayton Mercer served as BRB outside regulatory counsel 2019–2024; represented BRB during 2023–2024 OCC examination cycle
MS-004	2025-02-05	Article VII	Independent Consultant	OCC non-objection received for Thornfield Consulting Group LLC as independent consultant	Gregory Nardone, General Counsel; Patricia Langston, CCO	Thornfield Consulting Group LLC — Dr. Vivian Castellano, Managing Director	Complete	2025-02-05	OCC non-objection letter received; Thornfield Engagement Ref: TCG-BRB-2025-001	0	Non-objection submitted per Article VII of Consent Order; proposal included team: Robert Eastman, Jennifer Hwang, Nathaniel Burgess
MS-005	2025-02-10	N/A	Engagement / Counsel	Calderwood & Harkness LLP engagement opens; Thornfield Consulting engagement agreement executed	Gregory Nardone, General Counsel	Calderwood & Harkness LLP — Philip Hartmann, Responsible Partner; Thornfield Consulting Group LLC	Complete	2025-02-10	C&H engagement letter executed; C&H Matter No. 1045-00002; Thornfield engagement agreement (TCG-BRB-2025-001) executed; $6.5M fixed fee + $400K expenses	0	C&H team: Philip Hartmann ($1,450/hr), Marcus Delgado ($1,350/hr), Yuki Nakamura ($895/hr), Carlos Espinoza ($725/hr); Total C&H estimated fees: $8.0M (Phase 1: $4.8M, Phase 2: $3.2M)
MS-006	2025-02-12	N/A	Engagement / Counsel	C&H $500,000 evergreen retainer deposited into client trust account	Gregory Nardone, General Counsel; Samantha Reeves, CFO	Calderwood & Harkness LLP — Philip Hartmann	Complete	2025-02-12	Retainer acknowledgment letter from Gregory Nardone to Philip Hartmann dated Feb 12, 2025	0	Fee collar: ±15%; overruns above $9,200,000 require GC written approval; expense cap: $250,000
MS-007	2025-02-15	Article VII	Independent Consultant	Deadline for independent consultant engagement (met ahead of deadline — Thornfield engaged Feb 10, 2025)	Gregory Nardone, General Counsel	Thornfield Consulting Group LLC	Complete	2025-02-10	Engagement agreement fully executed 5 days prior to deadline	0	Thornfield monthly installments: $541,666.67 ($6.5M ÷ 12)
MS-008	2025-02-28	Article III	Governance	Board Resolution deadline (45 days from Consent Order): acknowledge Consent Order, establish Compliance Committee, authorize $42,500,000 remediation budget (excl. $14.5M CMP)	Diane Whitford, CEO & Board Chair; James Rutherford, Compliance Committee Chair; Arthur Connelly, Lead Independent Director	Calderwood & Harkness LLP (drafted resolution)	In Progress	Draft Board Resolution prepared by C&H; Compliance Committee Charter drafted; Amended Bylaws in redline; total outlay incl. CMP: $57,000,000	0	Compliance Committee chaired by James Rutherford; Audit Committee: Margaret Dao; Risk Committee: Arthur Connelly; additional independent directors: Sandra Villarreal, Keith Yamamoto
MS-009	2025-03-01	Article VII	Independent Consultant	Thornfield Consulting Group on-site assessment commences at BRB headquarters (680 Lexington Avenue, 22nd Floor, New York, NY 10022)	Patricia Langston, CCO; Thomas Ikeda, BSA Officer; Linda Petrosian, CIO; Warren Ashby, Head of BaaS	Thornfield — Dr. Vivian Castellano, Robert Eastman, Jennifer Hwang, Nathaniel Burgess	Not Started	Access & Cooperation Protocol distributed; privilege side letter executed	0	On-site assessment covers all 5 deficiency categories: OFAC screening, SAR filing, CDD/EDD, model validation, Board oversight
MS-010	2025-03-16	Article II	Penalty / Financial	Civil Money Penalty payment of $14,500,000 due to U.S. Treasury (60 days from Consent Order effective date of Jan 15, 2025)	Samantha Reeves, CFO; Gregory Nardone, General Counsel	OCC	Not Started	Wire instructions per OCC; CMP payment logistics memorandum prepared by C&H; non-deductible under 26 U.S.C. § 162(f)	0	Total assets: $38.7B; net income FY 2024: $412M; Tier 1 capital ratio: 11.2%
MS-011	2025-03-31	Article V	WS2 — SAR Backlog	Interim SAR backlog status report due to OCC: progress on 2,400 unreviewed alerts; Pinnacle staffing deployment status (30 temp FTEs)	Thomas Ikeda, BSA Officer; Patricia Langston, CCO	Calderwood & Harkness LLP — Yuki Nakamura; Pinnacle Compliance Solutions LLC — Andrea Solis	Not Started	Draft interim report prepared by C&H; Pinnacle SOW Ref: PCS-BRB-2025-0012; staffing cost: $3,600,000 (30 FTE × $10,000/mo × 12 months)	0	SAR backlog as of Sept 2024: 2,400 alerts; avg filing time: 78 days vs. 30-day target; CY 2024 SARs filed: 3,847; BaaS-related SARs: 2,108 (54.8%)
MS-012	2025-04-15	Article VII	Independent Consultant	Thornfield delivers preliminary gap assessment report covering all 5 deficiency categories	Patricia Langston, CCO	Thornfield — Dr. Vivian Castellano	Not Started	Gap assessment report to be shared with C&H and BRB; informs Comprehensive Remediation Action Plan	0	Deficiency categories: (1) OFAC screening — 12% unscreened NovaPay transactions (~3.8M of 31.7M in CY 2023); (2) SAR filing; (3) CDD/EDD — 47,000 accounts; (4) Model validation — TMS v.8.3 last validated March 2021; (5) Board oversight
MS-013	2025-05-15	Article IV	Remediation Action Plan	Comprehensive Remediation Action Plan due to OCC (end of C&H Phase 1); transmitted via cover letter to Jonathan Frey at OCC Northeastern District Office, 340 Madison Avenue, New York, NY 10017	Gregory Nardone, General Counsel; Patricia Langston, CCO; Thomas Ikeda, BSA Officer	Calderwood & Harkness LLP — Philip Hartmann	Not Started	RAP integrates all 5 workstreams; Executive Summary for Board/Compliance Committee; C&H Phase 1 fees: $4,800,000	0	Total remediation budget (excl. CMP): $42,500,000; includes C&H ($8.0M), Thornfield ($6.9M), Veridian upgrade ($4.7M), Pinnacle ($3.6M), headcount ($2.25M), SAR lookback ($5.5M), CDD/EDD ($4.3M), training ($1.8M), governance ($0.5M)
MS-014	2025-05-16	N/A	Engagement / Counsel	C&H Phase 2 (Implementation & Monitoring) begins; estimated fees: $3,200,000 through Feb 15, 2026	Gregory Nardone, General Counsel	Calderwood & Harkness LLP — Philip Hartmann	Not Started	Phase transition; monthly billing net 30 days continues	0
MS-015	2025-06-30	Article V	WS2 — SAR Backlog	SAR backlog clearance target: all 2,400 unreviewed alerts fully dispositioned; average filing time reduced toward 30-day target	Thomas Ikeda, BSA Officer	Pinnacle Compliance Solutions LLC — Andrea Solis (30 temp FTEs); Calderwood & Harkness LLP — Yuki Nakamura	Not Started	SAR lookback project ($5.5M) in parallel; revised SAR policy targeting 30-day filing; SAR quality assurance framework established	0	CY 2023 SARs: 2,914; CY 2024 SARs: 3,847; CTRs CY 2024: 28,612; TM alerts CY 2024: 41,500; SAR conversion rate: 9.3%
MS-016	2025-07-15	Article VI	WS3 — CDD/EDD Remediation	CDD/EDD remediation 50% milestone: 23,500 of 47,000 high-risk accounts remediated (primarily BaaS-onboarded customers)	Patricia Langston, CCO; Warren Ashby, Head of BaaS	Calderwood & Harkness LLP — Yuki Nakamura; Carlos Espinoza	Not Started	CDD/EDD remediation project budget: $4,300,000; prioritized by risk score and BaaS partner (NovaPay, FairLend Digital, VaultEdge); progress tracking dashboard deployed	0	BaaS partners: 14 active; top 3 by volume: NovaPay (41%, $30.5B), FairLend Digital (28%), VaultEdge (18%); total BaaS volume CY 2024: $74.3B; BaaS revenue: $127.4M
MS-017	2025-08-01	Article IV(d)	WS4 — TM Model Validation	Veridian TMS v.10.0 UAT complete and deployed; upgrade from v.8.3 (Contract No. VA-BRB-2023-0044)	Linda Petrosian, CIO; Thomas Ikeda, BSA Officer	Veridian Analytics Inc. — Priya Subramanian; Calderwood & Harkness LLP — Carlos Espinoza	Not Started	Implementation cost: $2,800,000 (one-time); incremental licensing: $1,900,000/yr; new ACV: $6,000,000/yr; includes OFAC module enhancement	0	TMS v.8.3 last validated March 2021 (>3 years); last tuned October 2022; Ridgeline Data Systems ($7.2M/yr, 5-yr term, $36M TCV) evaluated as contingency — David Marchetti, CRO
MS-018	2025-09-15	Article VIII	OCC Reporting	First quarterly progress report due to OCC — covers all 5 workstreams, SAR backlog status, CDD/EDD progress, TMS deployment, OFAC remediation	Patricia Langston, CCO; Gregory Nardone, General Counsel	Calderwood & Harkness LLP — Philip Hartmann	Not Started	Draft prepared by C&H; submitted to OCC Northeastern District Office attn: Jonathan Frey	0
MS-019	2025-10-01	Article IV(d)	WS4 — TM Model Validation	Independent model validation of upgraded Veridian TMS v.10.0 complete	Thomas Ikeda, BSA Officer; Melissa Chu, CRO	Thornfield Consulting Group (validation oversight); Caldera & Pope LLP — Franklin Dorsey (independent testing)	Not Started	Caldera & Pope BSA/AML testing fee (2024): $1,100,000; annual audit fee: $3,400,000; prior independent test completed Sept 2024 identified deficiencies echoed in Consent Order	0	OFAC screening hits CY 2024: 14,320 (12 true matches; false-positive rate: 99.9%)
MS-020	2025-11-01	Article IV(a)	WS1 — OFAC Screening	OFAC screening fully operational for all BaaS channels — 100% of transactions screened in real-time and batch processing across all 14 fintech partners	Thomas Ikeda, BSA Officer; Warren Ashby, Head of BaaS; Linda Petrosian, CIO	Veridian Analytics Inc. — Priya Subramanian; Thornfield — Jennifer Hwang (validation)	Not Started	Addresses core deficiency: 12% unscreened NovaPay transactions (3,800,000 of 31,700,000 in CY 2023); OFAC remediation testing plan defines validation methodology	0	NovaPay (Ethan Garrison, CEO) and all BaaS partners subject to compliance remediation letters and revised BaaS program agreement addendum
MS-021	2025-12-15	Article VIII	OCC Reporting	Second quarterly progress report due to OCC — covers model validation completion, OFAC screening operationalization, CDD/EDD progress toward 100%	Patricia Langston, CCO; Gregory Nardone, General Counsel	Calderwood & Harkness LLP — Philip Hartmann	Not Started	Draft prepared by C&H; submitted to OCC	0
MS-022	2026-01-15	Article VI	WS3 — CDD/EDD Remediation	CDD/EDD remediation 100% milestone: all 47,000 high-risk accounts fully remediated with adequate CDD/EDD documentation	Patricia Langston, CCO; Warren Ashby, Head of BaaS	Calderwood & Harkness LLP; Thornfield Consulting Group	Not Started	Full remediation of all BaaS-onboarded and other high-risk customer accounts; revised CDD/EDD policy fully implemented; BaaS partner responsibility matrix enforced	0	FairLend Digital (Aisha Okonkwo, CEO): $1.4B loan originations FY 2024; VaultEdge (Marcus Tan, CEO): ~870,000 deposit accounts; NovaPay: ~2.1M end-user accounts
MS-023	2026-02-15	Article IX	Self-Certification / Final	Full compliance program implementation; Thornfield delivers final validation report; Consent Order compliance self-certification due to OCC	Diane Whitford, CEO; Gregory Nardone, General Counsel; Patricia Langston, CCO	Calderwood & Harkness LLP — Philip Hartmann; Thornfield — Dr. Vivian Castellano	Not Started	Self-certification drafted by C&H; supported by Thornfield final validation report; BSA/AML headcount at target 77 FTEs (62 existing + 15 new); all 5 workstreams complete	0	End of C&H Phase 2; end of Thornfield 12-month engagement; Veridian existing contract continues through Dec 2026

