MANILA, Philippines – The Philippine central bank has imposed a 1 billion peso ($21 million) fine, its largest ever, on a local commercial bank which became embroiled in the laundering of $81 million stolen by hackers from a U.S. Federal Reserve account belonging to Bangladesh’s central bank.
The Rizal Commercial Banking Corp. said Friday it will pay the fine. The Philippine central bank said the action affirms its “strong commitment to ensure the stability of the country’s financial system.”
The stolen funds are thought to have been funneled online to four private accounts at a RCBC branch, converted into pesos and wired out through a remittance company to two casinos, which are not covered by anti-money laundering regulations.
Only a fraction of the $81 million has been recovered so far.