Ethicast: TD Bank Faces $3B Settlement Over AML Violations

Ethicast: TD Bank Faces $3B Settlement Over AML Violations

TD Bank, the tenth largest bank in the U.S., has pleaded guilty to conspiring to fail to monitor financial transactions, which led to narcotics traffickers laundering some $670 million in illegal earning through the bank. For this, TD Bank will pay a combined $3 billion in fines and penalties, as well as retain an independent compliance monitor for three years, remediate and enhance its AML compliance program, operate under an asset cap, and face stricter regulation in the U.S.

Ethisphere Chief Strategy Officer, Erica Salmon Byrne, explains how things got this way for TD Bank, and more importantly, what organizations can learn from it. The conversation covers the settlement, discussions of the bank’s leadership, oversight, and budgeting, as well as culture and organizational pressure.