Bank of America faces $1.21 billion fine.

Bangla Press Desk: The US government has fined Bank of America $1.21 billion for significant failures in detecting various illicit transactions, including money laundering. According to Reuters, this is the third-largest fine in the history of the US Treasury Department.
The bank failed to timely report suspicious transactions totaling approximately $5 billion to the government. Of these, transactions worth at least $1 billion posed a risk to US national security.
The US Treasury Department stated that the bank prioritized revenue and profits over strengthening its internal oversight and security measures. Additionally, Bank of America is now required to appoint an independent investigator to review past transactions and report any suspicious activity to US financial intelligence agencies.
A bank spokesperson stated that this substantial fine would reduce net profit by approximately 17 cents per share for the third quarter of this year. Following the news, Bank of America's share price fell by 2.7% in after-hours trading.
Financial analysis firm UBS noted that the fine could raise concerns among investors regarding the bank's share buyback capacity and potential increases in future costs.
Bank of America stated that it has invested heavily in technology and deployed thousands of employees to combat financial crime. The bank is working to address the issues in accordance with the directives of the regulatory authorities.
BP/TD