Last Updated on October 16, 2026 by TMB
American Express has been ordered to pay a $350 million fine following deficiencies in its anti-money laundering (AML) measures. According to reports, the company was fined because it did not do enough to detect about $13 billion in illicit funds and prevent them from being processed.
The Office of the Comptroller of the Currency (OCC) levied the fine against American Express National Bank, American Express’s banking arm. An official news release explains that the fine was issued along with a cease-and-desist order because its AML and Bank Secrecy Act (BSA) compliance programs were not reasonably designed to ensure compliance with regulations.
The news release specifies that the bank’s deficiencies include weak independent testing, inadequate resources, and inadequately trained staff. In addition, the OCC accused the bank of weak BSA/AML training for employees and internal control shortcomings.
American Express Failed to Properly Monitor Transactions for Ten Years
The Comptroller’s Office provided additional details of the problems it identified. In the release, the Office notes that the bank’s AML and BSA risk assessment did not cater directly to its business processes. The risk assessment disproportionately weighed heavily on products and services related to deposit accounts, but was loosely applied to its credit and charge card services. In addition, American Express National Bank’s monitoring and reporting processes suffered a few breakdowns, which prevented prompt identification, evaluation, and reporting of the $13 billion over a decade.
According to Comptroller of the Currency Jonathan Gould, American Express and institutions of similar size must apply significant resources to comply with money laundering regulations. Gould added:
“American Express failed to maintain a BSA/AML compliance program properly aligned with the money laundering risks of its operations, which resulted in the bank’s failures to timely identify and report significant missed suspicious activity and to provide important information to law enforcement. [The fine and order] will serve to focus American Express on properly addressing such risks as it continues to serve its customers.”
American Express Also Cited by the Federal Reserve Board
The Federal Reserve Board also announced enforcement against American Express, concurrent with the OCC. The Board’s action involves American Express Company and American Express Travel Related Services Company simultaneously. As part of the enforcement action, the Federal Reserve Board has asked the American Express Board to submit a detailed plan to maintain an effective BSA/AML compliance program and improve its reporting processes. In addition, American Express must explain how it intends to ensure senior management remains accountable and also make resources available for remediation.
Furthermore, American Express must create a rigorous transaction monitoring process and impose high due diligence requirements for customers, specifically tailored to financial risks. This should include a risk-based oversight of third parties, including ATM partners. Also, the American Express Board must not retain any officers, agents, employees, or contractors who were involved in the misconduct and were terminated or separated from the company.
