TCF National Bank was hit with a $10 million federal fine by the Office of the Comptroller of the Currency (OCC) on Friday for violations of the Bank Secrecy Act (BSA).
An OCC examination of the bank’s account and transaction activity between November 2008 and July 2010 revealed late filing of suspicious activity reports (SARs). The suspicious activities primarily consisted of cash transactions which indicated structuring and wire transfers where the source and purpose of the funds were unknown. In addition, upon further investigation, OCC found instances where SARs failed to adequately explain or identify potential terrorist financing.
The CMP follows a cease and desist order issued in July 2010 which directed the bank to correct deficiencies in its BSA and anti-money laundering programs and required an independent examination of BSA reports filed between November 2008 and July 2010.
“TCF, bank regulators and law enforcement all share the same goal – ensuring the continued safety and security of the deposits of our customers – and we are confident that with the help of the OCC, we have taken the necessary steps to put in place a best-in-class BSA program and team to lead this critical area moving forward,” said William A. Cooper, TCF Chairman and Chief Executive Officer. “We appreciate the OCC’s guidance in helping us strengthen our BSA program and take great pride in our ability to assist regulators and law enforcement in improving the safety of the banking system.”