Wells Fargo and BNP Paribas are set to pay multi-million-dollar fines due to their staff’s use of unofficial platforms like WhatsApp for business purposes.
Wells Fargo has consented to a $125m (£98.5m) settlement, while BNP Paribas will part with $35m (£27.6m). This move comes as the Securities and Exchange Commission (SEC) tightens its grip on inadequate record maintenance.
In total, 11 firms, including a subsidiary of the Bank of Montreal and a division of Mizuho Financial Group, have committed to paying penalties.
Simultaneously, the Commodity Futures Trading Commission unveiled settlements with four banking entities, including Wells Fargo and Bank of Montreal, totalling another $260m.
In recent years, both the SEC and CFTC have intensified their focus on companies bypassing regulatory oversight by using personal email addresses or services like WhatsApp for professional exchanges.
Just last year, the SEC imposed fines totalling $1.1bn on major banks, including Bank of America, Citigroup, and Goldman Sachs.”
