Compliance & Ethics

The Consumer Financial Protection Bureau (CFPB) is making waves with a bold lawsuit against some of the country’s biggest banks—Bank of America, JPMorgan Chase, and Wells Fargo—as well as Early Warning Services, the company behind Zelle. The lawsuit alleges these institutions have turned a blind eye to rampant fraud on the popular peer-to-peer payment platform, which, according to the CFPB, has led to over $870 million in consumer losses since Zelle’s launch in 2017.

In a global health supply chain snafu, Chemonics International Inc. has agreed to fork over $3.1 million to settle allegations it submitted fraudulent claims to the U.S. Agency for International Development (USAID). The international development firm, based in Washington, D.C., found itself in hot water after charges of reckless oversight regarding its subcontractor’s billing practices surfaced.

AAR CORP., a major player in the aerospace industry, has agreed to a $30 million settlement with the U.S. Securities and Exchange Commission (SEC) after facing charges related to bribery schemes in Nepal and South Africa. Joining the company in this settlement is Deepak Sharma, a former executive, who was directly involved in orchestrating these illicit deals.

The Manitowoc Company Inc., a leading crane manufacturer, has found itself in hot water—and it’s not the kind you’d use to make steel. In a settlement announced today, Manitowoc and two of its subsidiaries, Grove U.S. L.L.C. and Manitowoc Crane Group Germany GMBH, agreed to pay $42.6 million to resolve accusations of flouting the Clean Air Act.

As the year winds down, the Office of the Comptroller of the Currency (OCC) has delivered a reminder to the banking world that accountability is non-negotiable. December’s enforcement actions reveal a mix of systemic breakdowns and individual misdeeds, painting a picture of an industry still grappling with old challenges in governance and compliance. From small-town banks failing to shore up their operations to individuals exploiting the system for personal gain, the OCC’s latest round of penalties shows a firm resolve to ensure stability and integrity in the financial system.

The Department of Justice (DOJ) accused CVS Pharmacy Inc.—the nation’s largest pharmacy chain—of knowingly filling illegal prescriptions for controlled substances. The suit claims CVS violated both the Controlled Substances Act (CSA) and the False Claims Act (FCA), directly contributing to the opioid epidemic that has ravaged communities across the United States.

The French Financial Markets Authority (AMF) handed out €4.15 million in fines on December 11, 2024, targeting four companies and three individuals. At the center of the scandal were allegations of spreading false or misleading information and manipulating the share price of Auplata, a French mining firm, in a saga that reads like a cautionary tale of what not to do in finance.