WASHINGTON — Without admitting or denying fault, $127 million Beach Bank of Miami Beach, Fla. consented to civil money penalties totaling $800,000.

The FDIC, Financial Crimes Enforcement Network, and Florida Office of Financial Regulation recently announced that the regulators determined inadequacies in Beach Bank's anti-money laundering program and monitoring for suspicious activity. Specifically, the agencies found that the bank did not implement internal controls or systems to manage risk in the bank's high-risk accounts, resulting in a failure to timely report suspicious activity.

According to FinCEN's order, the bank had internally identified over 200 high-risk accounts, but failed to fully investigate three money services business customers that collectively withdrew more than $615 million in currency from the bank over an 18-month period in order to determine if the activity was suspicious. Subpoenas revealed that the bank was aware these customers were under investigation and knew of the high cash transactions, evidenced by Current Transaction Report filings.

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