Bank of America Fined Over $1.2 Billion for Money-Laundering Violations
The U.S. Treasury Department announced over $1.2 billion in penalties against Bank of America (BAC) for violating anti-money laundering and sanctions laws, including failing to report more than $5 billion in suspicious transactions. The bank admitted willfully breaching the Bank Secrecy Act by not maintaining a compliant program or filing required reports. The Office of the Comptroller of the Currency imposed a record $750 million civil penalty as part of this settlement, while an additional $11.6 million was levied for sanctions violations. The penalties are expected to reduce Bank of America’s third-quarter net income by about 17 cents per share and will be reflected in its upcoming earnings report. The Treasury criticized the bank for prioritizing revenue over compliance efforts, effectively outsourcing parts of its responsibility for detecting suspicious activity. This fine is one of the largest in U.S. financial history and highlights ongoing scrutiny on major banks to ensure adherence to anti-money laundering regulations.
Coverage
- Bank of America Reports Wider Q3 Loss Due to $1.2 Billion Fine from U.S. Department of the Treasury
- Bank of America's Q3 Earnings Hit by $1.2 Billion Fine from U.S. Department of the Treasury
- Bank of America to Report Q3 Earnings Amid $1.2 Billion Treasury Penalty
- Bank of America Fined Over $1.2 Billion for Compliance Failures
- Bank of America Fined Over $1.2 Billion for Anti-Money Laundering Violations
- Bank of America Fined Over $1.2 Billion for Money-Laundering Violations