Peoples Bank exited a consent order with the Federal Deposit Insurance Corp. and the Indiana Department of Financial Institutions that alleged "unsafe and unsound banking practices" related to being proactive about preventing money laundering.

Regulators had questioned whether Munster-based Finward Bancorp, the parent company of Peoples Bank, was following dutifully enough the Bank Security Act, a federal law that requires banks to report suspicious transactions that could be signs of money laundering.

Peoples Bank had entered into the consent order in November 2023 without "admitting or denying the charges of unsafe or unsound banking practices and violations of law or regulation relating to the Bank Secrecy Act," according to the FDIC order.

The FDIC and Indiana Department of Financia

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