{"id":2353351,"date":"2024-10-10T17:45:59","date_gmt":"2024-10-10T21:45:59","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/td-bank-hit-with-record-3-billion-penalty-over-drug-cartel-money-laundering-scandal\/"},"modified":"2024-10-10T17:48:57","modified_gmt":"2024-10-10T21:48:57","slug":"td-bank-hit-with-record-3-billion-penalty-over-drug-cartel-money-laundering-scandal","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/td-bank-hit-with-record-3-billion-penalty-over-drug-cartel-money-laundering-scandal\/","title":{"rendered":"TD Bank Hit with Record $3 Billion Penalty Over Drug Cartel Money Laundering Scandal"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">28<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ftd-bank-hit-with-record-3-billion-penalty-over-drug-cartel-money-laundering-scandal%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2353351&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>TD Bank has been fined a total of $2.45 billion\u2062 for serious\u2062 failures in monitoring money laundering\u200d activities. The penalties\u2063 include $1.89 billion \u200cto the Department of Justice, $123.5 million to the \u2063Federal Reserve Board, and $450 million to the \u200dOffice of the Comptroller \u2062of the Currency, in addition to $757 million to the Financial Crimes \u200dEnforcement Network (FinCEN). This record fine stems from findings that over 90% of accounts were\u2062 left unmonitored between January \u200c2018 and \u2062April 2024, which allowed three <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/iran-plots-to-assassinate-ex-trump-official-biden-admin-resisting-public-indictments-due-to-iran-deal-hopes-report\/\" title=\"Iran Plots To Assassinate Ex-Trump Official, Biden Admin Resisting Public Indictments Due To Iran Deal Hopes: Report\">money laundering networks<\/a> to transfer more than $670 million. The bank \u2062was also criticized \u200cfor systemic deficiencies that provided opportunities for various illegal activities, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/el-chapos-wife-sentenced-to-prison\/\" title=\"El Chapo\u2019s Wife Sentenced To Prison\">including drug trafficking<\/a> and human trafficking.<\/p>\n<p>The investigation revealed that some bank employees were bribed by Chinese criminals involved in fentanyl \u200dsales. TD Bank had previously failed to \u2064address money laundering concerns raised in a 2013 order \u200dfrom \u200dFinCEN after involvement in Ponzi \u2064schemes. The consent order details that\u2062 senior management\u2063 was aware of the problems yet took no corrective action, allowing illicit funds to flow unchecked.\u200c The bank will now be monitored by \u2064federal officials for the\u200c next \u200dfour years to ensure \u2062compliance with <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/jpmorgan-settles-another-jeffrey-epstein-related-suit-weeks-before-trial-date\/\" title=\"JPMorgan settles Epstein-related suit ahead of trial.\">anti-money laundering regulations<\/a>.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<section> <script>console.log(\"ad slot (AC1)\")<\/script><script>console.log(\"ad slot (IC1)\")<\/script><script>console.log(\"ad slot (IC2)\")<\/script><script>console.log(\"ad slot (IC3)\")<\/script><script>console.log(\"ad slot (IC4)\")<\/script><\/p>\n<p>One of America&rsquo;s major banks has been hit with a massive fine after federal investigators said it was lax in its efforts to monitor money laundering.<\/p>\n<p>TD Bank will pay $1.89 billion to the Department of Justice, $123.5 million to the Federal Reserve Board, and $450 million to the Office of the Comptroller of the Currency, according to the <a href=\"https:\/\/www.fincen.gov\/sites\/default\/files\/enforcement_action\/2024-10-10\/FinCEN-TD-Bank-Consent-Order-508FINAL.pdf\" target=\"_blank\" rel=\"noopener\">consent order<\/a> between the federal government and the bank.<\/p>\n<p>The bank must also pay $757 million to the Department of the Treasury&rsquo;s Financial Crimes Enforcement, referred to in the consent order as FinCEN.<\/p>\n<p>The penalty is a record, according to <a href=\"https:\/\/www.cnn.com\/2024\/10\/10\/investing\/td-bank-settlement-money-laundering\/index.html\" target=\"_blank\" rel=\"noopener\">CNN<\/a>. It reported that the Department of Justice said TD Bank had &ldquo;long-term, pervasive, and systemic deficiencies&rdquo; so that between January 2018 and April 2024, more than 90 percent of accounts were not monitored, enabling &ldquo;three money laundering networks to collectively transfer more than $670 million through TD Bank accounts.