WASHINGTON — TD Bank will pay about $3 billion in a historic settlement with U.S. authorities, who said Thursday that the financial institution’s lax practices enabled money laundering for several years.
Canada-based TD Bank has pleaded guilty to criminal modifications in its money laundering investigation, becoming the largest bank in U.S. history to do so, Attorney General Merrick Garland said.
“TD Bank created an environment where financial crime could flourish,” Garland said.
The Justice Department said the bank’s inability to prevent money laundering made it “easy” for criminals. This allowed money laundering networks to transfer hundreds of millions of dollars through TD Bank accounts over a period of years, prosecutors said.
The bank did not immediately respond to a message seeking comment Thursday.
