New York CNN —A former Florida-based TD Bank employee was arrested for his alleged role in a massive money-laundering scheme by drug cartels for which the US government previously fined the bank $3 billion.
The arrest follows the record fine TD Bank faced in October, after the US Department of Justice said it had “long-term, pervasive, and systemic deficiencies” in its procedures for monitoring transactions.
More than 90% of transactions went unmonitored between January 2018 to April 2024, which “enabled three money laundering networks to collectively transfer more than $670 million through TD Bank accounts,” according to a previous legal filing.
It’s rare for the government to go after an individual bank employee in this kind of case.
In October, TD Bank CEO Bharat Masrani said in a statement: “This is a difficult chapter in our bank’s history.
Persons:
New York CNN —, Leonardo Ayala, ”, Ayala, Bharat Masrani, CNN’s Matt Egan, Jordan Valinsky
Organizations:
New, New York CNN, Bank, US, of New, US Department of Justice, Treasury, CNN, Court, New Jersey US, TD Bank, US Treasury Department’s, Network, US Justice Department
Locations:
New York, Florida, of New Jersey, Doral , Florida, Miami, New Jersey, Colombia, United States