Credit card company Capital One fined for violating US anti-money laundering laws

MANAGEMENT PHOTO: The logo and ticker for Capital One will be displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York, USA, on May 21, 2018. REUTERS / Brendan McDermid / File Photo

(Reuters) – Credit card firm Capital One Financial Corp. has been fined $ 390 million for deliberately and negligently violating the Bank Secrecy Act, a law against money laundering. office said Friday.

The Ministry of Financial Crimes (FinCEN) said in a statement that Capital One acknowledged that it had deliberately failed to implement an effective program and maintain money laundering as required by law. (bit.ly/3qmXFji)

FinCEN said the financial services company acknowledged that it had not filed “thousands of suspicious activity reports” and “thousands of foreign exchange transaction reports” in respect of a business entity known as the Check Cashing Group.

“The failures outlined in this enforcement action are dire,” FinCEN Director Kenneth Blanco said in a statement.

The violations occurred from at least 2008 to 2014 and resulted in millions of dollars in suspicious transactions being reported on time and accurately, FinCEN added.

Reporting by Arundhati Sarkar in Bengaluru; Edited by Will Dunham

.Source