The Office of the Comptroller of the Currency assessed a $65 million civil money penalty against Royal Bank of Canada’s U.S. bank.
The OCC said in a press release that it also issued a cease-and-desist order to City National Bank in Los Angeles tied to “systemic deficiencies in the bank’s risk management and internal controls.”
The OCC said it found that the bank failed to establish effective risk management and internal controls and violated the Bank Secrecy Act. The C&D order requires the bank to improve its strategic plan, internal controls and compliance risk management, among other things.
The penalty will be paid to the Treasury Department.