UBS hit with record $125 million fine for laundering oversight failures

The Financial Crimes Enforcement Network (FinCEN) revealed that UBS neglected to oversee more than 50,000 foreign currency wires, which collectively exceeded $10 billion in value. These oversights persisted despite internal assurances from the bank that it would rectify long-standing monitoring deficiencies. Regulators underscored that the firm’s failure to disclose these gaps highlights a systemic inability to maintain required anti-money laundering controls.

This penalty marks a significant escalation from the $14.5 million fine imposed on the bank in 2018 for similar lapses in wire monitoring. In response to the latest enforcement action, UBS stated that the settlement resolves a legacy matter. The firm emphasized that it has cooperated with authorities and committed substantial resources to overhaul its anti-money laundering programs to meet current industry standards.