US Regulators Propose Overhaul for Anti-Money-Laundering Rules

US regulators unveiled a plan Tuesday to overhaul rules intended to prevent money laundering, a move likely to be cheered by Wall Street as banks continue to rack up wins in their push for policy changes under the Trump administration.

The proposed rulemaking would encourage banks, which are required to watch for signs that their systems are being used for crimes, to allocate resources to higher risk activities instead of minor ones, as Trump-era regulators shift supervision to “core financial risks” instead of process-related items.

Under the plan from the Federal Deposit Insurance Corp., the Office of the ...