Bank of America Pays $1.8 Billion for Money-Laundering Failures After Missing $600 Million in Suspicious Transfers
Updated
Updated · The New York Times · Oct 13
Bank of America Pays $1.8 Billion for Money-Laundering Failures After Missing $600 Million in Suspicious Transfers
3 articles · Updated · The New York Times · Oct 13
Summary
$1.8 billion in federal penalties hit Bank of America on Tuesday after regulators said it let suspicious payments move between the U.S. and countries including Russia, Belarus and Mexico.
Treasury and the OCC said the bank failed to adequately monitor trillions of dollars in activity, with some lapses blamed on human error but others tied to systemic compliance gaps and cursory investigations.
Regulators said the bank often failed to file required suspicious activity reports, or took more than six months to do so, despite large volumes of transactions carrying national-security risks.
$600 million in transactions involving salvaged vehicles was one example cited by regulators, who said the misconduct continued even after the bank was warned two years ago to strengthen its anti-money-laundering controls.