SAN FRANCISCO—A federal appeals court has rejected California Pacific Bank’s challenge to the U.S. Bank Secrecy Act as unconstitutionally vague, saying a government manual clarifying the act is detailed enough to inform banks of required conduct.
In a decision this week, a three-judge panel of the 9th U.S. Circuit Court of Appeals also ruled the Federal Deposit Insurance Corp’s board was correct in issuing a cease and desist order against California Pacific Bank for failure to comply with the act, Reuters reported.