TD Bank has agreed to pay $3 billion in a historic settlement with U.S. authorities after pleading guilty to money laundering charges related to its failure to prevent systemic financial crimes over nearly a decade. The Justice Department reported that the bank's lax anti-money laundering policies enabled drug cartels to launder significant amounts of money, with over 90% of transactions unmonitored during certain periods. This settlement marks the largest fine ever imposed on a bank for violating anti-money laundering laws, surpassing HSBC's previous record. In addition to the hefty fines, TD Bank will face an asset cap that limits its growth in the U.S. market, a rare regulatory action. The bank has also committed to independent monitoring and has taken steps to enhance its compliance programs following the investigation. CEO Bharat Masrani expressed regret over the bank's failures and emphasized the importance of addressing these serious deficiencies.