Bangladesh's long fight against an informal remittance channel popularized centuries ago is inching toward a close, according to Atiur Rahman, the governor of the country's central bank.
Somali pirates are exploiting remittance services offered by regional telecommunications companies to launder the proceeds of kidnapping and other crimes, according to the World Bank.
Less than 10 percent of banks have joined their efforts to fight fraud and money laundering despite calls by the U.S. financial intelligence unit to do so, according to an upcoming report.
Lawmakers proposed a measure Wednesday that would potentially prohibit banks from processing credit card transactions for merchants and maintaining correspondent accounts for financial institutions deemed vulnerable to money laundering and tax evasion.
U.S. investigators arrested the former chief executive officer of a Manhattan-based bank Monday for allegedly embezzling money from a fraudulent loan and attempting to cheat the government out of federal bailout funds.
Massive spending to support the wars in Iraq and Afghanistan has been accompanied by a surge in fraud, corruption and money laundering involving military personnel and contractors.
That mobile banking and cell phone remittances are drawing people into the formal global financial system is more an opportunity than a compliance problem, according to Jean Pesme.
The formation of a federal task force aimed at fighting financial crime will likely mean more money laundering investigations at banks, according to a U.S. Treasury Department official.
Mobile payments with little or no bank involvement are highly vulnerable to money laundering, terror finance and other criminal abuse, according to Bank Secrecy Act compliance officers and attorneys.
The Internal Revenue Service is seeking information from the nation's largest payment processor on merchants that allegedly use offshore bank accounts to avoid paying taxes, the agency said Wednesday.
New Year's Eve may have come and gone and all of the post-celebration headaches faded, but financial institutions are going to need many more months to recover from 2008.
Banks that improperly handle government money, including bailout funds and taxes, could increasingly receive hefty fines under a law rarely evoked today in the financial sector, say legal experts.
The investigation into a $50 billion securities fraud by a former chairman of the Nasdaq stock market may mean more scrutiny for banks that took him as a client, according to a financial investigator.
White collar crime prosecutions in August have dropped nearly 20 percent in the past five years and nearly three percent since 2007, according to government data compiled by a Syracuse University organization.
Banks should streamline their compliance efforts by coordinating their anti-money laundering and anti-fraud programs, the director of the United States' financial intelligence unit said Tuesday.
When financial institutions suspect an employee of fraud or abuse often their first instinct is to simply file a suspicious activity report with regulators and move to the next issue. But a SAR should be filed only after the financial institution has contacted law enforcement directly, experts say.
Individuals and businesses with bank accounts in the United States being pursued by foreign governments as tax cheats could face money laundering charges in the U.S., lawyers say.
With the Justice Department and SEC taking a more aggressive approach to enforcing the act, there has been a dramatic increase in investigations and enforcement actions, lawyers and compliance professionals say. Many of the violations are associated with money laundering cases.
Oregon residents Laurent Barnabe and Douglas Ferguson were sentenced on money laundering and other charges for their role in a Ponzi scheme run through an offshore bank based in Grenada.
For a whistleblower program to be effective, employees have to believe that any action they take will produce results and that they will be protected from retaliation, experts say.