Block Inc fined $80 million for compliance failures
State regulators impose $80 million fine on Block Inc for past compliance weaknesses.
Block Inc has agreed to pay $80 million to 48 US state financial regulators over inadequate money laundering controls on its Cash App platform. The settlement follows findings that the company’s compliance measures were insufficient for policing money laundering risks effectively.
An independent consultant will review Block’s Bank Secrecy Act and anti-money laundering programme and report any deficiencies to regulators. The company has also committed to making internal corrections to strengthen its compliance framework.
A Block spokesperson stated the concerns primarily related to past compliance measures and highlighted significant investments made since then to improve risk management. Cash App, which had 56 million monthly users in December 2023, processed over $248 billion in inflows last year.