[sheet: Workstream Summary]

Workstream ID	Workstream Name	Description	BRB Lead	External Lead	Budget Allocated	Budget Spent to Date	Budget Remaining	% Budget Used	Total Milestones	Milestones Complete	Milestones In Progress	Milestones At Risk / Overdue	% Milestones Complete	Key Metric	Key Metric — Baseline	Key Metric — Current	Key Metric — Target	Next Major Deadline	Overall RAG Status
WS1	OFAC Sanctions Screening Remediation	Remediate OFAC screening gaps across all BaaS channels; achieve 100% transaction screening; address NovaPay 12% gap (3.8M unscreened transactions in CY 2023 out of 31.7M)	Thomas Ikeda, BSA Officer; Warren Ashby, Head of BaaS	Veridian Analytics — Priya Subramanian; Thornfield — Jennifer Hwang	4700000	0	4700000	0%	3	0	0	0	0%	% BaaS transactions screened by OFAC lists	~88% (12% unscreened for NovaPay channel)	TBD	100%	2025-11-01	Green
WS2	SAR Backlog Clearance & Process Improvement	Disposition 2,400 unreviewed alerts; reduce avg SAR filing time from 78 days to ≤30 days; SAR lookback project; deploy 30 Pinnacle temp FTEs	Thomas Ikeda, BSA Officer	Pinnacle — Andrea Solis; C&H — Yuki Nakamura	9100000	0	9100000	0%	3	0	0	0	0%	Unreviewed SAR alerts remaining	2,400 (Sept 2024)	TBD	0	2025-06-30	Green
WS3	CDD/EDD Remediation	Remediate 47,000 high-risk accounts lacking adequate CDD/EDD; phased milestones: 50% by Jul 15, 2025; 100% by Jan 15, 2026	Patricia Langston, CCO; Warren Ashby, Head of BaaS	C&H — Yuki Nakamura, Carlos Espinoza	4300000	0	4300000	0%	2	0	0	0	0%	High-risk accounts remediated	0 of 47,000	TBD	47,000 (100%)	2025-07-15	Green
WS4	Transaction Monitoring Model Validation & Tuning	Upgrade Veridian TMS v.8.3 to v.10.0; complete UAT by Aug 1, 2025; independent model validation by Oct 1, 2025; last validation March 2021, last tuning Oct 2022	Linda Petrosian, CIO; Thomas Ikeda, BSA Officer	Veridian Analytics — Priya Subramanian; Caldera & Pope — Franklin Dorsey (testing)	4700000	0	4700000	0%	2	0	0	0	0%	TMS version deployed & validated	v.8.3 (unvalidated since March 2021)	TBD	v.10.0 validated	2025-08-01	Green
WS5	BSA/AML Program Governance & Training Enhancement	Establish Compliance Committee; restructure BSA/AML dept (62→77 FTEs + 30 temp); enterprise-wide training; policy suite overhaul	Patricia Langston, CCO; Diane Whitford, CEO (Board-level); Derek Ballard, Internal Audit	C&H — Philip Hartmann; Thornfield — Dr. Vivian Castellano	4550000	0	4550000	0%	3	0	0	0	0%	BSA/AML FTE headcount	62 FTEs	TBD	77 FTEs (permanent) + 30 temp during remediation	2025-02-28	Green
CMP	Civil Money Penalty	Payment of $14,500,000 to U.S. Treasury per Consent Order; due 60 days from effective date	Samantha Reeves, CFO	OCC	14500000	0	14500000	0%	1	0	0	0	0%	Payment status	Unpaid	TBD	Paid in full	2025-03-16	Green
EXT-SC	Outside Counsel (Calderwood & Harkness LLP)	Regulatory advisory & remediation counsel; Phase 1: $4.8M (Feb 10–May 15, 2025); Phase 2: $3.2M (May 16, 2025–Feb 15, 2026); retainer: $500K; expense cap: $250K	Gregory Nardone, General Counsel	C&H — Philip Hartmann (Responsible Partner), Marcus Delgado (Billing Partner)	8000000	0	8000000	0%	3	1	1	0	33%	Fees incurred vs. fee collar	$0	TBD	≤$9,200,000 (fee collar at +15%)	2025-05-15	Green
EXT-TCG	Independent Consultant (Thornfield Consulting Group LLC)	OCC-mandated independent assessment & validation; fixed fee $6,500,000 + $400,000 expenses = $6,900,000 total; 12-month engagement Feb 2025–Feb 2026	Patricia Langston, CCO	Thornfield — Dr. Vivian Castellano, Robert Eastman, Jennifer Hwang, Nathaniel Burgess	6900000	0	6900000	0%	4	1	1	0	25%	Assessment milestones delivered	0 of 3 (gap assessment, progress validation, final report)	TBD	3 of 3	2025-04-15	Green
TOTAL	GRAND TOTAL	All workstreams, CMP, outside counsel, and independent consultant	57000000	0	57000000	0%	21	2	2	0	10%

[sheet: Key Parties & Contacts]

Category	Organization	Full Legal Name	Entity Type	Name	Title / Role	Address	Reference / Contract No.	Engagement Value	Notes
Client — Bank	BRB	Belmont Ridge Bank National Association	National Banking Association	Diane Whitford	CEO & Board Chair	680 Lexington Avenue, 22nd Floor, New York, NY 10022	OCC Charter No. 48271; FDIC Cert. No. 31845; EIN 13-6148320; RSSD ID 1247893	Total assets: $38.7B; deposits: $29.4B; BSA/AML budget FY 2024: $18.2M; BaaS partners: 14
Client — Holding Co.	BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	Diane Whitford	CEO & Board Chair	680 Lexington Avenue, 22nd Floor, New York, NY 10022	NYSE: BRFG; EIN 83-2947561	Shares outstanding: 179.5M; stock price (Feb 7, 2025): $47.82; market cap: ~$8.58B; net income FY 2024: $412M
Client — General Counsel	BRB	Belmont Ridge Bank National Association	National Banking Association	Gregory Nardone	General Counsel	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Primary point of contact for outside counsel and regulatory correspondence
Client — CFO	BRB / BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	Samantha Reeves	Chief Financial Officer	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Responsible for CMP payment, 8-K filing, budget oversight
Client — BSA/AML	BRB	Belmont Ridge Bank National Association	National Banking Association	Thomas Ikeda	BSA Officer / AML Program Director	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Appointed March 2023; BSA/AML dept: 62 FTEs (target: 77); CY 2024 SARs: 3,847; CTRs: 28,612; TM alerts: 41,500
Client — Compliance	BRB	Belmont Ridge Bank National Association	National Banking Association	Patricia Langston	Chief Compliance Officer	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Appointed January 2024; predecessor terminated
Client — BaaS	BRB	Belmont Ridge Bank National Association	National Banking Association	Warren Ashby	Head of Fintech Partnerships / BaaS Division	680 Lexington Avenue, 22nd Floor, New York, NY 10022	14 active BaaS partners; CY 2024 BaaS revenue: $127.4M; transaction volume: $74.3B
Client — CIO	BRB	Belmont Ridge Bank National Association	National Banking Association	Linda Petrosian	Chief Information Officer	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Oversees Veridian TMS deployment and technology infrastructure for BSA/AML systems
Client — CRO	BRB	Belmont Ridge Bank National Association	National Banking Association	Melissa Chu	Chief Risk Officer	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Model risk oversight; independent validation sign-off
Client — Internal Audit	BRB	Belmont Ridge Bank National Association	National Banking Association	Derek Ballard	Head of Internal Audit	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Third line of defense; governance workstream involvement
Board — Compliance Committee	BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	James Rutherford	Compliance Committee Chair (Independent Director)	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Committee established per Article III of Consent Order
Board — Lead Independent	BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	Arthur Connelly	Lead Independent Director; Risk Committee Chair	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Risk Committee oversight of remediation program
Board — Audit Committee	BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	Margaret Dao	Audit Committee Chair (Independent Director)	680 Lexington Avenue, 22nd Floor, New York, NY 10022	Audit Committee oversight; external auditor relationship
Board — Independent Director	BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	Sandra Villarreal	Independent Director	680 Lexington Avenue, 22nd Floor, New York, NY 10022
Board — Independent Director	BRFG	Belmont Ridge Financial Group, Inc.	Corporation (Bank Holding Company — Delaware)	Keith Yamamoto	Independent Director	680 Lexington Avenue, 22nd Floor, New York, NY 10022
Outside Counsel	C&H	Calderwood & Harkness LLP	Limited Liability Partnership (New York)	Philip Hartmann	Responsible Partner, Banking & Finance	1285 Avenue of the Americas, 40th Floor, New York, NY 10019	C&H Matter No. 1045-00002; Conflicts Check No. CC-2025-01124	8000000	Rate: $1,450/hr; Phase 1: $4.8M; Phase 2: $3.2M; retainer: $500K; expense cap: $250K; fee collar: ±15%
Outside Counsel	C&H	Calderwood & Harkness LLP	Limited Liability Partnership (New York)	Marcus Delgado	Billing Partner, intellectual Property	1285 Avenue of the Americas, 40th Floor, New York, NY 10019	1045-00002	Rate: $1,350/hr; cross-staffed for fintech patent/licensing compliance overlap in BaaS arrangements
Outside Counsel	C&H	Calderwood & Harkness LLP	Limited Liability Partnership (New York)	Yuki Nakamura	Lead Associate, Litigation (General)	1285 Avenue of the Americas, 40th Floor, New York, NY 10019	1045-00002	Rate: $895/hr
Outside Counsel	C&H	Calderwood & Harkness LLP	Limited Liability Partnership (New York)	Carlos Espinoza	Working Associate, Litigation (General)	1285 Avenue of the Americas, 40th Floor, New York, NY 10019	1045-00002	Rate: $725/hr
Independent Consultant	Thornfield	Thornfield Consulting Group LLC	Limited Liability Company (Delaware)	Dr. Vivian Castellano	Managing Director, Financial Crimes Advisory	200 Park Avenue South, 15th Floor, New York, NY 10003	TCG-BRB-2025-001	6900000	Fixed fee: $6.5M; expenses: $400K cap; monthly installment: $541,666.67; counsel: Hargrove & Stein PC, 7 Times Square, 34th Floor, NY 10036
Independent Consultant	Thornfield	Thornfield Consulting Group LLC	Limited Liability Company (Delaware)	Robert Eastman	Senior Director, BSA/AML Practice	200 Park Avenue South, 15th Floor, New York, NY 10003	TCG-BRB-2025-001	On-site assessment team lead
Independent Consultant	Thornfield	Thornfield Consulting Group LLC	Limited Liability Company (Delaware)	Jennifer Hwang	Director, OFAC & Sanctions Advisory	200 Park Avenue South, 15th Floor, New York, NY 10003	TCG-BRB-2025-001	OFAC screening validation lead
Independent Consultant	Thornfield	Thornfield Consulting Group LLC	Limited Liability Company (Delaware)	Nathaniel Burgess	Manager, Transaction Monitoring & Model Validation	200 Park Avenue South, 15th Floor, New York, NY 10003	TCG-BRB-2025-001	TMS model validation support
Regulator (Primary)	OCC	Office of the Comptroller of the Currency	Federal Banking Regulator	Jonathan Frey	National Bank Examiner / Examiner-in-Charge	340 Madison Avenue, New York, NY 10017	Consent Order No. OCC-2025-003	14500000	CMP: $14.5M; examination period: March–September 2024; prior MRA June 2022; MRIA November 2023