&rdquo;<\/p>\n<p>&ldquo;From fentanyl and narcotics trafficking, to terrorist financing and human trafficking, TD Bank&rsquo;s <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/td-bank-fined-3-billion-over-drug-cartel-money-laundering-washington-examiner\/\" title=\"TD Bank fined  billion over drug cartel money laundering - Washington Examiner\">chronic failures provided fertile ground<\/a> for a host of illicit activity to penetrate our financial system,&rdquo; Deputy Secretary of the Treasury Wally Adeyemo <a href=\"https:\/\/www.fincen.gov\/news\/news-releases\/fincen-assesses-record-13-billion-penalty-against-td-bank\" target=\"_blank\" rel=\"noopener\">said<\/a>.<\/p>\n<p> <script type=\"text\/javascript\"> \t\t\tif ( getCookie( \"ff_subbed\" ) ) { \t\t\t\tdocument.getElementById(\"stnvideo\").remove() \t\t\t} \t\t<\/script> <\/p>\n<p>The investigation was triggered by federal agents&rsquo; discovery that Chinese criminals bribed bank employees and laundered millions from selling fentanyl through TD branches in New York and New Jersey, &nbsp;according to the <a href=\"https:\/\/www.wsj.com\/finance\/regulation\/td-bank-faces-3-billion-in-penalties-and-growth-restrictions-in-u-s-settlement-3e09a705\" target=\"_blank\" rel=\"noopener\">Wall Street Journal<\/a>.<\/p>\n<p>The consent order said that the bank <a href=\"https:\/\/www.westernjournal.com\/bank-america-ordered-pay-customers-100-million-double-dipping-illegal-practices\/\" target=\"_blank\" rel=\"noopener\">failed<\/a> to properly implement 2013 orders from FinCEN after it was linked to Ponzi scheme activity.<\/p>\n<p>&ldquo;Although the violations involved a host of unique issues, these violations demonstrate key and systemic failures by TD Bank, including awareness of certain issues by senior management,&rdquo; the order said.<\/p>\n<p>The bank&rsquo;s lack of efforts to address money laundering &ldquo;caused billions of dollars in illicit funds to flow through the U.S. financial system without effective monitoring,&rdquo; the order said.<\/p>\n<p>The order said TD Bank embraced customers in &ldquo;high-risk jurisdictions, such as Colombia, Cuba, and China&rdquo; and then &ldquo;knowingly failed to timely mitigate the risks stemming from these flows.&rdquo;<\/p>\n<p>The order said the bank&rsquo;s focus of its efforts to prevent <a href=\"https:\/\/www.westernjournal.com\/viral-chase-bank-glitch-supposed-provide-free-money-causes-nightmare-participated\/\" target=\"_blank\" rel=\"noopener\">money laundering<\/a> was on limiting the cost of those efforts, and not their effectiveness.<\/p>\n<p>The bank &ldquo;refused to invest in improvements to address such gaps when they were deemed too costly, thus allowing illicit activity to flow through the Bank.&rdquo;<\/p>\n<p>The order said, &ldquo;funds flowing through TD Bank have been linked to numerous prosecutions, some of which included TD Bank personnel, for various financial crimes that likely could have been prevented, mitigated, or at least timely reported, if TD Bank implemented and maintained an adequate [anti-money laundering] program.&rdquo;<\/p>\n<p>Compliance was slipshod, the order said, noting that at one point in 2018, the bank had &ldquo;70,000 backlogged detection alerts and roughly 3,000 aged subpoena responses and further investigation cases.&rdquo;<\/p>\n<p>Although the <a href=\"https:\/\/www.westernjournal.com\/authorities-raid-deutsche-bank-headquarters-possible-money-laundering-scheme\/\" target=\"_blank\" rel=\"noopener\">bank<\/a> did close accounts deemed suspicious, it moved so slowly that &ldquo;[f]rom 2018 to 2021, customers waiting to be demarketed received more than $5 billion into their accounts.&rdquo;<\/p>\n<p>The order said that even when bank officials knew there were problem accounts, &ldquo;senior management elected to take no action to correct such issues and instead turned a blind eye to the relevant risks.&rdquo;<\/p>\n<p>Bank executives frustrated efforts to prosecute financial crimes, the order said, because the reports it filed to the relevant authorities &ldquo;were so inaccurate that they were misleading to law enforcement and severely hindered financial crime investigations.