NEW YORK, Oct. 10 (Xinhua) -- TD Bank is expected to pay about 3 billion U.S. dollars in penalties and accept limits on its growth in the United States as part of a settlement, which is widely reported as due on Thursday, with regulators and prosecutors over charges it failed to properly monitor money laundering by drug cartels.
"As part of the agreement, the bank's primary U.S. regulator, the Office of the Comptroller of the Currency, is expected to impose an asset cap barring the bank's retail business from growing above a certain level in the U.S.," said The Wall Street Journal (WSJ) in its report about the move.
TD's U.S. entity intends to plead guilty to criminal charges to resolve a Justice Department investigation. Both the Justice Department and the Treasury's Financial Crimes Enforcement Network are planning to put independent monitors in place to watch the bank closely and ensure compliance with the pacts, the people said. The FinCEN monitor is expected to be in place for four years, one of the people said.
The settlement will include the Justice Department, FinCEN, the OCC and the Federal Reserve, the people said. The Justice Department will receive the biggest slice of the penalties, some 1.8 billion dollars, with FinCEN getting 1.3 billion dollars, according to WSJ.
Toronto-Dominion Bank, doing business as TD Bank Group, is a Canadian multinational banking and financial services corporation headquartered in Toronto, Ontario. TD Bank N.A. is an American national bank and the United States subsidiary of the multinational TD Bank Group.
