Why Has US Treasury Fined Bank of America $1.21 Billion Over $5 Billion in Suspicious Transactions? Check Money Laundering Allegations, Sanctions Violations And Key Details

Bank of America Latest News:  The US Treasury Department has placed over $1.21 billion in fines and settlements because of violations of -money laundering controls and breaches of sanctions requirements by the Bank of America. The announcement came from three agencies and was dated October 13 2026. The Office of the Comptroller of the Currency imposed the fine in the history of its office.

According to the Treasury Department, the largest bank in the United States, Bank of America failed to report suspicious transactions worth more than $5 billion to the Financial Crimes Enforcement Network. More than $1 billion of these transactions were related to security and other important illicit finance risks. These included activities that suggested money laundering, from China and fraud and possible trade-based money laundering involving the US Southwest border.

Why Has the US Treasury Fined Bank of America $1.21 Billion?

These penalties were imposed due to deficiencies in transaction monitoring procedures, customer due diligence procedures, and anti-money laundering program of the Bank of America.

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FinCEN says that the Bank of America was dependent too much on the information gathered from law enforcement agencies and other financial institutions, but it did not utilize internal control procedures. There were many suspicious activities which the Bank of America did not check for a very long time.

According to the agreement between FinCEN and Bank of America, the Bank of America admitted that it was willfully violating the Bank Secrecy Act. FinCEN also says that Bank of America was not able to develop any adequate anti-money laundering program and due diligence for certain foreign correspondent accounts.