&rdquo;<\/p>\n<p>The order said that even now, there are &ldquo;outstanding remedial measures&rdquo; that have not been completed to monitor all transactions. The bank will now be monitored by federal officials for the next four years.<\/p>\n<div style=\"position: relative;\">\n<div class=\"ff-fancy-header-container\">  <\/div>\n<div class=\"entry-submit-correction inner-content\">\n<div class=\"correction-form\">\n<form style=\"display: none;\">\n<div class=\"sc-name-field\"> <label>* Name<\/label> <br \/> <input type=\"text\" name=\"name\" required> <\/div>\n<div class=\"sc--field\"> <label>* <\/label> <br \/> <input type=\"text\" name=\"\" required> <\/div>\n<p> <label>* Message<\/label> <br \/> <textarea name=\"message\" required><\/textarea>  <\/p>\n<div class=\"required-message\" style=\"display: none; padding-bottom: 15px;\">* All fields are required.<\/div>\n<p> <input type=\"submit\" value=\"Submit\" onclick=\"event.preventDefault(); firefly_sc();\">  <\/p>\n<div class=\"firefly-sc-confirm\" style=\"display: none;\">Success!<\/div>\n<\/p><\/form>\n<\/p><\/div>\n<\/p><\/div>\n<p> <script> \t\t\tfunction firefly_sc() { \t\t\t\tif( typeof window.captchaPublicKey==typeof undefined ){ \t\t\t\t\tconsole.error('window.captchaPublicKey is not defined'); \t\t\t\t} \t\t\t\tgrecaptcha.execute( window.captchaPublicKey, { action: 'submit_correction' } ).then( function( token ) { \t\t\t\t\tvar opts={ \t\t\t\t\t\taction:    'firefly_sc_submit', \t\t\t\t\t\tname:      document.querySelector( '.entry-submit-correction [name=\"name\"]' ).value, \t\t\t\t\t\t:     document.querySelector( '.entry-submit-correction [name=\"\"]' ).value, \t\t\t\t\t\tmessage:   document.querySelector( '.entry-submit-correction [name=\"message\"]' ).value, \t\t\t\t\t\tpost_id:   firefly_post_id, \t\t\t\t\t\tcap_token: token \t\t\t\t\t}  \t\t\t\t\tvar inputs=[ 'name', '', 'message' ];  \t\t\t\t\tfor( var i=0; i <inputs.length; i++ ) if( ! ( opts[inputs[i]]=document.querySelector( '.entry-submit-correction [name=\"' + inputs[i] + '\"]' ).value ) ) { \t\t\t\t\t\tdocument.querySelector( '.entry-submit-correction .required-message' ).style.display='block'; \t\t\t\t\t\treturn; \t\t\t\t\t}  \t\t\t\t\tdocument.querySelector( '.entry-submit-correction input[type=\"submit\"]' ).style.display='none'; \t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-submitting-img' ).src=firefly_loading_gif_url; \t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-submitting-img' ).style.display='inline-block';  \t\t\t\t\tconsole.log( 'ma subbing' );  \t\t\t\t\tif( firefly_post_id ) opts['post_id']=firefly_post_id;  \t\t\t\t\t\/* Send the data using post with element id name and name2*\/ \t\t\t\t\tvar posting=jQuery.post( firefly_ajax_url, opts );  \t\t\t\t\t\/* Alerts the results *\/ \t\t\t\t\tposting.done( function( response ) { \t\t\t\t\t\tif( response.success ) { \t\t\t\t\t\t\tconsole.log( response.data ); \t\t\t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-submitting-img' ).style.display='none'; \t\t\t\t\t\t\tdocument.querySelector( '.entry-submit-correction .firefly-sc-confirm' ).style.display='block';  \t\t\t\t\t\t\tdataLayer.push( { 'event': 'submit-correction' } ); \t\t\t\t\t\t} \t\t\t\t\t}); \t\t\t\t}); \t\t\t} \t\t<\/script>  <\/div>\n<p style=\"border: 1px solid #f5f5f5; padding: 16px;\">Advertise with The Western Journal and reach millions of highly engaged readers, while supporting our work. <a href=\"https:\/\/www.westernjournal.com\/advertise-us\/?wj_source=article\">Advertise Today<\/a>.<\/p>\n<p><script>console.log(\"ad slot (BA1)\")<\/script> <\/p>\n<div class=\"ff-fancy-header-container\">  <\/div>\n<style> \t\t\t \t\t\t.insticator-unit.type-commenting{margin: 0 10px 25px 10px}@media screen and (max-width:1060px){#div-insticator-ad-cmt-1, #div-insticator-ad-cmt-2, #div-insticator-ad-cmt-3, #div-insticator-ad-cmt-4{margin: 0 auto 25px auto !important;}}#div-insticator-ad-cmt-1, #div-insticator-ad-cmt-2, #div-insticator-ad-cmt-3, #div-insticator-ad-cmt-4{height: 280px !important; width: 336px !important} \t\t<\/style>\n<div class=\"insticator-unit type-commenting\">\n<div class=\"insticator-ads\">   <script data-cfasync=\"false\" type=\"text\/javascript\"> \t\t\t\t\tif ( ! getCookie( \"ff_subbed\" ) ) { \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-1\"); \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-2\"); \t\t\t\t\t} else { \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-1\").remove() \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-2\").remove() \t\t\t\t\t} \t\t\t\t<\/script> <\/div>\n<div class=\"insticator-ads additional\">   <script data-cfasync=\"false\" type=\"text\/javascript\"> \t\t\t\t\tif ( ! getCookie( \"ff_subbed\" ) ) { \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-3\"); \t\t\t\t\t\tInsticator.ad.loadAd(\"div-insticator-ad-cmt-4\"); \t\t\t\t\t} else { \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-3\").remove() \t\t\t\t\t\tdocument.getElementById(\"div-insticator-ad-cmt-4\").remove() \t\t\t\t\t} \t\t\t\t<\/script> <\/div>\n<\/p><\/div>\n<\/section>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>One of the largest banks in the U.S. has been fined significantly for failing to adequately monitor money laundering activities. TD Bank will pay $1.89 billion to the Department of Justice, $123.5 million to the Federal Reserve Board, and $450 million to the Office of the Comptroller of the Currency, as outlined in a consent order with federal authorities. Additionally, it must pay $757 million to FinCEN (Financial Crimes Enforcement Network). This penalty is unprecedented, according to CNN, which reported that TD Bank had &#8220;long-term, pervasive deficiencies,&#8221; resulting in over 90% of accounts being unmonitored from January 2018 to April 2024 and allowing three money laundering networks to transfer over $670 million through its accounts. Deputy Treasury Secretary Wally Adeyemo stated that TD Bank&#8217;s ongoing failures facilitated various illegal activities within the financial system.<\/p>\n<p>The investigation began after federal agents found that Chinese criminals bribed bank employees and laundered millions from fentanyl sales through TD branches in New York and New Jersey, as reported by The Wall Street Journal. The consent order indicated that TD Bank did not properly implement orders from FinCEN issued in 2013 related to Ponzi scheme activity.<\/p>\n<p>The order highlighted systemic failures at TD Bank and noted senior management&#8217;s awareness of certain issues but their lack of action led billions in illicit funds into U.S. financial systems without proper oversight. It pointed out that the bank accepted customers from high-risk areas like Colombia and China while neglecting timely risk mitigation efforts.<\/p>\n<p>TD Bank prioritized cost-cutting over effective anti-money laundering measures and failed to invest adequately in necessary improvements despite recognizing gaps in their compliance program. The order revealed significant backlogs in detection alerts and investigations at one point during 2018.<\/p>\n<p>While some suspicious accounts were closed eventually, delays meant customers received more than $5 billion during this period without adequate scrutiny. Even when aware of problematic accounts, senior management chose not to act on these issues.<\/p>\n<p>Furthermore, inaccuracies in reports submitted by bank executives hindered law enforcement investigations into financial crimes significantly; even now there are unresolved remedial actions needed for transaction monitoring. Federal officials will oversee TD Bank for four years moving forward<\/p>\n","protected":false},"author":1,"featured_media":2353352,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.westernjournal.com\/wp-content\/uploads\/2024\/10\/TD-Bank.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[42750,42754,33963,8294,42749],"class_list":["post-2353351","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-drug-cartel","tag-financial-scandal","tag-money-laundering","tag-penalty","tag-td-bank"],"fifu_image_url":"https:\/\/www.westernjournal.com\/wp-content\/uploads\/2024\/10\/TD-Bank.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2353351","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2353351"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2353351\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2353352"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2353351"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2353351"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2353351"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}