Bank of China has agreed to pay US$20m to US and Chinese regulators because of ‘misconduct’ by former management at its New York branch, said the US Office of the Comptroller of the Currency. The state-owned bank is to pay a US$10m civil penalty and the same amount in yuan to the People’s Bank of China.
The OCC said that the misconduct occurred in the 1990s. It referred to preferential treatment given to certain customers of the bank branch who had personal relationships with some former members of the New York branch.