Federal Reserve Fines Deutsche Bank $41 Million for Deficient Anti-Money Laundering Program

By Gabriel T. Rubin Features Dow Jones Newswires

The Federal Reserve fined Deutsche Bank AG $41 million for "unsafe and unsound" anti-money-laundering practices on Tuesday, the latest in a series of fines for the lender.

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The Fed said that Deutsche Bank's U.S. banking operations had failed to maintain an effective anti-money-laundering program to comply with the Bank Secrecy Act and other anti-money-laundering laws.

"We are committed to implementing every remediation measure referenced in the Fed's order and to meeting their expectations," a Deutsche Bank spokesman said.

Deutsche Bank in April was fined a combined $156.6 million by the Fed for deficiencies in its foreign-exchange trading, as well as failure to maintain a compliance program for the Volcker rule, which puts limits on proprietary trading by banks.

Additionally, Deutsche Bank was fined $425 million by the New York Department of Financial Services in January for money-laundering violations involving its Moscow branch.

Write to Gabriel T. Rubin at gabriel.rubin@wsj.com

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(END) Dow Jones Newswires

May 30, 2017 17:22 ET (21:22 GMT)