The Texas Department of Banking and Colorado Division of Banking coordinated the enforcement under multistate examination authority. Specific violations included failures to comply with the Bank Secrecy Act, late filing of currency transaction reports, inadequate domestic-agent monitoring, and deficient device and software inventory management under the FTC Safeguards Rule. The multistate examination began in May 2025 and was announced by Texas regulators on June 22, 2026. The money transmitter's identity has not been disclosed in public reports.
Money transmitters should treat this as a compliance baseline. State regulators are now conducting coordinated examinations across jurisdictions and pairing monetary penalties with mandatory third-party oversight. Colorado's recent Money Transmission Modernization Act further expanded state enforcement authority over AML violations. Firms operating across state lines should audit their reporting timelines, third-party agent vetting, and technology inventory controls—the specific gaps that triggered this action.