US Imposes Record $1.21 Billion Fine on Bank of America
Washington imposed $1.21 billion in fines on Bank of America for violating the Bank Secrecy Act and sanctions laws, after the bank admitted its failure to report suspicious transactions.
The US Department of the Treasury imposed a record $1.21 billion package of fines and settlements on Bank of America following violations related to the Bank Secrecy Act and US sanctions laws.
The department stated that the Financial Crimes Enforcement Network (FinCEN) imposed a $1.2 billion fine, while the Office of the Comptroller of the Currency assessed a $750 million civil penalty, and the Office of Foreign Assets Control settlement reached $11.6 million.
The bank admitted to willfully violating the Bank Secrecy Act after failing to report suspicious transactions exceeding $5 billion in value, while the Office of Foreign Assets Control settlement covers 475 apparent violations.
The consent orders include a third-party historical review and independent assessments of the bank's anti-money laundering controls.
What Do These Terms Mean?
Bank Secrecy Act: A US law requiring financial institutions to report suspicious transactions and maintain records to prevent money laundering.
Anti-Money Laundering: A set of procedures and controls aimed at preventing the transfer of illicit funds and concealing their origin.
FinCEN: The Financial Crimes Enforcement Network, the US agency responsible for combating money laundering and terrorist financing.
Consent Order: A settlement agreement that obligates an institution to correct its violations without going to trial.
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