Indonesia-based paper products manufacturer PT Bukit Muria Jaya will pay $1.6 million and enter into a deferred prosecution agreement with a compliance program to resolve charges that the company illegally shipped products to North Korea in violation of U.S. sanctions law, and took steps to conceal the true nature of the transactions from U.S. banks. DOJ; OFAC
French bank Union de Banques Arabes et Françaises will pay $8.6 million to resolve an investigation into its operation of U.S. dollar accounts on behalf of Syrian financial institutions subject to U.S. sanctions. UBAF’s practices allowed the sanctioned entities to conduct transactions through a U.S. bank following internal transfers between the sanctioned entities and non-sanctioned entities that were also UBAF customers. OFAC
Congress Set to Pass NDAA with New Whistleblower Reward Provisions for Money Laundering
The FY21 National Defense Authorization Act (NDAA), likely to be passed by Congress this week, takes a critical step for anti-money laundering (AML) enforcement by creating a long overdue AML whistleblower program. The NDAA’s new whistleblower program, administered by the Department of Treasury, would provide for mandatory awards to whistleblowers who brought forward information about violations of the Bank...
Amidst the ongoing saga of the US national elections, Florida local elections may not have made much of a ripple. But one small scandal in the Sunshine State reveals a lot about the ongoing problem the US has with shell corporations and their hidden ownership structures.
The story is convoluted, as most shell company stories are. A political donor, Proclivity, who had never donated money in Florida before,...
Catch of the Week: Goldman Sachs Agrees to Pay Over $2.9 Billion in Foreign Bribery Case
The Goldman Sachs Group Inc. and its Malaysian subsidiary have admitted to conspiring to violate the Foreign Corrupt Practices Act (FCPA) by engaging in a scheme to pay more than $1.6 billion in bribes to foreign officials in exchange for lucrative contracts. According to Goldman’s admissions and court documents, Goldman paid these bribes to foreign officials in Malaysia and Abu Dhabi in order to obtain and retain...
Catch of the Week: Texas-Sized Indictment for $2 Billion Tax Fraud
Everything sure is bigger in Texas. Bigger hair, bigger churches, bigger stadiums, bigger ranches, and bigger sky. Oh, and as of this week, bigger billionaires committing bigger frauds!
On Thursday, federal prosecutors in California chargedRobert T. Brockman, a Houston tech executive, with hiding $2 billion in income from the Internal Revenue Service. True to Texas form, David L. Anderson, the U.S. attorney...
The FinCEN Files Prove We Need an Anti-Money-Laundering Whistleblower Program
The FinCEN Files. It sounds ominous, and recalls the Panama Papers, the Paradise Papers, and others. Like those earlier stories, the FinCEN Files expose powerful players, including a large number of highly regulated banking giants.
The FinCEN Files, published by the International Consortium of Investigation Journalists and BuzzFeed News, document over 200,000 suspicious financial transactions via documents leaked...
Putting a Stop to Illegal Imports from Forced Uyghur Labor
The world has watched in horror as, starting in 2018, up to two million Uyghurs and other ethnic minorities have been arrested, relocated, or otherwise forced into internment centers in the Xinjiang Uyghur Autonomous Region in China. The government of the People’s Republic of China has separated thousands of Uyghur children from parents, forced methods of control on women, and inflicted physical and psychological...
Catch of the Week: DOJ Charges North Korean and Malaysian Nationals for Bank Fraud, Money Laundering and Sanctions Violations
The Department of Justice announced a criminal complaint charging Ri Jong Chol, Ri Yu Gyong, North Korean nationals, and Gan Chee Lim, a Malaysia national, for conspiracy to violate North Korean Sanctions Regulations, bank fraud, and conspiracy to launder funds. The DOJ said defendants allegedly established and utilized front companies that transmitted U.S. dollar wires through the United States to purchase...
Catch of the Week: Interactive Brokers Pays $38 Million for Failures in Money-Laundering and Supervision
Brokerage firm Interactive Brokers LLC will pay $38 million in penalties to settle charges from multiple U.S. market regulators regarding its anti-money laundering practices, including alleged failures to file suspicious activity reports (SARs). The discount broker has paid an $11.5 million penalty to settle charges with the Securities and Exchange Commission over the deficiencies in its internal controls that...