Landmark Bank Secrecy Act Resolution Signals Increasing Focus on Banks’ Anti-Money Laundering Compliance

Enforcement agencies urge investment in compliance programs.

On October 10, 2024, the Department of Justice (DOJ) announced plea agreements with TD Bank N.A. (TDBNA) and its parent company, TD Bank US Holding Company (TDBUSH, and together with TDBNA, the Bank) in connection with anti-money laundering (AML) program failures. TDBNA pleaded to one count of conspiracy to (1) fail to maintain an adequate AML program; (2) fail to file accurate currency transaction reports; and (3) launder monetary instruments, in violation of 18 U.S.C. § 371. TDBUSH pleaded to two substantive offenses: (1) causing TDBNA to fail to maintain an adequate AML program; and (2) causing TDBNA to fail to file accurate currency transaction reports, in violation of 31 U.S.C. §§ 5322 and 5324. TD Bank became the largest bank in US history to plead to Bank Secrecy Act (BSA) program failures.