Bank of America fined $1.2bn for money-laundering failures

AI-generated briefing · First published 2026-10-14 19:36:18 UTC

US regulators fined Bank of America $1.2bn for failing to report over $5bn in suspicious activity, including $1bn tied to national-security risks.

The US Treasury Department imposed the third-largest fine in its history on Bank of America for widespread anti-money-laundering and sanctions breaches, including not flagging transactions linked to Chinese networks and the southwest border. [1] [2] [3]

The OCC levied a record $750m penalty and OFAC added $11.6m for 475 sanctions violations involving Russia and Iran. The bank admitted willful violations of the Bank Secrecy Act and must hire an independent reviewer to re-examine past transactions. [2] [3]

Bank of America said the non-tax-deductible charge will cut third-quarter net income by about 17 cents per share. Shares fell as much as 8% after the announcement, erasing roughly $22-30bn in market value. [2] [3] [4] [5]

Sources

1. Bank of America fined $1.2bn over money laundering failures

   FT Markets · 2026-10-13 20:00:06 UTC · Summary only

2. Bank of America fined US$1.2bn

   RTHK Finance · 2026-10-14 00:09:30 UTC · Excerpt

3. Bank of America hit with $1.2bn fine for money laundering failings

   BBC Business · 2026-10-14 02:05:32 UTC · Full text

4. BofA Sheds $22 Billion in Value as Lapses Come to Light

   Bloomberg · 2026-10-14 15:52:32 UTC · Summary only

5. 冰冻三尺非一日之寒 美银合规积弊终招重罚 市值蒸发300亿美元

   Sina Finance · 2026-10-14 18:28:11 UTC · Full text

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