Danske Bank fined $1.8M over AML checks in Ireland

Danske Bank

Danske Bank was fined 1.82 million euros (U.S. $1.82 million) by the Central Bank of Ireland (CBI) on Tuesday for omitting customers from automated financial crime checks between 2010-19 and failing to notify the regulator.

The bank was found to have committed three breaches under Ireland’s Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 (CJA) for failures relating to transaction monitoring; enhanced customer due diligence; and anti-money laundering (AML)/countering the financing of terrorism policies, procedures, and controls.

Danske’s problems stemmed from its use of historic data filters that predated the CJA and had not been updated to account for new compliance requirements within the legislation, the CBI explained in a press release. This led to some categories of customers being mistakenly excluded from transaction checks, including customers rated by Danske as medium and high risk.

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