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NASD Penalizes Bank of America $3 Million in Handling of Wyly Accounts
By Rachael Lee Coleman
printThe National Association of Securities Dealers (NASD) penalized the investment arm of Bank of America Corp. $3 million Monday in the first U.S. regulatory action against the bank since a congressional investigation documented its disregard for U.S. anti-money laundering regulations and its own policies in its handling of accounts belonging to two wealthy Texan brothers. The NASD cited Banc of America Investment Services for failing to document the beneficial owners of 34 "high-risk" domestic brokerage accounts maintained by private companies in the Isle of Man, despite "repeated and ongoing requests for the information by the clearing firm" and warnings by...
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