Regulator (Secondary)	FinCEN	Financial Crimes Enforcement Network	Federal Regulator	Angela Drummond	Associate Director, Enforcement Division	Monitoring SAR filing remediation; reserved enforcement rights per OCC coordination; no separate action as of Feb 10, 2025
Technology Vendor (Incumbent)	Veridian	Veridian Analytics Inc.	Corporation (Delaware)	Priya Subramanian	VP of Client Solutions	1900 Embarcadero Road, Suite 400, Palo Alto, CA 94303	VA-BRB-2023-0044	6000000	Current ACV: $4.1M/yr (3-yr term ending Dec 2026); TMS v.8.3→v.10.0 upgrade: $2.8M impl. + $1.9M/yr incremental; new ACV: $6.0M/yr
Technology Vendor (Alternative)	Ridgeline	Ridgeline Data Systems LLC	Limited Liability Company (Delaware)	David Marchetti	Chief Revenue Officer	500 West Monroe Street, Suite 2800, Chicago, IL 60661	7200000	Proposed: $7.2M/yr, 5-yr term, $36.0M TCV; under evaluation as contingency if Veridian upgrade insufficient
External Auditor / Testing	C&P	Caldera & Pope LLP	Limited Liability Partnership (Illinois)	Franklin Dorsey	Engagement Partner (CPA)	311 South Wacker Drive, Suite 5400, Chicago, IL 60606	4500000	BSA/AML testing fee (2024): $1.1M; annual audit fee (2024): $3.4M; Sept 2024 independent test identified deficiencies
Staffing / Managed Services	Pinnacle	Pinnacle Compliance Solutions LLC	Limited Liability Company (New York)	Andrea Solis	Director of Managed Services	90 Broad Street, 20th Floor, New York, NY 10004	PCS-BRB-2025-0012	3600000	30 FTE × $10,000/mo × 12 months = $3.6M; SAR investigators, KYC/CDD analysts, TM reviewers
Former Counsel	Drayton Mercer	Drayton Mercer LLP	Limited Liability Partnership (New York)	Helen Frazier	Former Lead Partner (BRB engagement)	55 East 52nd Street, Suite 3100, New York, NY 10055	Served 2019–2024; terminated January 2025 post-Consent Order; represented BRB during 2023–2024 OCC examination
Significant Shareholder	Brindoval	Brindoval Capital Partners LP	Limited Partnership (Delaware)	Julian Whitmore	Managing Partner	399 Park Avenue, 24th Floor, New York, NY 10022	8.3% ownership (~14.9M shares of 179.5M); counsel: Amberly Knox LLP (Steven Briggs), 600 Third Avenue, NY 10016
BaaS Partner	NovaPay	NovaPay Technologies Inc.	Corporation (Delaware)	Ethan Garrison	CEO	450 Mission Street, Suite 1200, San Francisco, CA 94105	41% of BaaS volume ($30.5B); ~2.1M end-user accounts; onboarded 2021; OFAC screening gap: 12% (~3.8M of 31.7M CY 2023 transactions unscreened)
BaaS Partner	FairLend	FairLend Digital LLC	Limited Liability Company (Delaware)	Aisha Okonkwo	CEO	100 Summer Street, Suite 800, Boston, MA 02110	28% of BaaS volume; ~$1.4B loan originations through BRB FY 2024; onboarded 2022
BaaS Partner	VaultEdge	VaultEdge Inc.	Corporation (Delaware)	Marcus Tan	CEO	2200 Ross Avenue, Suite 3600, Dallas, TX 75201	18% of BaaS volume; ~870,000 deposit accounts; onboarded 2023

[sheet: Regulatory History]

Date	Event Type	Description	Regulator / Source	BRB Response / Action	Current Status	Related Consent Order Article	Notes
2021-03-01	Model Validation	Last independent validation of Veridian TMS v.8.3 completed	BRB Internal / Caldera & Pope LLP	Validation report accepted; no follow-up validation scheduled for >3 years	Deficiency cited in Consent Order	Article IV(d)	More than 3 years elapsed before next examination; tuning parameters last updated Oct 2022
2021-06-15	BaaS Onboarding	NovaPay Technologies Inc. onboarded as BaaS partner; OFAC screening integration initiated	BRB Internal — Warren Ashby	Initial API integration for transaction screening; partial coverage deployed	Screening gap identified during 2023–2024 examination	Article IV(a)	NovaPay became largest BaaS partner by volume; screening gap not detected at onboarding
2022-06-01	MRA	OCC issues Matter Requiring Attention regarding BSA/AML transaction monitoring deficiencies	OCC	Remediation initiated under Drayton Mercer LLP guidance; incomplete	Escalated to MRIA then Consent Order	Article IV(d), Article V	First formal supervisory action in the escalation chain
2022-10-01	Model Tuning	Last tuning of Veridian TMS v.8.3 parameters	BRB Internal	Tuning completed; no subsequent updates	Deficiency cited in Consent Order	Article IV(d)	No further tuning or validation performed through Jan 2025
2023-03-15	BSA Officer Appointment	Thomas Ikeda appointed BSA Officer / AML Program Director	BRB Internal	Ikeda assumed oversight of BSA/AML department (62 FTEs); initiated internal reviews	Active	N/A	Predecessor departed; Ikeda inherited backlog and MRA obligations
2023-06-01	CRA Rating	BRB Community Reinvestment Act rating: Satisfactory	OCC	No action required	Current	N/A	CRA rating unrelated to BSA/AML deficiencies but noted for regulatory profile
2023-11-01	MRIA	OCC issues Matter Requiring Immediate Attention regarding OFAC screening gaps in BaaS channels	OCC	Partial remediation under Drayton Mercer LLP; gaps persisted in NovaPay channel	Escalated to Consent Order	Article IV(a)	12% of NovaPay transactions unscreened; ~3.8M of 31.7M in CY 2023
2024-01-15	CCO Appointment	Patricia Langston appointed Chief Compliance Officer	BRB Internal	Langston assumed CCO role; predecessor terminated	Active	N/A	Langston tasked with addressing MRA/MRIA deficiencies and preparing for OCC examination
2024-03-01	Examination Start	OCC targeted BSA/AML examination commences (6-month examination cycle)	OCC — Jonathan Frey, Examiner-in-Charge	BRB cooperated; Drayton Mercer LLP as outside counsel	Examination concluded Sept 2024	All Articles	Examination scope: OFAC screening, SAR filing, CDD/EDD, TM model validation, Board oversight
2024-09-01	Examination End / Independent Test	OCC examination concludes; Caldera & Pope BSA/AML independent test completed — identified multiple deficiencies echoed in Consent Order	OCC; Caldera & Pope LLP — Franklin Dorsey	Findings received; remediation planning deferred pending regulatory action	Findings incorporated into Consent Order	All Articles	C&P testing fee: $1.1M; audit fee: $3.4M; deficiencies across all 5 categories
2024-12-10	Consent Order Negotiation	OCC presents proposed Consent Order to BRB Board; negotiations conducted under Drayton Mercer LLP advisement	OCC	BRB Board reviewed proposed terms; authorized consent to Order subject to final terms; $14.5M CMP negotiated	Superseded by executed Consent Order	All Articles	Initial OCC proposed CMP: $18.0M; negotiated to $14.5M; Drayton Mercer's last significant action for BRB
2025-01-15	Consent Order	OCC Consent Order No. OCC-2025-003 issued; $14.5M CMP; 5 core deficiency categories; independent consultant required; full implementation by Feb 15, 2026	OCC	BRB acknowledged; terminated Drayton Mercer; engaged Calderwood & Harkness and Thornfield	Active — remediation in progress	All Articles	Effective date; 13-month remediation period through Feb 15, 2026

[sheet: Budget Tracker]

Line Item ID	Category	Vendor / Party	Description	Contract / Reference No.	Budget Allocated	Invoiced to Date	Paid to Date	Budget Remaining	% Expended	Payment Terms	Notes
BL-001	Outside Counsel	Calderwood & Harkness LLP	Phase 1 — Assessment & Remediation Plan (Feb 10 – May 15, 2025)	1045-00002	4800000	0	0	4800000	0%	Monthly; net 30 days	Hartmann $1,450/hr; Delgado $1,350/hr; Nakamura $895/hr; Espinoza $725/hr
BL-002	Outside Counsel	Calderwood & Harkness LLP	Phase 2 — Implementation & Monitoring (May 16, 2025 – Feb 15, 2026)	1045-00002	3200000	0	0	3200000	0%	Monthly; net 30 days	Total C&H: $8.0M; fee collar ±15% (overruns above $9.2M require GC approval); expense cap: $250K
BL-003	Independent Consultant — Fees	Thornfield Consulting Group LLC	12-month BSA/AML & OFAC assessment and validation engagement	TCG-BRB-2025-001	6500000	0	0	6500000	0%	Monthly installments of $541,666.67	Fixed fee; engagement Feb 2025–Feb 2026
BL-004	Independent Consultant — Expenses	Thornfield Consulting Group LLC	Reimbursable expenses capped at $400,000	TCG-BRB-2025-001	400000	0	0	400000	0%	Monthly; actual costs	Thornfield total: $6.9M ($6.5M fees + $400K expenses)
BL-005	Technology — Implementation	Veridian Analytics Inc.	TMS v.10.0 upgrade — one-time implementation fee	VA-BRB-2023-0044 (amendment)	2800000	0	0	2800000	0%	Per MSA amendment milestones	Includes OFAC module enhancement; UAT target: Aug 1, 2025
BL-006	Technology — Incremental Licensing	Veridian Analytics Inc.	TMS v.10.0 + OFAC module incremental annual licensing (Year 1)	VA-BRB-2023-0044 (amendment)	1900000	0	0	1900000	0%	Annual; per MSA amendment	Current ACV: $4.1M/yr; new ACV post-upgrade: $6.0M/yr ($4.1M + $1.9M); existing contract through Dec 2026
BL-007	Temporary Staffing	Pinnacle Compliance Solutions LLC	30 FTE BSA/AML analysts × $10,000/mo × 12 months	PCS-BRB-2025-0012	3600000	0	0	3600000	0%	Monthly ($300,000/mo)	SAR investigators, KYC/CDD analysts, TM reviewers; supports SAR backlog clearance and CDD/EDD remediation
BL-008	Internal Headcount	BRB Internal	15 permanent FTE additions to BSA/AML department (avg. $150,000 fully loaded)	N/A	2250000	0	0	2250000	0%	Payroll	Increasing headcount from 62 to 77 FTEs
BL-009	SAR Lookback Project	BRB Internal / Pinnacle / C&H	Historical SAR lookback covering prior filing deficiencies	N/A	5500000	0	0	5500000	0%	Project-based	Scope defined in SAR Lookback Scope & Methodology Memorandum
BL-010	CDD/EDD Remediation	BRB Internal / Pinnacle / C&H	Remediation of 47,000 high-risk accounts lacking CDD/EDD documentation	N/A	4300000	0	0	4300000	0%	Project-based	50% by Jul 15, 2025 (23,500 accounts); 100% by Jan 15, 2026
BL-011	Training & Policy Development	BRB Internal / C&H	Enterprise-wide BSA/AML training; policy suite overhaul; Board training	N/A	1800000	0	0	1800000	0%	Project-based	Includes OFAC-specific training module
BL-012	Governance Restructuring	BRB Internal / C&H	Board Compliance Committee establishment; bylaws amendment; reporting framework	N/A	500000	0	0	500000	0%	Project-based	Compliance Committee Chair: James Rutherford
BL-013	Contingency Reserve	BRB Internal	Unallocated contingency within board-approved remediation budget	N/A	4950000	0	0	4950000	0%	As needed; GC approval required	Covers potential overruns, scope changes, additional vendor costs; does not include C&H fee collar overrun
BL-SUBTOTAL	SUBTOTAL — Remediation Budget (excl. CMP)	Board-approved remediation budget	42500000	0	0	42500000	0%	Board authorized $42,500,000 per Article III resolution; includes $4.95M contingency
BL-014	Civil Money Penalty	U.S. Treasury / OCC	CMP per Consent Order No. OCC-2025-003; due March 16, 2025	OCC-2025-003	14500000	0	0	14500000	0%	Lump sum; wire transfer	Non-deductible under 26 U.S.C. § 162(f)
BL-TOTAL	GRAND TOTAL (incl. CMP)	Total remediation outlay	57000000	0	0	57000000	0%	Target grand total: $57,000,000 ($42.5M remediation + $14.5M CMP); BRB pre-remediation BSA/AML budget FY 2024: $18.2M

