GT Bank of Nigeria Fined £11 Million in the UK over Anti-Money Laundering Lapses.
The UK branch of Nigeria Guaranty Trust Bank has been fined 7.6 million pounds ($9.3 million) by the Financial Conduct Authority (FCA) for inadequate anti-money laundering systems and controls. The FCA found serious weaknesses in the systems that were intended to prevent money laundering between October 2014 and July 2023.
The watchdog said that GT Bank failed to undertake adequate customer risk assessments and to document money laundering risks posed by its customers during the relevant period. The FCA had previously fined GT Bank 525,000 pounds in August 2013 for serious failings related to anti-money laundering controls.
GT Bank UK’s Managing Director, Gbenga Alade, said the bank takes its anti-money laundering obligations seriously and acknowledged the FCA’s findings with sincere regret. The bank, however, asserted that the FCA found no instances of suspected money laundering. Alade added that necessary steps had been taken to address and resolve the identified gaps.
GT Bank was warned repeatedly of the weaknesses by internal and external sources, including the FCA, but failed to take the appropriate action to fix them, according to the watchdog.
GT Bank has not disputed the FCA’s findings and agreed to settle, qualifying for a 30% discount on the fine, which would otherwise have amounted to 11 million pounds.