Bank of America Fined $1.21 Billion Over Anti-Money Laundering Failures, Shares Fall

Barchart·10/14/2026 02:02:11

Bank of America ($BAC) was fined $1.21 billion by U.S. regulators on October 13 for widespread failures in its anti-money laundering and sanctions compliance programs. The Treasury Department said the bank failed to report more than $5 billion in suspicious transactions, including over $1 billion involving national security and other high-priority illicit finance risks.

• The penalty is the third-largest in Treasury Department history.
• The Office of the Comptroller of the Currency imposed a $750 million penalty, its largest ever, included in the $1.21 billion total.
• Regulators cited failures to address deficiencies identified in a 2024 cease-and-desist order.
• The bank admitted to willful violations of the Bank Secrecy Act, according to Treasury.
• A separate $11.6 million settlement addressed more than 400 apparent sanctions violations involving countries including Russia and Iran.
• Bank of America expects a $1.2 billion non-tax-deductible charge in third-quarter earnings, reducing earnings by approximately $0.17 per share.
• Shares fell approximately 2% in after-hours trading following the announcement.

Relevant Companies

• Bank of America ($BAC) - Faces regulatory penalties, compliance reviews, and a $1.2 billion third-quarter earnings charge.

Editor’s Note: This is a developing story. This article may be updated as more details become available.

This article contains syndicated content. We have not reviewed, approved, or endorsed the content, and may receive compensation for placement of the content on this site. For more information please view the Barchart Disclosure Policy here.