Customers Victorious As Bank Fined $15 Million For Decade of Deceptive Practices

A bank in the United States has agreed to pay $15 million after being charged with unfair practices against its clients for ten years.

According to the Office of the Comptroller of the Currency (OCC), MUFG Union Bank, which U.S. Bancorp recently received, assured clients they would receive several discounts and payment releases.

In actuality, the Bank did not provide its commitment to account holders.

The affected customers had deposit accounts, rented secure deposit boxes, or were registered in a private banking program.

Although the OCC argues Union Bank self-reported the concerns, the Bank has neither confirmed nor rejected the regulatory agency’s charges.

According to the news release:

“By reason of the foregoing conduct, the Bank engaged in deceptive practices in violation of Section 5 of the FTC Act, which were part of a pattern of misconduct and resulted in pecuniary gain to the Bank.

The Bank self-identified these violations of law and is reimbursing customers affected by and is taking appropriate remedial actions to correct these violations…

This Order is a settlement of the civil money penalty proceedings against the Bank contemplated by the OCC, based on the violations of law described in the Comptroller’s Findings.”

When U.S. Bancorp acquired MUFG Union Bank in June 2021, it had assets of $133.2 billion.

According to U.S. Bancorp, Union Bank paid the impacted clients, and the charges against it predate the transaction.