NEW YORK - Atlantic Bank of New York pleaded guilty to three counts of violating the Bank Secrecy Act and was ordered to pay $1.1 million, according to the Justice Department.
The bank will pay a $1 million criminal fine and a $100,000 civil fine for violations between January 1987 and July 1989, said the office of the U.S. attorney for the Eastern District of New York.
The government had alleged that Atlantic Bank evaded banking regulations by avoiding the necessity to file currency transaction reports. Branch personnel allowed customers to use false names on foreign drafts sold for cash and told customers to buy foreign drafts and wire transfers for $10,000 or less.
The government said that the wrongdoing was limited to branch employees and that Atlantic Bank has added controls since to prevent recurrences.