CORRECTION APPENDED An ousted bank chairman's quest to win an apology from the U.S. Justice Department is raising questions about the power of federal prosecutors to dictate the firing of employees. In recent years, the U.S. Justice Department has increasingly used deferred prosecution agreements (DPAs) in anti-money laundering (AML) and other cases. DPAs allow companies to avoid criminal charges in exchange for paying a fine and agreeing to frequently stringent settlement terms, including the hiring and firing of personnel. But the department's ability to mandate that companies fire specific employees as part of the negotiations is facing what may prove...
The U.S. Justice Department has issued a rare letter exculpating a former top American Express banker fired in the wake of a multimillion-dollar anti-money laundering deferred prosecution agreement reached in August 2007.
A group of 90 American, Israeli and Canadian citizens are suing American Express Bank and Lebanese Canadian Bank for $650 million, alleging the institutions provided financial services to blacklisted terror group Hizbollah.
Two Venezuelan businessmen accused by U.S. prosecutors of acting as clandestine agents for Hugo Chavez's government have dropped a lawsuit against American Express Bank International related to $25 million the men had placed with the bank.
The $1.1 billion sale to U.K. bank Standard Chartered PLC follows enforcement actions issued in August requiring American Express Bank Ltd., the American Express private banking subsidiary, to pay $65 million in penalties and acknowledge its responsibility for AML and Bank Secrecy Act failures.