Updated: 01/11/16 : 06:44:56Printable Version
Ulster Bank fined 3.3m over anti-money laundering and terrorist financing failures
Ulster Bank has been fined 3.3m by the Central Bank for anti-money laundering and terrorist financing failures.
It is the highest fine ever imposed for breaches of this type and follows an admission by Ulster following a Central Bank investigation last year.RTÉ
reports that Ulster Bank has not commented.
These breaches relate to failures to have proper oversight of activities it had outsourced.
As a result, it broke anti-money laundering and terrorist financing rules over a six year period.
The bank failed to have proper policies in place.
Ulster also failed to carry out sufficient due diligence of customers to monitor suspicious activities.
But the Central Bank has not said whether any money laundering or financing of terrorists actually occurred.
However, the Central Bank said Ulster had unacceptable weaknesses to prevent such activities from happening.
Derville Rowland, Director of Enforcement at the Central Bank, said "robust frameworks, systems and controls must be the cornerstone of credit and financial institutions' compliance with anti-money laundering legislation."
She continued: "Weaknesses in anti-money laundering controls expose the Irish and global financial system to abuse and threaten to undermine its stability.
"Ulster Bank Ireland's breaches are especially concerning as they point to unacceptable weaknesses in key aspects of its anti-money laundering framework, systems and controls over an extended period of time."