[sheet: Document Index]

Doc ID	Document Title	Workstream / Category	Consent Order Article	Author / Preparer	Target Completion Date	Actual Completion Date	Status	Related Milestone ID	Notes
DOC-01	Consent Order No. OCC-2025-003	Regulatory / Governance	All Articles	OCC	2025-01-15	2025-01-15	Final	MS-001	Effective date Jan 15, 2025; acknowledged by BRB
DOC-02	8-K Filing — Consent Order Disclosure	Disclosure / Shareholder	N/A	Samantha Reeves, CFO; Gregory Nardone, General Counsel	2025-01-16	2025-01-16	Filed	MS-002	Filed with SEC; NYSE: BRFG
DOC-03	Drayton Mercer LLP Termination Letter	Counsel Transition	N/A	Gregory Nardone, General Counsel	2025-01-31	2025-01-31	Final	MS-003	File transfer protocol initiated concurrently
DOC-04	OCC Non-Objection Letter — Thornfield Consulting Group LLC	Independent Consultant	Article VII	OCC — Jonathan Frey	2025-02-05	2025-02-05	Final	MS-004	Non-objection to Thornfield as independent consultant
DOC-05	Calderwood & Harkness LLP Engagement Letter	Engagement / Counsel	N/A	Calderwood & Harkness LLP — Philip Hartmann	2025-02-10	2025-02-10	Final	MS-005	C&H Matter No. 1045-00002; fee structure: Phase 1 $4.8M, Phase 2 $3.2M
DOC-06	Thornfield Consulting Engagement Agreement	Independent Consultant	Article VII	Thornfield Consulting Group LLC / Gregory Nardone	2025-02-10	2025-02-10	Final	MS-005, MS-007	TCG-BRB-2025-001; $6.5M fixed fee + $400K expenses
DOC-07	C&H Retainer Acknowledgment Letter	Engagement / Counsel	N/A	Gregory Nardone, General Counsel	2025-02-12	2025-02-12	Final	MS-006	$500,000 evergreen retainer deposited
DOC-08	Privilege Side Letter — Thornfield / C&H / BRB	Independent Consultant / Counsel	Article VII	Calderwood & Harkness LLP	2025-02-15	Draft	MS-009	Defines privilege protocol for Thornfield on-site assessment
DOC-09	Board Resolution — Acknowledgment of Consent Order & Establishment of Compliance Committee	Governance (WS5)	Article III	Calderwood & Harkness LLP	2025-02-28	Draft	MS-008	For adoption by BRFG Board; authorizes $42.5M remediation budget; establishes Compliance Committee
DOC-10	Compliance Committee Charter	Governance (WS5)	Article III	Calderwood & Harkness LLP	2025-02-28	Draft	MS-008	Defines Committee membership, authorities, and reporting obligations
DOC-11	Amended and Restated Bylaws (Redline)	Governance (WS5)	Article III	Calderwood & Harkness LLP	2025-02-28	Draft	MS-008	Incorporates Compliance Committee provisions
DOC-12	Access & Cooperation Protocol — Thornfield On-Site Assessment	Independent Consultant	Article VII	Calderwood & Harkness LLP / Patricia Langston	2025-03-01	Draft	MS-009	Defines data access, interview scheduling, document production protocols
DOC-13	CMP Payment Logistics Memorandum	Penalty / Financial	Article II	Calderwood & Harkness LLP	2025-03-10	Draft	MS-010	Wire instructions; tax treatment analysis (26 U.S.C. § 162(f))
DOC-14	Interim SAR Backlog Status Report	WS2 — SAR Backlog	Article V	Calderwood & Harkness LLP / Thomas Ikeda	2025-03-31	Draft	MS-011	Reports on 2,400 alert disposition progress and Pinnacle staffing deployment
DOC-15	Pinnacle Managed Services Agreement / SOW	WS2 — Staffing	Article V	Calderwood & Harkness LLP / Pinnacle Compliance Solutions	2025-02-28	Draft	MS-011, MS-015	SOW Ref: PCS-BRB-2025-0012; $3.6M; 30 FTE × 12 months
DOC-16	Veridian MSA Amendment (TMS v.10.0 + OFAC Module)	WS1 / WS4 — Technology	Article IV(a), IV(d)	Calderwood & Harkness LLP / Veridian Analytics	2025-03-31	Draft	MS-017, MS-020	Contract No. VA-BRB-2023-0044; $2.8M implementation + $1.9M/yr incremental
DOC-17	Thornfield Preliminary Gap Assessment Report	Independent Consultant	Article VII	Thornfield Consulting Group LLC	2025-04-15	Not Started	MS-012	Covers all 5 deficiency categories; informs Comprehensive Remediation Action Plan
DOC-18	Comprehensive Remediation Action Plan	All Workstreams	Article IV	Calderwood & Harkness LLP	2025-05-15	Not Started	MS-013	Master plan for OCC submission; integrates all 5 workstreams; end of C&H Phase 1
DOC-19	SAR Lookback Scope & Methodology Memorandum	WS2 — SAR Backlog	Article V	Calderwood & Harkness LLP / Thomas Ikeda	2025-04-30	Not Started	MS-015	Defines historical lookback period, sampling methodology, and remedial filing criteria
DOC-20	Revised SAR Policy & Procedures	WS2 — SAR Backlog	Article V	Thomas Ikeda / Patricia Langston / C&H	2025-05-15	Not Started	MS-015	Targeting 30-day filing standard; SAR quality assurance framework
DOC-21	CDD/EDD Remediation Policy & Procedures	WS3 — CDD/EDD	Article VI	Patricia Langston / C&H	2025-05-15	Not Started	MS-016, MS-022	Revised CDD/EDD policy; BaaS partner responsibility matrix
DOC-22	BaaS Partner Compliance Remediation Letters	WS1 / WS3 — BaaS	Article IV(a), Article VI	Warren Ashby / Calderwood & Harkness LLP	2025-03-31	Draft	MS-020, MS-022	Letters to all 14 BaaS partners requiring compliance with revised OFAC and CDD/EDD standards
DOC-23	OFAC Remediation Testing Plan	WS1 — OFAC Screening	Article IV(a)	Thornfield — Jennifer Hwang / Thomas Ikeda	2025-06-30	Not Started	MS-020	Defines validation methodology for 100% OFAC screening across all BaaS channels
DOC-24	First Quarterly Progress Report to OCC	OCC Reporting	Article VIII	Calderwood & Harkness LLP	2025-09-15	Not Started	MS-018	Covers all workstreams; submitted to OCC Northeastern District Office

DOC-25	Independent Model Validation Report — Veridian TMS v.10.0	WS4 — TM Model Validation	Article IV(d)	Caldera & Pope LLP — Franklin Dorsey; Thornfield (oversight)	2025-10-01	Not Started	MS-019	Independent validation of upgraded TMS; includes tuning recommendations
DOC-26	Second Quarterly Progress Report to OCC	OCC Reporting	Article VIII	Calderwood & Harkness LLP	2025-12-15	Not Started	MS-021	Covers model validation, OFAC operationalization, CDD/EDD progress
DOC-27	Thornfield Final Validation Report	Independent Consultant	Article VII	Thornfield Consulting Group LLC	2026-02-15	Not Started	MS-023	Validates full compliance program implementation across all 5 workstreams
DOC-28	Compliance Self-Certification to OCC	Final Certification	Article IX	Calderwood & Harkness LLP / Diane Whitford	2026-02-15	Not Started	MS-023	Supported by Thornfield final validation report; certifies full Consent Order compliance

