Fed terminates C&D order over TX bank’s BSA/AML deficiencies

A December 2018 cease-and-desist order regarding Bank Secrecy Act/anti-money laundering deficiencies of Commercial State Bank, Andrews, Texas, has been terminated, the Federal Reserve Board announced Thursday.

The consent order, also signed by Texas’ state banking commissioner, pointed to “significant deficiencies” in the bank’s risk management and compliance with the Bank Secrecy Act and related rules and regulations, based on its more recent examination.

Under the order, the bank was required to strengthen board oversight of the bank’s BSA/AML compliance and staffing, to submit an enhanced written BSA/AML compliance program, submit a written revised program for appropriate customer due diligence (CDD), provide a written enhanced program for suspicious activity monitoring and reporting, obtain third-party validation of the bank’s transaction monitoring system, and submit a written plan for independent testing of the bank’s compliance with all applicable BSA/AML requirements.

The order, dated Dec. 26, 2018, was terminated Monday.

Federal Reserve Board announces termination of enforcement action with Commercial State Bank

Be the first to comment

Leave a Reply

Your email address will not be published.