
TD Bank has been hit with a massive $3.22 billion fine after federal investigators discovered widespread failures in its anti-money laundering controls. From 2018 to 2024, over 90% of the bank’s accounts were left unmonitored, enabling criminal networks to launder more than $670 million through its system.
The penalties, which include $1.89 billion to the Department of Justice and $757 million to the Treasury’s Financial Crimes Enforcement Network (FinCEN), represent the largest fine of its kind in U.S. history. The bank will also pay millions more to other federal agencies, including the Federal Reserve and the Office of the Comptroller of the Currency.
Investigators revealed that TD Bank’s lax oversight allowed criminals involved in drug trafficking, terrorism financing, and human trafficking to operate unchecked. Treasury officials criticized the bank’s senior management for turning “a blind eye” to the risks, prioritizing cost-cutting over compliance.
The case came to light after federal agents discovered Chinese criminals using TD Bank branches in New York and New Jersey to launder millions from the sale of fentanyl. Despite previous warnings in 2013, the bank failed to act on these issues, leading to the current penalties.
Federal regulators will now oversee the bank’s operations for the next four years to ensure it follows anti-money laundering protocols.