TD hit with largest ever bank fine
TD Bank has been hit with the largest fine ever for a bank for failing to monitor money laundering by drug cartels.
Transcript:
Conway Gittens: I’m Conway Gittens reporting from the New York Stock Exchange. Here’s what we’re watching on TheStreet at this time time.
The week came to an end with record closing highs for the Dow and the S&P Five hundred. Stocks held their gains although consumer sentiment dipped in early October. While inflation worries are easing, consumers are still frustrated by high prices.
Next week earnings season will % up: Netflix, Procter and Gamble, and Johnson and Johnson will report. And it would be a week for the financials with numbers from American Express, Goldman Sachs, Bank of The u.s., and Citigroup.
Sticking with banks: TD Bank has been slapped a record $1.three billion fine for allowing drug money to be laundered through U.S. operations. That fine, which is to be paid to the Treasury Department’s financial crimes unit, is just thought about one of many. The bank also has to pay $1.four billion to the Department of Justice, $450 million to the Place of job of the Comptroller of the Currency, and several other $123.5 million to the Federal Reserve.
A ramification of the money laundering develop into tied to the illicit distribution of fentanyl.
TD Bank is the largest bank ever to confess that it violated The u.s.’s Bank Secrecy Act. It by hook or by crook turned a blind eye, which allowed three money laundering networks to make use of TD Bank to legitimize greater than $670 million. In a press conference, Attorney General Merrick said, “By making its products and services convenient for criminals, it develop into one.”
In one example of the bank’s gross negligence, employees accepted gift cards worth $57,000 so we can process transactions that will now no longer show up on regulators’ radars.
TD Bank, which is Canada’s 2nd-largest bank and the 10th largest within the U.S., now faces a catalogue of restrictions including federal monitoring, an order to switch its anti-money laundering operations to the U.S., and its growth within the States will now be capped.
TD’s CEO often often is often often called this “a tough chapter in our bank’s history.”
That’ll do it for your On a day-to-day basis Briefing. From the New York Stock Exchange, I’m Conway Gittens with TheStreet.
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