Downey Financial Corp. of Newport Beach, Calif., said Friday that its Downey Savings and Loan Association subsidiary has consented to a cease-and-desist order from the federal Office of Thrift Supervision in connection with the S&L's compliance with the Bank Secrecy Act.
According to a regulatory filing, Downey Savings and Loan must strengthen its written program for complying with federal anti-money-laundering requirements, hire an independent consultant to review its compliance with the secrecy law, expand customer-identification procedures and issue progress reports to the OTS.
