Bank of Morton, Mississippi received an FDIC order to pay a $600,000 civil money penalty in 2023 for Bank Secrecy Act violations and failure to comply with a consent order issued June 30, 2020.

Bank of Morton — FDIC BSA Civil Money Penalty and Consent Order Noncompliance (2023)

Outcome: Bank of Morton, a community bank in Morton, Mississippi, was ordered to pay a $600,000 civil money penalty by the FDIC in 2023 for Bank Secrecy Act violations combined with failure to comply with an existing FDIC consent order issued June 30, 2020.

Bank of Morton, located in Morton, Mississippi, received an FDIC civil money penalty order of $600,000 for two categories of violations: ongoing Bank Secrecy Act compliance deficiencies and failure to comply with remediation requirements set out in a prior FDIC consent order from June 30, 2020. The 2020 consent order had already identified BSA/AML program weaknesses and imposed specific corrective action requirements on the bank. The 2023 penalty reflects the bank's multi-year failure to fully implement those required improvements.

The double-exposure nature of this enforcement action — BSA violations compounding an existing consent order — represents a pattern the FDIC increasingly pursues against banks that receive initial corrective orders and then fail to execute the required remediation within the timeframes specified. For a community bank the size of Bank of Morton, a $600,000 civil money penalty represents a material financial impact, typically reflecting the FDIC's determination that the BSA violations were ongoing and that the bank's failure to comply with the prior order was willful or negligent rather than inadvertent.

Primary Source: FDIC Enforcement Decisions and Orders — Bank of Morton (2023)