Wells Fargo fined $67.8M by Fed for ‘inadequate oversight of sanctions risk’

The Federal Reserve Board announced that it has fined Wells Fargo $67.8M for the firm’s "unsafe or unsound practices relating to historical inadequate oversight of sanctions compliance risks at its subsidiary bank, Wells Fargo Bank, N.A." "Wells Fargo & Co.’s deficient oversight enabled the bank to violate U.S. sanctions regulations by providing a trade finance platform to a foreign bank that used the platform to process approximately $532M in prohibited transactions between 2010 and 2015. The Board’s action is being taken in conjunction with an action by the U.S. Department of the Treasury’s Office of Foreign Assets Control, which is imposing a separate penalty on Wells Fargo Bank for these violations. The total penalty announced by both agencies is approximately $97.8M," the Fed stated.