- US SEC announced charges against Wells Fargo advisors for failing to file at least 34 Suspicious Activity Reports.
- The Division of Enforcement director expressed his concern about this situation.
- The SEC will also send a clear message to other registrants following this matter.
On May 20, the US Securities and Exchange Commission (SEC) posted on Twitter that they are pressing “charges against Wells Fargo Advisors for failing to file at least 34 Suspicious Activity Reports in a timely manner between April ‘17 & Oct ‘21. Wells Fargo Advisors, the St. Louis-based broker-dealer, agreed to pay $7M to settle the charges.”
According to the SEC’s order, the system failed to reconcile the different country codes used to monitor foreign wire transfers due to the deficient implementation and failure to test a new version of its anti-money laundering (AML) transaction monitoring and alert system adopted in January 2019 by Wells Fargo Advisors.
As a result, Wells Fargo Advisors did not file at least 25 Suspicious Activity Reports (SARs) relate …