Deutsche Bank to Pay $186 Million Fed Penalty Over Controls
- Fed probe found that the lender didn’t fix old issues
- Bank had entered into agreements in 2015 and 2017 with Fed
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Deutsche Bank AG will pay a $186 million penalty after a Federal Reserve investigation found that it failed to put in place sufficient measures to prevent money laundering after earlier violations.
As part of the settlement, the German lender also agreed to step up risk management and governance. The Fed said its findings related to “unsafe and unsound practices and violations” of previous agreements with the central bank related to the lender’s prior relationship with the Estonian branch of Danske Bank.