Connect with us

Business

SEC fines Wells Fargo $7M for anti-money laundering lapses

Published

on

#SEC #fines #Wells #Fargo #antimoney #laundering #lapses

The Securities and Change Fee mentioned Friday that Wells Fargo Advisors had agreed to pay $7 million to settle prices of anti-money laundering associated violations.

The regulator mentioned Wells Fargo Advisors did not file at the least 34 Suspicious Exercise Experiences in a well timed method between April 2017 and October 2021.

The lapse arose as a result of the dealer did not correctly implement and check a brand new model of its inner anti-money laundering transaction monitoring and alert system adopted in January 2019, the SEC mentioned. The system did not reconcile the completely different nation codes used to observe overseas wire transfers.

Because of this, Wells Fargo Advisors didn’t well timed file at the least 25 SARs associated to suspicious transactions in its prospects’ brokerage accounts involving wire transfers to or from overseas international locations that it decided to be a threat for laundering, terrorist financing, or different unlawful cash actions.

“At Wells Fargo Advisors, we take regulatory obligations significantly,” financial institution spokeswoman Shea Leordeanu mentioned in an emailed assertion. “This matter refers to legacy points that impacted a transaction monitoring system and the problems had been resolved promptly upon discovery.”