Central Pacific Financial Corp. in Honolulu has been ordered by regulators to beef up its Bank Secrecy Act compliance procedures.
The $5.4 billion-asset company said after the stock markets closed Friday that it has agreed to a cease-and-desist order with the Federal Deposit Insurance Corp. and the Hawaii Division of Financial Institutions requiring it to improve its procedures for detecting, monitoring, and reporting large currency transactions and suspicious activity mandated by federal law.
The company said that it has taken significant steps toward addressing regulators' concerns, such as hiring more staff and improving reporting procedures. It said it is also currently installing "state-of-the-art" software that will better monitor transactions and that it expects to fully comply with the regulatory order by mid-2007.