[sheet: Master Timeline]
Milestone ID | Date / Deadline | Consent Order Article | Workstream | Milestone Description | Responsible Party — BRB | Responsible Party — External | Status | Completion Date | Completion Evidence / Documentation | Days Until Deadline | Notes / Comments
MS-001 | 2025-01-15 | Article I | Regulatory / Governance | Consent Order No. OCC-2025-003 effective date | Gregory Nardone, General Counsel | OCC — Jonathan Frey, Examiner-in-Charge | Complete | 2025-01-15 | Consent Order issued by OCC; acknowledged by BRB | 0 | OCC Charter No. 48271; FDIC Certificate No. 31845
MS-002 | 2025-01-16 | N/A | Disclosure / Shareholder | BRFG public disclosure of Consent Order (8-K filing); stock price declined to $41.15/share (from approx. $47.82 pre-disclosure; decline of ~$6.67/share or 13.9%) | Samantha Reeves, CFO; Gregory Nardone, General Counsel | N/A | Complete | 2025-01-16 | 8-K filed with SEC; BRFG ticker NYSE: BRFG | 0 | Market cap impact: 179.5M shares outstanding; post-disclosure market cap ~$7.39B vs. pre-disclosure ~$8.58B
MS-003 | 2025-01-31 | N/A | Counsel Transition | Termination of Drayton Mercer LLP as outside regulatory counsel; engagement of successor counsel initiated | Gregory Nardone, General Counsel | Drayton Mercer LLP — Helen Frazier (former lead partner) | Complete | 2025-01-31 | Termination letter to Drayton Mercer; file transfer protocol initiated | 0 | Drayton Mercer served as BRB outside regulatory counsel 2019–2024; represented BRB during 2023–2024 OCC examination cycle
MS-004 | 2025-02-05 | Article VII | Independent Consultant | OCC non-objection received for Thornfield Consulting Group LLC as independent consultant | Gregory Nardone, General Counsel; Patricia Langston, CCO | Thornfield Consulting Group LLC — Dr. Vivian Castellano, Managing Director | Complete | 2025-02-05 | OCC non-objection letter received; Thornfield Engagement Ref: TCG-BRB-2025-001 | 0 | Non-objection submitted per Article VII of Consent Order; proposal included team: Robert Eastman, Jennifer Hwang, Nathaniel Burgess
MS-005 | 2025-02-10 | N/A | Engagement / Counsel | Calderwood & Harkness LLP engagement opens; Thornfield Consulting engagement agreement executed | Gregory Nardone, General Counsel | Calderwood & Harkness LLP — Philip Hartmann, Responsible Partner; Thornfield Consulting Group LLC | Complete | 2025-02-10 | C&H engagement letter executed; C&H Matter No. 1045-00002; Thornfield engagement agreement (TCG-BRB-2025-001) executed; $6.5M fixed fee + $400K expenses | 0 | C&H team: Philip Hartmann ($1,450/hr), Marcus Delgado ($1,350/hr), Yuki Nakamura ($895/hr), Carlos Espinoza ($725/hr); Total C&H estimated fees: $8.0M (Phase 1: $4.8M, Phase 2: $3.2M)
MS-006 | 2025-02-12 | N/A | Engagement / Counsel | C&H $500,000 evergreen retainer deposited into client trust account | Gregory Nardone, General Counsel; Samantha Reeves, CFO | Calderwood & Harkness LLP — Philip Hartmann | Complete | 2025-02-12 | Retainer acknowledgment letter from Gregory Nardone to Philip Hartmann dated Feb 12, 2025 | 0 | Fee collar: ±15%; overruns above $9,200,000 require GC written approval; expense cap: $250,000
MS-007 | 2025-02-15 | Article VII | Independent Consultant | Deadline for independent consultant engagement (met ahead of deadline — Thornfield engaged Feb 10, 2025) | Gregory Nardone, General Counsel | Thornfield Consulting Group LLC | Complete | 2025-02-10 | Engagement agreement fully executed 5 days prior to deadline | 0 | Thornfield monthly installments: $541,666.67 ($6.5M ÷ 12)
MS-008 | 2025-02-28 | Article III | Governance | Board Resolution deadline (45 days from Consent Order): acknowledge Consent Order, establish Compliance Committee, authorize $42,500,000 remediation budget (excl. $14.5M CMP) | Diane Whitford, CEO & Board Chair; James Rutherford, Compliance Committee Chair; Arthur Connelly, Lead Independent Director | Calderwood & Harkness LLP (drafted resolution) | In Progress | Draft Board Resolution prepared by C&H; Compliance Committee Charter drafted; Amended Bylaws in redline; total outlay incl. CMP: $57,000,000 | 0 | Compliance Committee chaired by James Rutherford; Audit Committee: Margaret Dao; Risk Committee: Arthur Connelly; additional independent directors: Sandra Villarreal, Keith Yamamoto
MS-009 | 2025-03-01 | Article VII | Independent Consultant | Thornfield Consulting Group on-site assessment commences at BRB headquarters (680 Lexington Avenue, 22nd Floor, New York, NY 10022) | Patricia Langston, CCO; Thomas Ikeda, BSA Officer; Linda Petrosian, CIO; Warren Ashby, Head of BaaS | Thornfield — Dr. Vivian Castellano, Robert Eastman, Jennifer Hwang, Nathaniel Burgess | Not Started | Access & Cooperation Protocol distributed; privilege side letter executed | 0 | On-site assessment covers all 5 deficiency categories: OFAC screening, SAR filing, CDD/EDD, model validation, Board oversight
MS-010 | 2025-03-16 | Article II | Penalty / Financial | Civil Money Penalty payment of $14,500,000 due to U.S. Treasury (60 days from Consent Order effective date of Jan 15, 2025) | Samantha Reeves, CFO; Gregory Nardone, General Counsel | OCC | Not Started | Wire instructions per OCC; CMP payment logistics memorandum prepared by C&H; non-deductible under 26 U.S.C. § 162(f) | 0 | Total assets: $38.7B; net income FY 2024: $412M; Tier 1 capital ratio: 11.2%
MS-011 | 2025-03-31 | Article V | WS2 — SAR Backlog | Interim SAR backlog status report due to OCC: progress on 2,400 unreviewed alerts; Pinnacle staffing deployment status (30 temp FTEs) | Thomas Ikeda, BSA Officer; Patricia Langston, CCO | Calderwood & Harkness LLP — Yuki Nakamura; Pinnacle Compliance Solutions LLC — Andrea Solis | Not Started | Draft interim report prepared by C&H; Pinnacle SOW Ref: PCS-BRB-2025-0012; staffing cost: $3,600,000 (30 FTE × $10,000/mo × 12 months) | 0 | SAR backlog as of Sept 2024: 2,400 alerts; avg filing time: 78 days vs. 30-day target; CY 2024 SARs filed: 3,847; BaaS-related SARs: 2,108 (54.8%)
MS-012 | 2025-04-15 | Article VII | Independent Consultant | Thornfield delivers preliminary gap assessment report covering all 5 deficiency categories | Patricia Langston, CCO | Thornfield — Dr. Vivian Castellano | Not Started | Gap assessment report to be shared with C&H and BRB; informs Comprehensive Remediation Action Plan | 0 | Deficiency categories: (1) OFAC screening — 12% unscreened NovaPay transactions (~3.8M of 31.7M in CY 2023); (2) SAR filing; (3) CDD/EDD — 47,000 accounts; (4) Model validation — TMS v.8.3 last validated March 2021; (5) Board oversight
MS-013 | 2025-05-15 | Article IV | Remediation Action Plan | Comprehensive Remediation Action Plan due to OCC (end of C&H Phase 1); transmitted via cover letter to Jonathan Frey at OCC Northeastern District Office, 340 Madison Avenue, New York, NY 10017 | Gregory Nardone, General Counsel; Patricia Langston, CCO; Thomas Ikeda, BSA Officer | Calderwood & Harkness LLP — Philip Hartmann | Not Started | RAP integrates all 5 workstreams; Executive Summary for Board/Compliance Committee; C&H Phase 1 fees: $4,800,000 | 0 | Total remediation budget (excl. CMP): $42,500,000; includes C&H ($8.0M), Thornfield ($6.9M), Veridian upgrade ($4.7M), Pinnacle ($3.6M), headcount ($2.25M), SAR lookback ($5.5M), CDD/EDD ($4.3M), training ($1.8M), governance ($0.5M)
MS-014 | 2025-05-16 | N/A | Engagement / Counsel | C&H Phase 2 (Implementation & Monitoring) begins; estimated fees: $3,200,000 through Feb 15, 2026 | Gregory Nardone, General Counsel | Calderwood & Harkness LLP — Philip Hartmann | Not Started | Phase transition; monthly billing net 30 days continues | 0
MS-015 | 2025-06-30 | Article V | WS2 — SAR Backlog | SAR backlog clearance target: all 2,400 unreviewed alerts fully dispositioned; average filing time reduced toward 30-day target | Thomas Ikeda, BSA Officer | Pinnacle Compliance Solutions LLC — Andrea Solis (30 temp FTEs); Calderwood & Harkness LLP — Yuki Nakamura | Not Started | SAR lookback project ($5.5M) in parallel; revised SAR policy targeting 30-day filing; SAR quality assurance framework established | 0 | CY 2023 SARs: 2,914; CY 2024 SARs: 3,847; CTRs CY 2024: 28,612; TM alerts CY 2024: 41,500; SAR conversion rate: 9.3%
MS-016 | 2025-07-15 | Article VI | WS3 — CDD/EDD Remediation | CDD/EDD remediation 50% milestone: 23,500 of 47,000 high-risk accounts remediated (primarily BaaS-onboarded customers) | Patricia Langston, CCO; Warren Ashby, Head of BaaS | Calderwood & Harkness LLP — Yuki Nakamura; Carlos Espinoza | Not Started | CDD/EDD remediation project budget: $4,300,000; prioritized by risk score and BaaS partner (NovaPay, FairLend Digital, VaultEdge); progress tracking dashboard deployed | 0 | BaaS partners: 14 active; top 3 by volume: NovaPay (41%, $30.5B), FairLend Digital (28%), VaultEdge (18%); total BaaS volume CY 2024: $74.3B; BaaS revenue: $127.4M
MS-017 | 2025-08-01 | Article IV(d) | WS4 — TM Model Validation | Veridian TMS v.10.0 UAT complete and deployed; upgrade from v.8.3 (Contract No. VA-BRB-2023-0044) | Linda Petrosian, CIO; Thomas Ikeda, BSA Officer | Veridian Analytics Inc. — Priya Subramanian; Calderwood & Harkness LLP — Carlos Espinoza | Not Started | Implementation cost: $2,800,000 (one-time); incremental licensing: $1,900,000/yr; new ACV: $6,000,000/yr; includes OFAC module enhancement | 0 | TMS v.8.3 last validated March 2021 (>3 years); last tuned October 2022; Ridgeline Data Systems ($7.2M/yr, 5-yr term, $36M TCV) evaluated as contingency — David Marchetti, CRO
MS-018 | 2025-09-15 | Article VIII | OCC Reporting | First quarterly progress report due to OCC — covers all 5 workstreams, SAR backlog status, CDD/EDD progress, TMS deployment, OFAC remediation | Patricia Langston, CCO; Gregory Nardone, General Counsel | Calderwood & Harkness LLP — Philip Hartmann | Not Started | Draft prepared by C&H; submitted to OCC Northeastern District Office attn: Jonathan Frey | 0
MS-019 | 2025-10-01 | Article IV(d) | WS4 — TM Model Validation | Independent model validation of upgraded Veridian TMS v.10.0 complete | Thomas Ikeda, BSA Officer; Melissa Chu, CRO | Thornfield Consulting Group (validation oversight); Caldera & Pope LLP — Franklin Dorsey (independent testing) | Not Started | Caldera & Pope BSA/AML testing fee (2024): $1,100,000; annual audit fee: $3,400,000; prior independent test completed Sept 2024 identified deficiencies echoed in Consent Order | 0 | OFAC screening hits CY 2024: 14,320 (12 true matches; false-positive rate: 99.9%)
