Bank of America has moved its compliance group from its legal unit to its risk oversight team amid increasing pressure from its US regulator, reported Reuters.
The switch follows warnings from federal regulators to banks to implement more ethical internal cultures to make them easier to manage.
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In December last year, officials of the office of the comptroller of the currency (OCC) discussed about the heightened expectations guidelines for banks to manage their risks with Bank of America officials.
The OCC believes that legal unit aims to focus on minimizing the application of rules, the source said.
Bank of America spokesman Dan Frahm said that it had merged compliance and risk units to bring all risk management functions under the management of bank’s chief risk officer Geoffrey Greener.
The move comes as part of the bank’s efforts to resolve legacy issues related to the financial crisis.
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By GlobalDataAn OCC spokesman was quoted by Reuters saying that the regulator does "not talk about the supervision of specific institutions."
