Fourth Fulton Financial Bank Hit with BSA Consent Order
Regulators have ordered Fulton Financial (FULT) in Lancaster, Pa., to strengthen its Bank Secrecy Act and anti-money laundering controls.
Fulton Financial in Lancaster, Pa., disclosed that another one of its banks has been hit with a consent order tied to Bank Secrecy Act and anti-money laundering compliance.
The $17 billion-asset company said in a regulatory filing Monday that the Federal Deposit Insurance Corp. had issued the order against Columbia Bank in Maryland.
Columbia is the fourth bank owned by Fulton to receive a regulatory order tied to BSA compliance. Fulton Bank, Swineford National Bank and FNB Bank are working through similar issues. The Federal Reserve Board served Fulton and its Lafayette Ambassador Bank with a cease-and-desist order in September tied to BSA and anti-money laundering issues.
Fulton also said in its latest filing that it expects its Fulton Bank of New Jersey to eventually become subject to an enforcement action associated with BSA compliance.
Christopher McGratty, an analyst at Keefe, Bruyette & Woods, wrote in a note to clients that the latest consent order "will not have any impact on [Fulton's] expense guidance, as it already factors in the possibility of all" the other banks having similar actions.