The Bancorp warns of looming BSA-related civil money penalty

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The Bancorp in Wilmington, Del., is facing an $8.6 million civil money penalty tied to alleged violations of the Bank Secrecy Act.

The $4.9 billion-asset company said in a regulatory filing Wednesday that the Federal Deposit Insurance Corp. is pursuing the penalty. The proposed penalty would also address the length of time the bank has taken to comply with a 2014 consent order.

The consent order required the company to revise its BSA and anti-money-laundering programs and implement additional policies and procedures to monitor and report suspicious activity. The Bancorp was also required to review past account activity to determine whether suspicious activity was properly identified and reported.

The FDIC's consent order also instructed The Bancorp to establish an independent testing program.

The proposed civil money penalty is based on supervisory findings covering 2013 to 2019.

“The company is evaluating its options on how to respond to the proposed [penalty] through a consent agreement or a formal administrative proceeding,” the filing said.

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