The size and scope of HSBC's record-setting $1.92 billion penalty to federal regulators for a slew of anti-money laundering problems surprised many in the financial industry, who warned it could set a new precedent for targeting other institutions.

The British bank (HBC) agreed Tuesday to pay several amounts to various U.S. regulators for a total that will be the largest corporate penance thus far for inadequate compliance with anti-money laundering laws.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.