Wells Fargo Drops as US Seeks Fixes to Money-Laundering Controls

(Bloomberg) -- Shares of Wells Fargo & Co. fell after the bank reached a deal with the Office of the Comptroller of the Currency requiring the lender to beef up systems for detecting money laundering and complying with international sanctions.

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“The bank has begun to take corrective action and has committed to taking all necessary and appropriate steps to remedy the deficiencies identified by the OCC and to enhance its internal controls and financial crimes risk management practices,” the regulator said in an agreement released Thursday, which doesn’t mention any monetary penalty.

The stock tumbled as much as 6.5% before paring losses to 4.3% at 2:16 p.m. in New York.

“We have been working to address a substantial portion of what’s required in the formal agreement,” the bank said in a separate statement. “And we are committed to completing the work with the same sense of urgency as our other regulatory commitments.”

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