The Office of the Comptroller of the Currency has issued a cease-and-desist order to Clear Fork Bank in Albany, Texas, for unsafe or unsound practices tied to its Bank Secrecy Act and anti-money laundering compliance.
The OCC said in its C&D order, which supersedes a February 2021 formal agreement, that the $825 million-asset bank failed to correct previously reported BSA problems. The formal agreement was terminated.
The order stated that the bank’s issues, in part, are tied to its oversight of third-party payment processor accounts.
The OCC said its June 2023 exam found that the bank “had failed both to correct a problem with its BSA/AML compliance program … and achieve compliance with requirements in its” formal agreement.
The new order requires the board to appoint a compliance committee and provide quarterly progress reports. The board must review, revise, and “ensure adherence” to its written program for BSA compliance.
The bank must provide a written plan to review and report on its suspicious activity monitoring, investigation, decisions and reporting of third-party payment processor accounts.