Is it true that as of 2014, flight reviews are waived for current flight instructors under FAA rules? I'm assuming this is false, or I wouldn't be asking...

Just the other day, another flight instructor in my local area, whom I know, told me:


  "... new rule as of 2014: if you keep your CFI current, you don't need
  a flight review!"  


This is in regards to the FAA system.

I couldn't find a source for that, and I have never heard this before.

I am aware that a requirement to have one hour of ground instruction as a part of the flight review is waived for current CFIs, but I have never heard that the flight portion is waived as well.

My flight review is coming up, so it has been almost two years since I have personally received a flight review, which was in 2014.  I'm just wanting to verify this information and receive a source if it is true.
It is false.

14 CFR §61.56(f) states:


  A person who holds a flight instructor certificate and who has, within
  the period specified in paragraph (c) of this section, satisfactorily
  completed a renewal of a flight instructor certificate under the
  provisions in §61.197 need not accomplish the one hour of ground
  training specified in paragraph (a) of this section.


Also, AOPA has some great input on this topic:

"Pilot's Guide to the Flight Review"

Bottomline: You are correct, your friend is not. 

Maybe there was a misunderstanding in the conversation whereby they were specifically talking about their own certificate (and any ratings they may be seeking that may take place of the flight review) as opposed to a general term?