MS-020 | 2025-11-01 | Article IV(a) | WS1 — OFAC Screening | OFAC screening fully operational for all BaaS channels — 100% of transactions screened in real-time and batch processing across all 14 fintech partners | Thomas Ikeda, BSA Officer; Warren Ashby, Head of BaaS; Linda Petrosian, CIO | Veridian Analytics Inc. — Priya Subramanian; Thornfield — Jennifer Hwang (validation) | Not Started | Addresses core deficiency: 12% unscreened NovaPay transactions (3,800,000 of 31,700,000 in CY 2023); OFAC remediation testing plan defines validation methodology | 0 | NovaPay (Ethan Garrison, CEO) and all BaaS partners subject to compliance remediation letters and revised BaaS program agreement addendum
MS-021 | 2025-12-15 | Article VIII | OCC Reporting | Second quarterly progress report due to OCC — covers model validation completion, OFAC screening operationalization, CDD/EDD progress toward 100% | Patricia Langston, CCO; Gregory Nardone, General Counsel | Calderwood & Harkness LLP — Philip Hartmann | Not Started | Draft prepared by C&H; submitted to OCC | 0
MS-022 | 2026-01-15 | Article VI | WS3 — CDD/EDD Remediation | CDD/EDD remediation 100% milestone: all 47,000 high-risk accounts fully remediated with adequate CDD/EDD documentation | Patricia Langston, CCO; Warren Ashby, Head of BaaS | Calderwood & Harkness LLP; Thornfield Consulting Group | Not Started | Full remediation of all BaaS-onboarded and other high-risk customer accounts; revised CDD/EDD policy fully implemented; BaaS partner responsibility matrix enforced | 0 | FairLend Digital (Aisha Okonkwo, CEO): $1.4B loan originations FY 2024; VaultEdge (Marcus Tan, CEO): ~870,000 deposit accounts; NovaPay: ~2.1M end-user accounts
MS-023 | 2026-02-15 | Article IX | Self-Certification / Final | Full compliance program implementation; Thornfield delivers final validation report; Consent Order compliance self-certification due to OCC | Diane Whitford, CEO; Gregory Nardone, General Counsel; Patricia Langston, CCO | Calderwood & Harkness LLP — Philip Hartmann; Thornfield — Dr. Vivian Castellano | Not Started | Self-certification drafted by C&H; supported by Thornfield final validation report; BSA/AML headcount at target 77 FTEs (62 existing + 15 new); all 5 workstreams complete | 0 | End of C&H Phase 2; end of Thornfield 12-month engagement; Veridian existing contract continues through Dec 2026
[sheet: Workstream Summary]
Workstream ID | Workstream Name | Description | BRB Lead | External Lead | Budget Allocated | Budget Spent to Date | Budget Remaining | % Budget Used | Total Milestones | Milestones Complete | Milestones In Progress | Milestones At Risk / Overdue | % Milestones Complete | Key Metric | Key Metric — Baseline | Key Metric — Current | Key Metric — Target | Next Major Deadline | Overall RAG Status
WS1 | OFAC Sanctions Screening Remediation | Remediate OFAC screening gaps across all BaaS channels; achieve 100% transaction screening; address NovaPay 12% gap (3.8M unscreened transactions in CY 2023 out of 31.7M) | Thomas Ikeda, BSA Officer; Warren Ashby, Head of BaaS | Veridian Analytics — Priya Subramanian; Thornfield — Jennifer Hwang | 4700000 | 0 | 4700000 | 0% | 3 | 0 | 0 | 0 | 0% | % BaaS transactions screened by OFAC lists | ~88% (12% unscreened for NovaPay channel) | TBD | 100% | 2025-11-01 | Green
WS2 | SAR Backlog Clearance & Process Improvement | Disposition 2,400 unreviewed alerts; reduce avg SAR filing time from 78 days to ≤30 days; SAR lookback project; deploy 30 Pinnacle temp FTEs | Thomas Ikeda, BSA Officer | Pinnacle — Andrea Solis; C&H — Yuki Nakamura | 9100000 | 0 | 9100000 | 0% | 3 | 0 | 0 | 0 | 0% | Unreviewed SAR alerts remaining | 2,400 (Sept 2024) | TBD | 0 | 2025-06-30 | Green
WS3 | CDD/EDD Remediation | Remediate 47,000 high-risk accounts lacking adequate CDD/EDD; phased milestones: 50% by Jul 15, 2025; 100% by Jan 15, 2026 | Patricia Langston, CCO; Warren Ashby, Head of BaaS | C&H — Yuki Nakamura, Carlos Espinoza | 4300000 | 0 | 4300000 | 0% | 2 | 0 | 0 | 0 | 0% | High-risk accounts remediated | 0 of 47,000 | TBD | 47,000 (100%) | 2025-07-15 | Green
WS4 | Transaction Monitoring Model Validation & Tuning | Upgrade Veridian TMS v.8.3 to v.10.0; complete UAT by Aug 1, 2025; independent model validation by Oct 1, 2025; last validation March 2021, last tuning Oct 2022 | Linda Petrosian, CIO; Thomas Ikeda, BSA Officer | Veridian Analytics — Priya Subramanian; Caldera & Pope — Franklin Dorsey (testing) | 4700000 | 0 | 4700000 | 0% | 2 | 0 | 0 | 0 | 0% | TMS version deployed & validated | v.8.3 (unvalidated since March 2021) | TBD | v.10.0 validated | 2025-08-01 | Green
WS5 | BSA/AML Program Governance & Training Enhancement | Establish Compliance Committee; restructure BSA/AML dept (62→77 FTEs + 30 temp); enterprise-wide training; policy suite overhaul | Patricia Langston, CCO; Diane Whitford, CEO (Board-level); Derek Ballard, Internal Audit | C&H — Philip Hartmann; Thornfield — Dr. Vivian Castellano | 4550000 | 0 | 4550000 | 0% | 3 | 0 | 0 | 0 | 0% | BSA/AML FTE headcount | 62 FTEs | TBD | 77 FTEs (permanent) + 30 temp during remediation | 2025-02-28 | Green
CMP | Civil Money Penalty | Payment of $14,500,000 to U.S. Treasury per Consent Order; due 60 days from effective date | Samantha Reeves, CFO | OCC | 14500000 | 0 | 14500000 | 0% | 1 | 0 | 0 | 0 | 0% | Payment status | Unpaid | TBD | Paid in full | 2025-03-16 | Green
EXT-SC | Outside Counsel (Calderwood & Harkness LLP) | Regulatory advisory & remediation counsel; Phase 1: $4.8M (Feb 10–May 15, 2025); Phase 2: $3.2M (May 16, 2025–Feb 15, 2026); retainer: $500K; expense cap: $250K | Gregory Nardone, General Counsel | C&H — Philip Hartmann (Responsible Partner), Marcus Delgado (Billing Partner) | 8000000 | 0 | 8000000 | 0% | 3 | 1 | 1 | 0 | 33% | Fees incurred vs. fee collar | $0 | TBD | ≤$9,200,000 (fee collar at +15%) | 2025-05-15 | Green
EXT-TCG | Independent Consultant (Thornfield Consulting Group LLC) | OCC-mandated independent assessment & validation; fixed fee $6,500,000 + $400,000 expenses = $6,900,000 total; 12-month engagement Feb 2025–Feb 2026 | Patricia Langston, CCO | Thornfield — Dr. Vivian Castellano, Robert Eastman, Jennifer Hwang, Nathaniel Burgess | 6900000 | 0 | 6900000 | 0% | 4 | 1 | 1 | 0 | 25% | Assessment milestones delivered | 0 of 3 (gap assessment, progress validation, final report) | TBD | 3 of 3 | 2025-04-15 | Green
TOTAL | GRAND TOTAL | All workstreams, CMP, outside counsel, and independent consultant | 57000000 | 0 | 57000000 | 0% | 21 | 2 | 2 | 0 | 10%
[sheet: Key Parties & Contacts]
Category | Organization | Full Legal Name | Entity Type | Name | Title / Role | Address | Reference / Contract No. | Engagement Value | Notes
Client — Bank | BRB | Belmont Ridge Bank National Association | National Banking Association | Diane Whitford | CEO & Board Chair | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | OCC Charter No. 48271; FDIC Cert. No. 31845; EIN 13-6148320; RSSD ID 1247893 | Total assets: $38.7B; deposits: $29.4B; BSA/AML budget FY 2024: $18.2M; BaaS partners: 14
Client — Holding Co. | BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | Diane Whitford | CEO & Board Chair | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | NYSE: BRFG; EIN 83-2947561 | Shares outstanding: 179.5M; stock price (Feb 7, 2025): $47.82; market cap: ~$8.58B; net income FY 2024: $412M
Client — General Counsel | BRB | Belmont Ridge Bank National Association | National Banking Association | Gregory Nardone | General Counsel | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Primary point of contact for outside counsel and regulatory correspondence
Client — CFO | BRB / BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | Samantha Reeves | Chief Financial Officer | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Responsible for CMP payment, 8-K filing, budget oversight
Client — BSA/AML | BRB | Belmont Ridge Bank National Association | National Banking Association | Thomas Ikeda | BSA Officer / AML Program Director | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Appointed March 2023; BSA/AML dept: 62 FTEs (target: 77); CY 2024 SARs: 3,847; CTRs: 28,612; TM alerts: 41,500
Client — Compliance | BRB | Belmont Ridge Bank National Association | National Banking Association | Patricia Langston | Chief Compliance Officer | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Appointed January 2024; predecessor terminated
Client — BaaS | BRB | Belmont Ridge Bank National Association | National Banking Association | Warren Ashby | Head of Fintech Partnerships / BaaS Division | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | 14 active BaaS partners; CY 2024 BaaS revenue: $127.4M; transaction volume: $74.3B
Client — CIO | BRB | Belmont Ridge Bank National Association | National Banking Association | Linda Petrosian | Chief Information Officer | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Oversees Veridian TMS deployment and technology infrastructure for BSA/AML systems
Client — CRO | BRB | Belmont Ridge Bank National Association | National Banking Association | Melissa Chu | Chief Risk Officer | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Model risk oversight; independent validation sign-off
Client — Internal Audit | BRB | Belmont Ridge Bank National Association | National Banking Association | Derek Ballard | Head of Internal Audit | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Third line of defense; governance workstream involvement
Board — Compliance Committee | BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | James Rutherford | Compliance Committee Chair (Independent Director) | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Committee established per Article III of Consent Order
Board — Lead Independent | BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | Arthur Connelly | Lead Independent Director; Risk Committee Chair | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Risk Committee oversight of remediation program
Board — Audit Committee | BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | Margaret Dao | Audit Committee Chair (Independent Director) | 680 Lexington Avenue, 22nd Floor, New York, NY 10022 | Audit Committee oversight; external auditor relationship
Board — Independent Director | BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | Sandra Villarreal | Independent Director | 680 Lexington Avenue, 22nd Floor, New York, NY 10022
Board — Independent Director | BRFG | Belmont Ridge Financial Group, Inc. | Corporation (Bank Holding Company — Delaware) | Keith Yamamoto | Independent Director | 680 Lexington Avenue, 22nd Floor, New York, NY 10022
