Business / NEWS UPDATE
Bank of America hit with $1.2bn fine for money laundering failings
Published · Updated October 16, 2026 · 1 min read
Bank of America was fined $1.2 billion for failing to detect potential money laundering and other illegal activities, including over $5 billion in unreported suspicious transactions.
The bank inadequately flagged transactions involving Chinese money laundering networks and trade-based laundering. As part of the settlement, Bank of America admitted to willfully violating the Bank Secrecy Act and agreed to pay penalties from the Office of the Comptroller of the Currency and the Office of Foreign Assets Control. The fine, the third-largest ever imposed by the US Treasury Department, highlights the bank's reliance on external parties for proactive detection and reporting obligations.