Credit Suisse must correct BSA/AML deficiencies under order with Fed, NY regulator

Credit Suisse has 90 days to provide the Federal Reserve Bank of New York an acceptable plan for strengthening oversight of Bank Secrecy Act/anti-money laundering (BSA/AML) compliance across its U.S. operations under an order announced Tuesday by the Fed Board.

The order points to a 2019 examination of the firm’s U.S. branch, Credit Suisse USA (CS USA), that uncovered deficiencies in the branch’s compliance risk management program, including deficiencies with the BSA/AML compliance function administered by the subsidiary ServeCo to the branch “and various entities” within Credit Suisse’s U.S. operations.

The order requires that a written plan for improving compliance across U.S. operations, acceptable to the New York Fed, be submitted jointly by Credit Suisse Group, the bank’s board of directors, the CS USA board of directors, and the CS USA Risk Committee. It was was signed by the New York Fed, the Credit Suisse entities, and the New York State Department of Financial Services.

Federal Reserve Board issues enforcement action with Credit Suisse