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Capital One has received requests for information from federal regulators about its anti-money-laundering program and check casher clients, as authorities lean on banks to do a more thorough job policing their customers and their customers' customers.
February 24 -
In the wake of a report that the Financial Crimes Enforcement Network has identified more than 50 credit unions at risk of serving as a conduit for money laundering activities, the CU trades and regulators alike were scrambling to respond to what the NCUA suggested could be a "regulatory blind spot."
June 4 -
The Treasury Department and its anti-money laundering unit find themselves on the defensive as bankers say they're cutting ties with entire business sectors as a result of blunt enforcement efforts.
November 10
Bank of Mingo in Williamson, W.Va., will pay a total of $4.5 million in fines and legal settlements after it was investigated for violating anti-money-laundering laws.
The penalties were assessed by a group of federal prosecutors and regulators. The Federal Deposit Insurance Corp. fined Bank of Mingo $3.5 million for AML and Bank Secrecy Act violations. The Financial Crimes Enforcement Network assessed $4.5 million in civil money penalties on the bank. Finally, the bank reached a settlement with the Justice Department to forfeit $2.2 million in assets.
The $4.5 million Fincen penalty will be offset by the FDIC's $3.5 million assessment. Both are offset by the $2.2 million forfeiture with the Justice Department. The $2.2 million forfeiture will be paid to the Justice Department and the $2.3 million in penalties will be paid to the Treasury Department.
The $96 million-asset bank failed to implement an effective AML/BSA compliance program over "an extended period of time," the FDIC said. Bank of Mingo also "failed to file multiple currency transaction reports and suspicious activity reports associated with this risk," the FDIC said in a news release.
