TD Bank has pleaded guilty to multiple criminal money laundering charges, agreeing to pay $3 billion in penalties to the U.S. Department of Justice and federal financial regulators. The settlement comes after the bank failed to properly monitor illicit transactions linked to drug traffickers and other criminals.

As part of the deal, TD Bank will face restrictions on its future growth, with the Office of the Comptroller of the Currency capping the assets of its U.S. subsidiaries at $434 billion. These limitations are similar to those imposed on Wells Fargo in 2018, following similar regulatory breaches.

The case highlights ongoing efforts by U.S. regulators to tighten oversight on large financial institutions to prevent the laundering of illicit funds.