In a statement, Fincen said the penalty is the largest fine ever imposed on a broker-dealer for violations of the Bank Secrecy Act. The agency classified UBS as a repeat offender because it had already been fined for a similar violation in 2018.

Delayed Implementation Criticized

At that time, UBS agreed to pay 14,5 million dollar, and regulators also required the bank to strengthen its anti-money laundering (AML) monitoring systems. According to Fincen, UBS took too long to implement the required improvements, resulting in the new penalty. The agency noted that the required enhancements have since been completed.

Ambitious Expansion Plans in the United States

UBS is widely known to have ambitious growth plans in the U.S. market. In March, the bank received regulatory approval from U.S. authorities to expand its business from a wealth manager into a full-service universal bank.

By the end of 2027, UBS plans to offer its U.S. clients payment services, savings accounts, and checking accounts, with lending products potentially to follow at a later stage.