#Block was fined $80 million.#
Hot Topic Overview
Overview
Financial regulators from 48 US states have jointly fined Block Inc.'s mobile payment service Cash App $80 million for violating the Bank Secrecy Act (BSA) and anti-money laundering (AML) regulations. Regulators noted that Block failed to fully comply with key requirements including customer due diligence and management of high-risk accounts, potentially allowing its service to be used for money laundering, terrorism financing, or other illegal activities. Block has agreed to pay the fine, hire an independent consultant to review its BSA/AML compliance program, submit a report within nine months, and correct any identified deficiencies within 12 months.
Ace Hot Topic Analysis
Analysis
Financial regulators from 48 U.S. states have jointly enforced a $80 million penalty on Block, Inc.'s mobile payment service Cash App for violations of the Bank Secrecy Act (BSA) and anti-money laundering (AML) regulations. Regulators cited Block’s failure to fully comply with key requirements, including customer due diligence and high-risk account management, which could have led to its services being used for money laundering, terrorism financing, or other illicit activities. Under a multi-state settlement agreement, Block will pay the penalty, hire an independent consultant to review the comprehensiveness and effectiveness of its BSA/AML compliance program, and submit a report within nine months. The company will then have 12 months to remediate any deficiencies identified. The action was led by California, Texas, and other states. Block fully cooperated with the investigation.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Block Inc. was fined $80 million for violating the Bank Secrecy Act and anti-money laundering regulations.
Block Inc. failed to fully comply with key requirements such as customer due diligence and high-risk account management.
Block Inc. agreed to pay the fine and hire an independent consultant to review the effectiveness of its BSA/AML program.
Block Inc. is required to submit a report within 9 months and remediate issues within 12 months.