Outside Counsel | C&H | Calderwood & Harkness LLP | Limited Liability Partnership (New York) | Philip Hartmann | Responsible Partner, Banking & Finance | 1285 Avenue of the Americas, 40th Floor, New York, NY 10019 | C&H Matter No. 1045-00002; Conflicts Check No. CC-2025-01124 | 8000000 | Rate: $1,450/hr; Phase 1: $4.8M; Phase 2: $3.2M; retainer: $500K; expense cap: $250K; fee collar: ±15%
Outside Counsel | C&H | Calderwood & Harkness LLP | Limited Liability Partnership (New York) | Marcus Delgado | Billing Partner, intellectual Property | 1285 Avenue of the Americas, 40th Floor, New York, NY 10019 | 1045-00002 | Rate: $1,350/hr; cross-staffed for fintech patent/licensing compliance overlap in BaaS arrangements
Outside Counsel | C&H | Calderwood & Harkness LLP | Limited Liability Partnership (New York) | Yuki Nakamura | Lead Associate, Litigation (General) | 1285 Avenue of the Americas, 40th Floor, New York, NY 10019 | 1045-00002 | Rate: $895/hr
Outside Counsel | C&H | Calderwood & Harkness LLP | Limited Liability Partnership (New York) | Carlos Espinoza | Working Associate, Litigation (General) | 1285 Avenue of the Americas, 40th Floor, New York, NY 10019 | 1045-00002 | Rate: $725/hr
Independent Consultant | Thornfield | Thornfield Consulting Group LLC | Limited Liability Company (Delaware) | Dr. Vivian Castellano | Managing Director, Financial Crimes Advisory | 200 Park Avenue South, 15th Floor, New York, NY 10003 | TCG-BRB-2025-001 | 6900000 | Fixed fee: $6.5M; expenses: $400K cap; monthly installment: $541,666.67; counsel: Hargrove & Stein PC, 7 Times Square, 34th Floor, NY 10036
Independent Consultant | Thornfield | Thornfield Consulting Group LLC | Limited Liability Company (Delaware) | Robert Eastman | Senior Director, BSA/AML Practice | 200 Park Avenue South, 15th Floor, New York, NY 10003 | TCG-BRB-2025-001 | On-site assessment team lead
Independent Consultant | Thornfield | Thornfield Consulting Group LLC | Limited Liability Company (Delaware) | Jennifer Hwang | Director, OFAC & Sanctions Advisory | 200 Park Avenue South, 15th Floor, New York, NY 10003 | TCG-BRB-2025-001 | OFAC screening validation lead
Independent Consultant | Thornfield | Thornfield Consulting Group LLC | Limited Liability Company (Delaware) | Nathaniel Burgess | Manager, Transaction Monitoring & Model Validation | 200 Park Avenue South, 15th Floor, New York, NY 10003 | TCG-BRB-2025-001 | TMS model validation support
Regulator (Primary) | OCC | Office of the Comptroller of the Currency | Federal Banking Regulator | Jonathan Frey | National Bank Examiner / Examiner-in-Charge | 340 Madison Avenue, New York, NY 10017 | Consent Order No. OCC-2025-003 | 14500000 | CMP: $14.5M; examination period: March–September 2024; prior MRA June 2022; MRIA November 2023
Regulator (Secondary) | FinCEN | Financial Crimes Enforcement Network | Federal Regulator | Angela Drummond | Associate Director, Enforcement Division | Monitoring SAR filing remediation; reserved enforcement rights per OCC coordination; no separate action as of Feb 10, 2025
Technology Vendor (Incumbent) | Veridian | Veridian Analytics Inc. | Corporation (Delaware) | Priya Subramanian | VP of Client Solutions | 1900 Embarcadero Road, Suite 400, Palo Alto, CA 94303 | VA-BRB-2023-0044 | 6000000 | Current ACV: $4.1M/yr (3-yr term ending Dec 2026); TMS v.8.3→v.10.0 upgrade: $2.8M impl. + $1.9M/yr incremental; new ACV: $6.0M/yr
Technology Vendor (Alternative) | Ridgeline | Ridgeline Data Systems LLC | Limited Liability Company (Delaware) | David Marchetti | Chief Revenue Officer | 500 West Monroe Street, Suite 2800, Chicago, IL 60661 | 7200000 | Proposed: $7.2M/yr, 5-yr term, $36.0M TCV; under evaluation as contingency if Veridian upgrade insufficient
External Auditor / Testing | C&P | Caldera & Pope LLP | Limited Liability Partnership (Illinois) | Franklin Dorsey | Engagement Partner (CPA) | 311 South Wacker Drive, Suite 5400, Chicago, IL 60606 | 4500000 | BSA/AML testing fee (2024): $1.1M; annual audit fee (2024): $3.4M; Sept 2024 independent test identified deficiencies
Staffing / Managed Services | Pinnacle | Pinnacle Compliance Solutions LLC | Limited Liability Company (New York) | Andrea Solis | Director of Managed Services | 90 Broad Street, 20th Floor, New York, NY 10004 | PCS-BRB-2025-0012 | 3600000 | 30 FTE × $10,000/mo × 12 months = $3.6M; SAR investigators, KYC/CDD analysts, TM reviewers
Former Counsel | Drayton Mercer | Drayton Mercer LLP | Limited Liability Partnership (New York) | Helen Frazier | Former Lead Partner (BRB engagement) | 55 East 52nd Street, Suite 3100, New York, NY 10055 | Served 2019–2024; terminated January 2025 post-Consent Order; represented BRB during 2023–2024 OCC examination
Significant Shareholder | Brindoval | Brindoval Capital Partners LP | Limited Partnership (Delaware) | Julian Whitmore | Managing Partner | 399 Park Avenue, 24th Floor, New York, NY 10022 | 8.3% ownership (~14.9M shares of 179.5M); counsel: Amberly Knox LLP (Steven Briggs), 600 Third Avenue, NY 10016
BaaS Partner | NovaPay | NovaPay Technologies Inc. | Corporation (Delaware) | Ethan Garrison | CEO | 450 Mission Street, Suite 1200, San Francisco, CA 94105 | 41% of BaaS volume ($30.5B); ~2.1M end-user accounts; onboarded 2021; OFAC screening gap: 12% (~3.8M of 31.7M CY 2023 transactions unscreened)
BaaS Partner | FairLend | FairLend Digital LLC | Limited Liability Company (Delaware) | Aisha Okonkwo | CEO | 100 Summer Street, Suite 800, Boston, MA 02110 | 28% of BaaS volume; ~$1.4B loan originations through BRB FY 2024; onboarded 2022
BaaS Partner | VaultEdge | VaultEdge Inc. | Corporation (Delaware) | Marcus Tan | CEO | 2200 Ross Avenue, Suite 3600, Dallas, TX 75201 | 18% of BaaS volume; ~870,000 deposit accounts; onboarded 2023
[sheet: Regulatory History]
Date | Event Type | Description | Regulator / Source | BRB Response / Action | Current Status | Related Consent Order Article | Notes
2021-03-01 | Model Validation | Last independent validation of Veridian TMS v.8.3 completed | BRB Internal / Caldera & Pope LLP | Validation report accepted; no follow-up validation scheduled for >3 years | Deficiency cited in Consent Order | Article IV(d) | More than 3 years elapsed before next examination; tuning parameters last updated Oct 2022
2021-06-15 | BaaS Onboarding | NovaPay Technologies Inc. onboarded as BaaS partner; OFAC screening integration initiated | BRB Internal — Warren Ashby | Initial API integration for transaction screening; partial coverage deployed | Screening gap identified during 2023–2024 examination | Article IV(a) | NovaPay became largest BaaS partner by volume; screening gap not detected at onboarding
2022-06-01 | MRA | OCC issues Matter Requiring Attention regarding BSA/AML transaction monitoring deficiencies | OCC | Remediation initiated under Drayton Mercer LLP guidance; incomplete | Escalated to MRIA then Consent Order | Article IV(d), Article V | First formal supervisory action in the escalation chain
2022-10-01 | Model Tuning | Last tuning of Veridian TMS v.8.3 parameters | BRB Internal | Tuning completed; no subsequent updates | Deficiency cited in Consent Order | Article IV(d) | No further tuning or validation performed through Jan 2025
2023-03-15 | BSA Officer Appointment | Thomas Ikeda appointed BSA Officer / AML Program Director | BRB Internal | Ikeda assumed oversight of BSA/AML department (62 FTEs); initiated internal reviews | Active | N/A | Predecessor departed; Ikeda inherited backlog and MRA obligations
2023-06-01 | CRA Rating | BRB Community Reinvestment Act rating: Satisfactory | OCC | No action required | Current | N/A | CRA rating unrelated to BSA/AML deficiencies but noted for regulatory profile
2023-11-01 | MRIA | OCC issues Matter Requiring Immediate Attention regarding OFAC screening gaps in BaaS channels | OCC | Partial remediation under Drayton Mercer LLP; gaps persisted in NovaPay channel | Escalated to Consent Order | Article IV(a) | 12% of NovaPay transactions unscreened; ~3.8M of 31.7M in CY 2023
2024-01-15 | CCO Appointment | Patricia Langston appointed Chief Compliance Officer | BRB Internal | Langston assumed CCO role; predecessor terminated | Active | N/A | Langston tasked with addressing MRA/MRIA deficiencies and preparing for OCC examination
2024-03-01 | Examination Start | OCC targeted BSA/AML examination commences (6-month examination cycle) | OCC — Jonathan Frey, Examiner-in-Charge | BRB cooperated; Drayton Mercer LLP as outside counsel | Examination concluded Sept 2024 | All Articles | Examination scope: OFAC screening, SAR filing, CDD/EDD, TM model validation, Board oversight
2024-09-01 | Examination End / Independent Test | OCC examination concludes; Caldera & Pope BSA/AML independent test completed — identified multiple deficiencies echoed in Consent Order | OCC; Caldera & Pope LLP — Franklin Dorsey | Findings received; remediation planning deferred pending regulatory action | Findings incorporated into Consent Order | All Articles | C&P testing fee: $1.1M; audit fee: $3.4M; deficiencies across all 5 categories
2024-12-10 | Consent Order Negotiation | OCC presents proposed Consent Order to BRB Board; negotiations conducted under Drayton Mercer LLP advisement | OCC | BRB Board reviewed proposed terms; authorized consent to Order subject to final terms; $14.5M CMP negotiated | Superseded by executed Consent Order | All Articles | Initial OCC proposed CMP: $18.0M; negotiated to $14.5M; Drayton Mercer's last significant action for BRB
2025-01-15 | Consent Order | OCC Consent Order No. OCC-2025-003 issued; $14.5M CMP; 5 core deficiency categories; independent consultant required; full implementation by Feb 15, 2026 | OCC | BRB acknowledged; terminated Drayton Mercer; engaged Calderwood & Harkness and Thornfield | Active — remediation in progress | All Articles | Effective date; 13-month remediation period through Feb 15, 2026
[sheet: Budget Tracker]
Line Item ID | Category | Vendor / Party | Description | Contract / Reference No. | Budget Allocated | Invoiced to Date | Paid to Date | Budget Remaining | % Expended | Payment Terms | Notes
BL-001 | Outside Counsel | Calderwood & Harkness LLP | Phase 1 — Assessment & Remediation Plan (Feb 10 – May 15, 2025) | 1045-00002 | 4800000 | 0 | 0 | 4800000 | 0% | Monthly; net 30 days | Hartmann $1,450/hr; Delgado $1,350/hr; Nakamura $895/hr; Espinoza $725/hr
