TD says it may face penalties over anti-money-laundering probe
Toronto-Dominion Bank says it’s been receiving inquiries from regulators and law enforcement about its compliance with anti-money-laundering rules, including requests related to a U.S. Department of Justice investigation.
Canada’s second-largest bank made the disclosure in its third-quarter financial results Thursday, saying it may face penalties as a result of the probe.
“The bank is co-operating with such authorities and is pursuing efforts to enhance its Bank Secrecy Act/anti-money-laundering compliance program,” the Toronto-based company said. “While the ultimate outcomes of these inquiries and investigations are unknown at this time, the bank anticipates monetary and/or non-monetary penalties to be imposed.”
A spokesperson for the Justice Department didn’t immediately respond to an emailed request for comment.
Toronto-Dominion had a deal to buy Tennessee-based First Horizon Corp., but the transaction fell apart in May after the bank said it couldn’t secure timely approval from regulators. The acquisition was held up by concerns about Toronto-Dominion’s handling of suspicious customer transactions, a person familiar with the matter told Bloomberg News at the time.
Bloomberg.com
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