TD Bank to pay fine over Ponzi scheme

REGULATION
TD Bank to pay fine over Ponzi scheme

TD Bank is paying $52.5 million to settle civil charges after U.S. regulators accused the bank of failing to report suspicious activity in accounts linked to a $1.2 billion Ponzi scheme.

The Securities and Exchange Commission and the Office of the Comptroller of the Currency announced settlements Monday with the Canadian bank.

The OCC said TD Bank failed to file suspicious activity reports to the government on the accounts of Scott Rothstein, a former Florida lawyer serving a 50-year prison sentence for the Ponzi scheme. The SEC said the bank deceived investors by saying it had restricted Rothstein’s transfers of money in the accounts.

TD Bank is paying a $37.5 million penalty to the OCC and a $15 million penalty to the SEC.

TD Bank neither admitted nor denied wrongdoing in its settlement with the SEC, but the bank agreed to refrain from future violations of securities laws.

— Associated Press

ATTRACTIONS
Spy Museum plans move, expansion

The International Spy Museum, one of the most popular private attractions in the District, would relocate from its popular location at 800 F St. NW to the former Carnegie Library in Mount Vernon Square under a plan by D.C. officials.

Events DC, which manages the District’s convention and sports business, said Monday that it planned to renovate and expand the historic library building by moving the Spy Museum to the museum’s underground space and building a “sculpted glass pavilion” on the north side of the building that would house a visitors center, café and the Spy Museum store.

Events DC and the Malrite Co., the Cleveland-based owner of the museum, would serve as co-developers of the project. The Historical Society of Washington would remain in the building.

— Jonathan O’Connell

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— From news services

Coming Today

9 a.m.: S&P/Case-Shiller home price index for July released.

Earnings: Carnival.

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