|Compliance Alert Overview June 2011(click here for .ppsx file)|
NEW YORK (Reuters) – U.S. authorities are investigating whether two French banks violated anti-money laundering rules and economic embargoes on countries like Iran, according to a person familiar with the investigation.
Regulators in New York and Washington are looking at potential violations by Credit Agricole and Societe Generale of U.S. economic sanctions imposed against the countries, the source said.
In addition to the Iran sanctions violations, the investigation is looking at whether the banks broke embargoes against Cuba and Sudan, according to the source.
The agencies involved include the U.S. Treasury Department, the Justice Department, the New York State Department of Financial Services and the Manhattan District Attorney’s office, the source said.
Spokespeople from the district ...Read More
Asia’s boom comes at a high environmental price. Recent studies are showing that air pollution is taking a large social and economic toll on urban residents. Last summer, a National Academy of Sciences study reported that smog associated with uncapped coal plants and low coal quality reduces life expectancy by five years.
For the residents of Harbin, Beijing, Tianjin, and other urban areas in China, pollution is a tangible issue with financial consequences. On Oct. 22, 2013, an unprecedented “smog crisis,” as it was dubbed, due largely to coal-fired heating, highlighted a key problem facing Chinese urbanites and the billions of dollars invested in infrastructure to support them.
Although perhaps shocking to international observers, the poor air quality...Read More
Dictator quiz: Match the strange fact to the departed leader
’2011 is a bad year for dictators’ – according to half the internet. Leaders were toppled throughout the Middle East, the head of al-Qaida Osama bin Laden was killed by US special forces and North Korean dictator Kim Jong-il died this week. Throughout the year we learnt some strange facts about these men, their lives and deaths. Can you match the fact to the leader?
The Dictator. Can you tell your Muammars from your Mubaraks?
- 1.Which regime put an internet blackout on the country just hours before one of the biggest planned protests?
- 2.Which dictator sparked downloads of an unexpectedly popular ringtone made up of recordings of his words?
(Reuters) – Mark Carney faces probably his toughest questioning so far as Bank of England governor next week when lawmakers will seize on a foreign exchange scandal to press their demands for tighter oversight of the central bank.
Carney arrived from Canada last July as an outsider with a mandate to shake up the 320 year-old institution, from monetary policy to its relationship with the powerful banks of the City of London.
A group of influential members of parliament wants Carney to change the way the BoE polices itself too.
Their long-standing frustrations with what they say is the Bank’s outdated governance system broke out again last week when the BoE suspended an official amid an internal review into whether Bank staff turned a blind eye to possible manipulation of key rates by fore...Read More
(Reuters) – A Delaware judge said Royal Bank of Canada (RY.TO) should be held liable to former shareholders of Rural/Metro Corp because it failed to disclose conflicts of interest that tainted the $438 million buyout of the ambulance operator.
Bankers at RBC Capital Markets were so eager to collect higher fees that they convinced Rural/Metro directors to sell the company in June 2011 to private equity firm Warburg Pincus LLC at an unreasonably low $17.25 per share, wrote Vice Chancellor J. Travis Laster of the Delaware Chancery Court.
Former Rural/Metro Corp shareholders are seeking about $172 million from Toronto-based RBC, representing the difference between the buyout price and what they believe the company was worth, according to published reports.
In a 91-page decision dated March 7...Read More
The note which is called the ‘ISIL dinar’ also bears the signatures of the terrorist group’s ringleader and finance minister without naming them.
Leader of the Anbar Salvation Council Sheikh Ahmed Abu Risha provided a photo of the notes published in Anbar province to the media.
He described the notes as evidence of the presence of the terrorist ISIL members in Anbar province, and underlined the necessity of cooperation between Iraq’s police force and the tribes residing in the Western province to uproot terrorism and establish security in the ...
Over two decades, Carson Yeung says he transformed himself from an apprentice hairdresser in Hong Kong into a successful stock picker worth millions of dollars.
His love of gambling took him to Macau and private rooms reserved for high-stakes baccarat. It also led him to invest in the Neptune VIP Club, a gambling syndicate in the only Chinese territory where casinos are legal. That bet paid off. Yeung’s expanding fortune afforded him many Western luxuries: a Maybach car, a London apartment, even an English soccer team.
His luck has since turned. Hong Kong authorities made the gaming investment a centerpiece of a money laundering case, winning a conviction on Monday. District Court Judge Douglas Yau sentenced Yeung today to six years in jail for laundering HK$721...Read More
Bank Secrecy Act (“BSA”) compliance, and in particular anti-money laundering (“AML”) controls, remains a focus of regulators as evidenced by record fines levied in recent weeks. On February 7, 2014, the Financial Industry Regulatory Authority, Inc. (“FINRA”) suspended a former AML compliance officer at Brown Brothers Harriman (“BBH”) and assessed a record $8 million fine against the firm for its inadequate AML program and lack of oversight. In addition, BBH’s former Global AML Compliance Officer was personally fined $25,000 and suspended for one month as a result of the AML program’s failures. FINRA found that BBH’s AML program failed to adequately monitor and detect suspicious penny stock transactions, even after such activity had been brought to its attention...Read More
The world’s largest banks are being told to get to know their customers better, but the news yesterday from the Department of Justice action against the deceased Nigerian dictator Sani Abacha suggests there is lots of knowing still to be done.
The DoJ has swooped in and seized $458 million of assets held in accounts in The Bailiwick of Jersey and Paris in the name of Abacha – who died 14 years ago – and his associates. Accounts in London have also been frozen, but the exact proceeds have yet to be totted up.
The list of banks and accounts used by Abacha and his associates is long and impressive: Deutsche Bank, HSBC, JO Hambro, Banque SBA, and Standard Bank, ANZ Banking Group, New York, Bankers Trust Company, Barclays, Citibank, Chase Manhattan, Chemical Banks, Commerzbank, Marine ...Read More
(Reuters) – A whistleblower will be paid $63.9 million for providing tips that led to JPMorgan Chase & Co’s agreement to pay $614 million and tighten oversight to resolve charges that it defrauded the government into insuring flawed home loans.
The payment to the whistleblower, Keith Edwards, was disclosed on Friday in a filing with the U.S. district court in Manhattan that formally ended the case.
In the February 4 settlement, JPMorgan admitted that for more than a decade it submitted thousands of mortgages for insurance by the Federal Housing Administration or the Department of Veterans Affairs that did not qualify for government guarantees.
JPMorgan also admitted that it had failed to tell the agencies that its own internal reviews had turned up problems.
The government said it ultimate...Read More