The Morning Risk Report: Bank of America to Pay $1.2 Billion to Settle Violations of Money Laundering, Sanctions Laws
A facts-only brief, written by a local AI model from this article in The Wall Street Journal, October 14, 2026. It may contain mistakes, and it is not the article: the full story is at wsj.com.
Bank of America will remit $1.2 billion in fines to settle charges of violating anti-money laundering and sanctions regulations, a sum the Treasury Department identified as the third-largest penalty in its history and the highest ever levied by the Office of the Comptroller of the Currency. The settlement comprises a $750 million civil penalty for maintaining a compliance program that failed to address risks linked to Chinese money laundering networks. The bank also acknowledged willful violations of the Bank Secrecy Act, including failures to perform due diligence on foreign correspondent accounts and to file required suspicious activity reports. An additional $11.6 million charge resolves allegations that the institution breached sanctions programs concerning Iran, Russia, narcotics, and global terrorism.
Background
- CVS Pharmacy reached a $315 million deal to settle government claims regarding the improper dispensing of controlled substances and billing errors in federal healthcare programs.
- The Treasury Department designated this settlement as the largest fine ever imposed by the Office of the Comptroller of the Currency.
- The bank conceded that its internal controls did not meet the minimum standards required by law for preventing financial crimes.
- The resolution includes penalties for transactions indicative of organized criminal networks and for inadequate monitoring of high-risk international banking relationships.
Read the full article at wsj.com
More from Wednesday, October 14:
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Briefs for Wednesday, October 14, 2026
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