Two lobbying groups are asking the U.S. Treasury Department to amend proposals that would require banks to close accounts and maintain additional records for three companies accused of aiding terrorists and money launderers.
The U.S. government's landmark case against HSBC Holdings Plc for knowingly turning a blind eye to financial crime is seemingly fated to end much as it began: complex and messy.
A recent spate of compliance fines and U.S. investigations has imposed renewed pressure on British banks to improve their anti-money laundering and sanctions programs, say industry sources.
The U.S. Treasury Department and the Federal Reserve issued separate enforcement actions Thursday against HSBC North America Holdings Inc. for systemic Bank Secrecy Act compliance violations.
Few small financial firms in the U.K. have adequate anti-money laundering and sanctions compliance programs, including enhanced due diligence controls for high-risk clients, Britain's top financial regulator said Monday.
The Federal Reserve Board and a Florida financial regulator ordered a Miami branch of Israel's largest bank earlier this month to overhaul its anti-money laundering program within 60 days.
The Federal Depositors Insurance Corp. issued cease-and-desist orders against two banks in November over lax due diligence in their anti-money laundering programs, the agency said Monday.
The U.S. Treasury Department ordered a Kansas bank to improve its anti-money laundering controls and better monitor for risks associated with automated clearing house transactions, the department said.
The processing of checks and drafts from foreign institutions does not by itself constitute a correspondent relationship, FinCEN said in the guidance.
With multi-million dollar AML penalties fresh in their memories, financial institutions are looking more closely at their private banking clients and closing riskier accounts.
The manual, issued by the Federal Financial Institutions Examination Council, will include language from a FinCEN ruling on due diligence for certain correspondent accounts for foreign banks, according to people familiar with the matter.
Banks that use third parties to manage and distribute their stored-value, or prepaid, cards must make sure Bank Secrecy Act compliance responsibilities are clearly designated, anti-money laundering compliance consultants say.
The Federal Deposit Insurance Corp., in a cease-and-desist order signed Friday, ordered Ocean Bank of Miami to provide job-specific training for compliance staff, the bank said today in a statement. The FDIC confirmed the enforcement action but declined to say when it would be released.
Former Bank of New York executive and convicted money launderer Lucy Edwards says financial institutions should be wary of their employees and knowledgeable about their outside business dealings.
The NFA expelled Mercer Capital Inc. in Portland, Ore., for using "high-pressure sales techniques" and "misleading statements" and Mercer Capital Management in Boca Raton, Fla., for failing to keep proper records and failing to "initiate an adequate anti-money laundering program."