02:17 PM EDT, 10/10/2024 (MT Newswires) -- TD Bank Gorou (TD.TO, TD) on Thursday confirmed a Wall Street Journal report as it resolved U.S. investigations related to the U.S. Bank Secrecy Act (BSA) and Anti-Money Laundering (AML) compliance programs with a payment of US$3.09 billion and other measures.

Along with the payment, TD also said it agreed to ramp up its AML procedures, a process it said it began under a new AML leadership team in the United States. It also agreed to increase staffing for AML measure and agreed to be formally monitored.

The bank also agreed to limit the assets of its two U.S. bank subsidiaries, TD Bank, NA and TD Bank USA, to no more than the US$434 billion they held on Sept.30. The limits do not apply to TD Securities or any operations outside of the United States.

It's U.S. operations will also be "subject to more stringent approval processes for new bank products, services, markets, and stores to ensure the AML risk of new initiatives is appropriately considered and mitigated".

"We have taken full responsibility for the failures of our U.S. AML program and are making the investments, changes and enhancements required to deliver on our commitments. This is a difficult chapter in our Bank's history. These failures took place on my watch as CEO and I apologize to all our stakeholders," Bharat Masrani, chief executive of TD Bank Group, said in a statement.

Masrani last month agreed to step down from his position in April.

TD shares were last seen down US$5.31, or 6.1%, to US$81.80 on the Toronto Stock Exchange.

Price: 81.72, Change: -4.37, Percent Change: -5.08