Bank of America hit with $1.2 billion penalty over money laundering allegations
Also reported by BBC Top Stories
Summary
The U.S. Treasury Department fined Bank of America $1.2 billion for failing to report suspicious transactions and weak anti-money-laundering controls over several years. The bank admitted to breaking federal rules and will record this fine as a charge in its financial results.Key Facts
- Bank of America paid over $1.2 billion in penalties for anti-money-laundering failures.
- The penalty is the third-largest ever by the Treasury Department.
- Bank of America failed to report or delayed reporting suspicious activity exceeding $5 billion.
- Over $1 billion of the suspicious activity involved national security risks, including Chinese networks and trade-based money laundering near the U.S.-Mexico border.
- The Office of the Comptroller of the Currency added a $750 million fine, its largest to date.
- Bank of America also settled for $11.6 million over violations of U.S. sanctions on countries like Russia and Iran.
- The bank has been working on improvements since a regulatory order in December 2024, but problems continued.
- Bank of America says it invested billions in technology and thousands of employees to fight financial crime.
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