Customers Bancorp faces Fed action over risk management deficiencies

The U.S. Federal Reserve has imposed an enforcement action on Customers Bancorp for “significant deficiencies” in the bank’s risk management and anti money-laundering practices. The bank has been told to overhaul its policies and regularly report back to regulators on progress. The Pennsylvania-based lender’s chief risk officer, Joan Cheney, said in a statement that the bank is committed to meeting regulators’ expectations including obligations under the recently announced action. “We have already begun taking a number of significant steps to strengthen our risk management practices and BSA/AML compliance program,” Cheney said. BSA is the common term for a series of U.S. laws and regulations enacted to combat money laundering and the financing of terrorism.