Regions Bank will pay out $1 million to settle Securities and Exchange Commission allegations that the bank enabled a fraud that robbed thousands of Latin American investors, according to the Wall Street Journal. The SEC alleged that Regions knowingly acted as trustee for broker-dealer U.S. Pension Trust Corp., which scammed investors by charging exorbitant commissions. “Regions Bank was aware or should have been aware of USPT’s deceptive sales practices, yet agreed to participate in these investment plans and associate its name and reputation with USPT,” said Glenn S. Gordon, associate director of the SEC’s Miami regional office.
Regions Bank to Pay $1M Fraud Fine
A southeastern regional bank has agreed to pay $1M to settle a fraud case brought about by the SEC.
September 21, 2009