BL-002 | Outside Counsel | Calderwood & Harkness LLP | Phase 2 — Implementation & Monitoring (May 16, 2025 – Feb 15, 2026) | 1045-00002 | 3200000 | 0 | 0 | 3200000 | 0% | Monthly; net 30 days | Total C&H: $8.0M; fee collar ±15% (overruns above $9.2M require GC approval); expense cap: $250K
BL-003 | Independent Consultant — Fees | Thornfield Consulting Group LLC | 12-month BSA/AML & OFAC assessment and validation engagement | TCG-BRB-2025-001 | 6500000 | 0 | 0 | 6500000 | 0% | Monthly installments of $541,666.67 | Fixed fee; engagement Feb 2025–Feb 2026
BL-004 | Independent Consultant — Expenses | Thornfield Consulting Group LLC | Reimbursable expenses capped at $400,000 | TCG-BRB-2025-001 | 400000 | 0 | 0 | 400000 | 0% | Monthly; actual costs | Thornfield total: $6.9M ($6.5M fees + $400K expenses)
BL-005 | Technology — Implementation | Veridian Analytics Inc. | TMS v.10.0 upgrade — one-time implementation fee | VA-BRB-2023-0044 (amendment) | 2800000 | 0 | 0 | 2800000 | 0% | Per MSA amendment milestones | Includes OFAC module enhancement; UAT target: Aug 1, 2025
BL-006 | Technology — Incremental Licensing | Veridian Analytics Inc. | TMS v.10.0 + OFAC module incremental annual licensing (Year 1) | VA-BRB-2023-0044 (amendment) | 1900000 | 0 | 0 | 1900000 | 0% | Annual; per MSA amendment | Current ACV: $4.1M/yr; new ACV post-upgrade: $6.0M/yr ($4.1M + $1.9M); existing contract through Dec 2026
BL-007 | Temporary Staffing | Pinnacle Compliance Solutions LLC | 30 FTE BSA/AML analysts × $10,000/mo × 12 months | PCS-BRB-2025-0012 | 3600000 | 0 | 0 | 3600000 | 0% | Monthly ($300,000/mo) | SAR investigators, KYC/CDD analysts, TM reviewers; supports SAR backlog clearance and CDD/EDD remediation
BL-008 | Internal Headcount | BRB Internal | 15 permanent FTE additions to BSA/AML department (avg. $150,000 fully loaded) | N/A | 2250000 | 0 | 0 | 2250000 | 0% | Payroll | Increasing headcount from 62 to 77 FTEs
BL-009 | SAR Lookback Project | BRB Internal / Pinnacle / C&H | Historical SAR lookback covering prior filing deficiencies | N/A | 5500000 | 0 | 0 | 5500000 | 0% | Project-based | Scope defined in SAR Lookback Scope & Methodology Memorandum
BL-010 | CDD/EDD Remediation | BRB Internal / Pinnacle / C&H | Remediation of 47,000 high-risk accounts lacking CDD/EDD documentation | N/A | 4300000 | 0 | 0 | 4300000 | 0% | Project-based | 50% by Jul 15, 2025 (23,500 accounts); 100% by Jan 15, 2026
BL-011 | Training & Policy Development | BRB Internal / C&H | Enterprise-wide BSA/AML training; policy suite overhaul; Board training | N/A | 1800000 | 0 | 0 | 1800000 | 0% | Project-based | Includes OFAC-specific training module
BL-012 | Governance Restructuring | BRB Internal / C&H | Board Compliance Committee establishment; bylaws amendment; reporting framework | N/A | 500000 | 0 | 0 | 500000 | 0% | Project-based | Compliance Committee Chair: James Rutherford
BL-013 | Contingency Reserve | BRB Internal | Unallocated contingency within board-approved remediation budget | N/A | 4950000 | 0 | 0 | 4950000 | 0% | As needed; GC approval required | Covers potential overruns, scope changes, additional vendor costs; does not include C&H fee collar overrun
BL-SUBTOTAL | SUBTOTAL — Remediation Budget (excl. CMP) | Board-approved remediation budget | 42500000 | 0 | 0 | 42500000 | 0% | Board authorized $42,500,000 per Article III resolution; includes $4.95M contingency
BL-014 | Civil Money Penalty | U.S. Treasury / OCC | CMP per Consent Order No. OCC-2025-003; due March 16, 2025 | OCC-2025-003 | 14500000 | 0 | 0 | 14500000 | 0% | Lump sum; wire transfer | Non-deductible under 26 U.S.C. § 162(f)
BL-TOTAL | GRAND TOTAL (incl. CMP) | Total remediation outlay | 57000000 | 0 | 0 | 57000000 | 0% | Target grand total: $57,000,000 ($42.5M remediation + $14.5M CMP); BRB pre-remediation BSA/AML budget FY 2024: $18.2M
[sheet: Document Index]
Doc ID | Document Title | Workstream / Category | Consent Order Article | Author / Preparer | Target Completion Date | Actual Completion Date | Status | Related Milestone ID | Notes
DOC-01 | Consent Order No. OCC-2025-003 | Regulatory / Governance | All Articles | OCC | 2025-01-15 | 2025-01-15 | Final | MS-001 | Effective date Jan 15, 2025; acknowledged by BRB
DOC-02 | 8-K Filing — Consent Order Disclosure | Disclosure / Shareholder | N/A | Samantha Reeves, CFO; Gregory Nardone, General Counsel | 2025-01-16 | 2025-01-16 | Filed | MS-002 | Filed with SEC; NYSE: BRFG
DOC-03 | Drayton Mercer LLP Termination Letter | Counsel Transition | N/A | Gregory Nardone, General Counsel | 2025-01-31 | 2025-01-31 | Final | MS-003 | File transfer protocol initiated concurrently
DOC-04 | OCC Non-Objection Letter — Thornfield Consulting Group LLC | Independent Consultant | Article VII | OCC — Jonathan Frey | 2025-02-05 | 2025-02-05 | Final | MS-004 | Non-objection to Thornfield as independent consultant
DOC-05 | Calderwood & Harkness LLP Engagement Letter | Engagement / Counsel | N/A | Calderwood & Harkness LLP — Philip Hartmann | 2025-02-10 | 2025-02-10 | Final | MS-005 | C&H Matter No. 1045-00002; fee structure: Phase 1 $4.8M, Phase 2 $3.2M
DOC-06 | Thornfield Consulting Engagement Agreement | Independent Consultant | Article VII | Thornfield Consulting Group LLC / Gregory Nardone | 2025-02-10 | 2025-02-10 | Final | MS-005, MS-007 | TCG-BRB-2025-001; $6.5M fixed fee + $400K expenses
DOC-07 | C&H Retainer Acknowledgment Letter | Engagement / Counsel | N/A | Gregory Nardone, General Counsel | 2025-02-12 | 2025-02-12 | Final | MS-006 | $500,000 evergreen retainer deposited
DOC-08 | Privilege Side Letter — Thornfield / C&H / BRB | Independent Consultant / Counsel | Article VII | Calderwood & Harkness LLP | 2025-02-15 | Draft | MS-009 | Defines privilege protocol for Thornfield on-site assessment
DOC-09 | Board Resolution — Acknowledgment of Consent Order & Establishment of Compliance Committee | Governance (WS5) | Article III | Calderwood & Harkness LLP | 2025-02-28 | Draft | MS-008 | For adoption by BRFG Board; authorizes $42.5M remediation budget; establishes Compliance Committee
DOC-10 | Compliance Committee Charter | Governance (WS5) | Article III | Calderwood & Harkness LLP | 2025-02-28 | Draft | MS-008 | Defines Committee membership, authorities, and reporting obligations
DOC-11 | Amended and Restated Bylaws (Redline) | Governance (WS5) | Article III | Calderwood & Harkness LLP | 2025-02-28 | Draft | MS-008 | Incorporates Compliance Committee provisions
DOC-12 | Access & Cooperation Protocol — Thornfield On-Site Assessment | Independent Consultant | Article VII | Calderwood & Harkness LLP / Patricia Langston | 2025-03-01 | Draft | MS-009 | Defines data access, interview scheduling, document production protocols
DOC-13 | CMP Payment Logistics Memorandum | Penalty / Financial | Article II | Calderwood & Harkness LLP | 2025-03-10 | Draft | MS-010 | Wire instructions; tax treatment analysis (26 U.S.C. § 162(f))
DOC-14 | Interim SAR Backlog Status Report | WS2 — SAR Backlog | Article V | Calderwood & Harkness LLP / Thomas Ikeda | 2025-03-31 | Draft | MS-011 | Reports on 2,400 alert disposition progress and Pinnacle staffing deployment
DOC-15 | Pinnacle Managed Services Agreement / SOW | WS2 — Staffing | Article V | Calderwood & Harkness LLP / Pinnacle Compliance Solutions | 2025-02-28 | Draft | MS-011, MS-015 | SOW Ref: PCS-BRB-2025-0012; $3.6M; 30 FTE × 12 months
DOC-16 | Veridian MSA Amendment (TMS v.10.0 + OFAC Module) | WS1 / WS4 — Technology | Article IV(a), IV(d) | Calderwood & Harkness LLP / Veridian Analytics | 2025-03-31 | Draft | MS-017, MS-020 | Contract No. VA-BRB-2023-0044; $2.8M implementation + $1.9M/yr incremental
DOC-17 | Thornfield Preliminary Gap Assessment Report | Independent Consultant | Article VII | Thornfield Consulting Group LLC | 2025-04-15 | Not Started | MS-012 | Covers all 5 deficiency categories; informs Comprehensive Remediation Action Plan
DOC-18 | Comprehensive Remediation Action Plan | All Workstreams | Article IV | Calderwood & Harkness LLP | 2025-05-15 | Not Started | MS-013 | Master plan for OCC submission; integrates all 5 workstreams; end of C&H Phase 1
DOC-19 | SAR Lookback Scope & Methodology Memorandum | WS2 — SAR Backlog | Article V | Calderwood & Harkness LLP / Thomas Ikeda | 2025-04-30 | Not Started | MS-015 | Defines historical lookback period, sampling methodology, and remedial filing criteria
DOC-20 | Revised SAR Policy & Procedures | WS2 — SAR Backlog | Article V | Thomas Ikeda / Patricia Langston / C&H | 2025-05-15 | Not Started | MS-015 | Targeting 30-day filing standard; SAR quality assurance framework
DOC-21 | CDD/EDD Remediation Policy & Procedures | WS3 — CDD/EDD | Article VI | Patricia Langston / C&H | 2025-05-15 | Not Started | MS-016, MS-022 | Revised CDD/EDD policy; BaaS partner responsibility matrix
DOC-22 | BaaS Partner Compliance Remediation Letters | WS1 / WS3 — BaaS | Article IV(a), Article VI | Warren Ashby / Calderwood & Harkness LLP | 2025-03-31 | Draft | MS-020, MS-022 | Letters to all 14 BaaS partners requiring compliance with revised OFAC and CDD/EDD standards
DOC-23 | OFAC Remediation Testing Plan | WS1 — OFAC Screening | Article IV(a) | Thornfield — Jennifer Hwang / Thomas Ikeda | 2025-06-30 | Not Started | MS-020 | Defines validation methodology for 100% OFAC screening across all BaaS channels
DOC-24 | First Quarterly Progress Report to OCC | OCC Reporting | Article VIII | Calderwood & Harkness LLP | 2025-09-15 | Not Started | MS-018 | Covers all workstreams; submitted to OCC Northeastern District Office
DOC-25 | Independent Model Validation Report — Veridian TMS v.10.0 | WS4 — TM Model Validation | Article IV(d) | Caldera & Pope LLP — Franklin Dorsey; Thornfield (oversight) | 2025-10-01 | Not Started | MS-019 | Independent validation of upgraded TMS; includes tuning recommendations
DOC-26 | Second Quarterly Progress Report to OCC | OCC Reporting | Article VIII | Calderwood & Harkness LLP | 2025-12-15 | Not Started | MS-021 | Covers model validation, OFAC operationalization, CDD/EDD progress
DOC-27 | Thornfield Final Validation Report | Independent Consultant | Article VII | Thornfield Consulting Group LLC | 2026-02-15 | Not Started | MS-023 | Validates full compliance program implementation across all 5 workstreams
DOC-28 | Compliance Self-Certification to OCC | Final Certification | Article IX | Calderwood & Harkness LLP / Diane Whitford | 2026-02-15 | Not Started | MS-023 | Supported by Thornfield final validation report; certifies full Consent Order compliance

[sheet: Master Timeline]

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