Bank of America ordered to pay historic $1.2 billion over alleged sanctions law violations
The US Treasury Department has ordered Bank of America to pay a penalty exceeding $1.2 billion for violating anti-money laundering and sanctions laws. The Financial Crimes Enforcement Network penalized the institution for failing to report billions in suspicious transactions and national security risks, including Chinese money laundering networks and illicit finance. Separately, the Office of the Comptroller of the Currency assessed a $750 million civil money penalty over deficient compliance programs.
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- ✓ The US Treasury Department imposed a more than $1.2 billion fine on Bank of America for violating anti-money laundering and sanctions laws.
- ✓ FinCEN penalized the bank for failing to mitigate and report priority national security risks, including Chinese money laundering networks and illicit finance along the southwest border.
- ✓ Bank of America reached an $11.6 million settlement with the Office of Foreign Assets Control over apparent violations of sanctions programs on Iran, Russia, narcotics, and global terrorism.
- ✓ The Office of the Comptroller of the Currency assessed a $750 million civil money penalty for the bank's deficient and ineffective Bank Secrecy Act and anti-money laundering compliance program.
What changed
The US Treasury Department announced a $1.2 billion financial penalty alongside an Office of the Comptroller of the Currency civil money penalty of $750 million.
Live updates
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Bank of America Fined $1.2B Over Money Laundering Failures
The US Treasury Department has ordered Bank of America to pay a penalty exceeding $1.2 billion for violating anti-money laundering and sanctions laws. The Financial Crimes Enforcement Network penalized the institution for failing to report billions in suspicious transactions and national security risks, including Chinese money laundering networks and illicit finance. Separately, the Office of the Comptroller of the Currency assessed a $750 million civil money penalty over deficient compliance programs.
Why it matters
The Treasury Department action represents one of the largest penalties ever issued by the agency, coming just before the bank was scheduled to report its quarterly earnings. The enforcement actions highlight ongoing federal scrutiny of major financial institutions regarding illicit finance controls and reporting failures tied to global sanctions programs.
What is confirmed
- The US Treasury Department imposed a more than $1.2 billion fine on Bank of America for violating anti-money laundering and sanctions laws.
- FinCEN penalized the bank for failing to mitigate and report priority national security risks, including Chinese money laundering networks and illicit finance along the southwest border.
- Bank of America reached an $11.6 million settlement with the Office of Foreign Assets Control over apparent violations of sanctions programs on Iran, Russia, narcotics, and global terrorism.
- The Office of the Comptroller of the Currency assessed a $750 million civil money penalty for the bank's deficient and ineffective Bank Secrecy Act and anti-money laundering compliance program.
What to watch next
- Bank of America earnings reports and executive commentary on the financial impact of the penalties.
- Further enforcement actions or compliance mandates from federal regulators regarding the bank's internal controls.
confidence 100%Sources used for this update (11)
- AP News — US hits Bank of America with $1.2 billion fine, saying it violated money laundering, sanctions laws
- NBC News — Bank of America ordered to pay historic $1.2 billion over alleged sanctions law violations
- www.cnbc.com — Bank of America fined $1.2 billion over money-laundering ...
- Yahoo Finance — Bank of America hit with $1.2 billion penalty over money laundering failures
- CNBC — Bank of America fined $1.2 billion over money-laundering violations
- Reuters — Bank of America fined $1.2 billion by US government for failing to police suspicious activity
- nypost.com — Bank of America hit with $1.2B fine for money laundering ...
- www.cnn.com — Bank of America fined $1.2 billion by Treasury Department for ...
- www.nbcnews.com — Bank of America to pay $1.21 billion over sanctions violations
- finance.yahoo.com — Bank Of America Pays $1.2 Billion For Anti-Money Laundering ...
- www.fincen.gov — FinCEN Assesses $1.2 Billion Penalty against Bank of America
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