In 2019, USA’s Federal Reserve Bank of New York had identified some deficiencies in Credit Suisse USA’s compliance risk management program after an inspection by the Reserve Bank. These included deficiencies in compliance with the Bank Secrecy Act (BSA) and AML function administered by ServeCo.
Following the Reserve Bank’s inspection, the Credit Suisse Group has now entered into a written agreement with the authorities to address the identified deficiencies. Under this agreement, the board of directors of Credit Suisse Group shall take appropriate steps to ensure compliance with all applicable laws and regulations.
Within 90 days of this agreement, the Board of Credit Suisse Group must submit a plan detailing the steps they would undertake to strengthen their oversight of the firm’s BSA/AML compliance.
In this time duration, Credit Suisse must also submit a written revised customer due diligence program as well as a program that ensures the identification and timely reporting of all illegal or suspicious transactions. Additionally, Credit Suisse must also submit a plan for independent testing of its compliance with all applicable BSA/AML obligations.
Source: Federal Reserve Board, USA