An investor lawsuit has put Bank of America’s compliance disclosures before a federal court after U.S. agencies announced enforcement actions totaling more than $1.21 billion.
New England Teamsters Pension Fund filed the case Oct. 16, 2026, in the U.S. District Court for the Southern District of New York. The complaint names Bank of America Corporation, CEO Brian Moynihan and CFO Alastair Borthwick. The proposed class covers people and entities that acquired the bank’s common stock from Aug. 1, 2025, through Oct. 13, 2026.
The fund alleges that the bank and the executives misled investors about compliance problems at Bank of America, N.A., progress under a 2024 regulatory order and the likely financial impact. The claims have not been decided by the court. The complaint concerns alleged securities fraud involving the parent company and executives; a regulatory admission by the bank’s subsidiary addresses different conduct.
The Financial Crimes Enforcement Network (FinCEN) assessed a $1.2 billion penalty against Bank of America, N.A. The Office of the Comptroller of the Currency (OCC) assessed $750 million, and its release said FinCEN’s $1.2 billion penalty credits the OCC’s assessment. The Office of Foreign Assets Control (OFAC) separately announced a $11,662,930 settlement. The U.S. Department of the Treasury described the combined actions as exceeding $1.21 billion.
FinCEN said the subsidiary admitted willfully violating the Bank Secrecy Act and failing to maintain a compliant anti-money-laundering program. Treasury said the bank had not reported more than $5 billion in suspicious transactions on time, including more than $1 billion involving priority risks. Treasury also said the bank prioritized revenue and minimized compliance resources.
Bank of America reported $6.9 billion in net income and diluted earnings per share of $0.91 for the quarter ended Sept. 30. Its Oct. 14 earnings release said a $1.2 billion regulatory settlement charge lowered diluted earnings per share by $0.17. The complaint lists the stock’s Oct. 14 close at $51.39, compared with $53.96 the prior session, a 4.8% decline. It associates the move with the regulatory announcements and quarterly results; the court has not determined whether the alleged securities violations caused investor losses.
Counsel for the pension fund said investors seeking appointment as lead plaintiff must file motion papers by Dec. 15. Investors who do not seek that role may remain members of the proposed class, counsel said. An Oct. 20 court order separately directs the fund to report by Nov. 20 how and when it published notice of the action.
