OCC Fines American Express Bank $350 Million Over AML Failures
Federal regulators hit American Express National Bank with a $350M penalty and cease-and-desist order for anti-money laundering compliance gaps.
Federal bank regulators have imposed a $350 million civil money penalty against American Express National Bank, headquartered in Sandy, Utah, citing serious deficiencies in the institution's anti-money laundering compliance infrastructure, the Office of the Comptroller of the Currency announced.
Alongside the nine-figure fine, the OCC issued a cease-and-desist order against the bank, a formal enforcement action that compels the institution to correct identified shortcomings. Such orders carry legal weight, requiring the bank to take specific remedial steps under regulatory supervision.
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The OCC's action centers on violations tied to the Bank Secrecy Act, a cornerstone federal law requiring financial institutions to maintain robust programs designed to detect and report suspicious activity, including potential money laundering. Deficiencies in BSA and AML programs are among the most serious compliance failures regulators can identify at a federally chartered bank.
The penalty ranks among the more substantial BSA-related enforcement actions taken against a US bank in recent years, underscoring the OCC's continued emphasis on holding institutions accountable for weaknesses in financial crime safeguards. American Express National Bank operates as a federally chartered institution subject to OCC supervision.
Continue reading at OCC News.
