Federal Reserve, NYSBD Order AML Improvements at SocGen Branch

By Matt Squire and Brian Monroe

U.S. federal and state regulators told French bank Societe Generale to strengthen the anti-money laundering controls of its New York branch, including its dollar-clearing operations. The Federal Reserve and the New York State Banking Department ordered the bank in a written agreement, disclosed Tuesday, to review and improve the branch's correspondent banking and funds transfer clearing operations. SocGen must also devote more resources to training the branch's Bank Secrecy Act (BSA) compliance staff, according to the agreement. The regulators also dinged the branch's customer due diligence and transaction monitoring procedures in the agreement, and told the bank that it must...