MINNEAPOLIS--(BUSINESS WIRE)--Feb. 15, 2018--
U.S. Bancorp (NYSE: USB), parent company of U.S. Bank, announced today
that it has resolved previously disclosed matters related to its Bank
Secrecy Act (BSA) and Anti-Money Laundering (AML) compliance programs
with the U.S. Attorney’s Office for the Southern District of New York,
the Office of the Comptroller of the Currency (OCC), the Federal Reserve
Board and the Financial Crimes Enforcement Network (FinCEN).
Under the resolution, the Company will pay a total of $613 million,
reflecting the penalties assessed by each agency. The company has fully
reserved for this resolution and, accordingly, there is no further
financial impact.
“Today’s resolution finalizes legacy matters involving our AML
compliance program,” said Andy Cecere, President and CEO, U.S. Bank. “We
regret and have accepted responsibility for the past deficiencies in our
AML program. Our culture of ethics and integrity demands that we do
better. One of U.S. Bank’s key priorities is to maintain an exceptional
AML program and we are confident in the strength of the program we have
in place today.”
Cecere added: “We have worked diligently over the past several years to
make significant investments to improve and strengthen our AML controls,
processes and staff, which includes our efforts under a 2015 OCC consent
order. U.S. Bank embraces the highest standards of integrity, risk
management and compliance and remains committed to improving our
controls and processes across the enterprise to protect all of our
stakeholders.”
U.S. Bank’s improved AML program includes:
-
New leadership team running the Bank’s AML program since 2014 – many
of whom are recognized as leaders in the industry and come from law
enforcement backgrounds;
-
A more transparent and frequent AML reporting and escalation process
to the Board and executive management;
-
A centralized, independent, enterprise-wide financial crimes
compliance function;
-
Improved AML controls and training for all customer-facing employees;
-
Expanded transaction monitoring to identify potentially suspicious
activity;
-
AML compliance staff that has increased significantly; and
-
Improved risk identification, oversight, and reporting functions.
About U.S. Bank
U.S. Bancorp, with 74,000 employees and $462 billion in assets as of
Dec. 31, 2017, is the parent company of U.S. Bank, the fifth-largest
bank in the United States. The Minneapolis-based bank blends its branch
and ATM network with mobile and online tools that allow customers to
bank how, when and where they prefer. U.S. Bank is committed to serving
its millions of retail, small business, wealth management, payments,
commercial, wholesale and investment services customers across the
country and around the world as a trusted financial partner. In 2017,
U.S. Bank contributed more than $58 million to nonprofit organizations
across the country through the U.S. Bank Foundation and corporate
contributions. Additionally, employees contributed more than 188,000
volunteer hours through our Community Possible corporate responsibility
platform. Visit U.S. Bank online or
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media to stay up to date with company news.
"Safe Harbor" Statement under the Private Securities Litigation Reform
Act of 1995: Statements in this press release regarding U.S. Bancorp's
business which are not historical facts are "forward-looking statements"
that involve risks and uncertainties. For a discussion of such risks and
uncertainties, which could cause actual results to differ from those
contained in the forward-looking statements, see "Risk Factors" in the
Company's Annual Report or Form 10-K for the most recently ended fiscal
year.
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Source: U.S. Bancorp
U.S. Bancorp
Media:
Dana E. Ripley, 612-303-3167
or
Investors/Analysts:
Jen
Thompson, 612-303-0778