A London-based nonprofit group is calling for investigations of at least five financial institutions over their correspondent links to a Central Asian bank at the center of a money laundering probe. Before the institution was nationalized and declared bankrupt in April 2010, anonymous corporate accounts held at Kyrgyzstan-based Asia Universal Bank (AUB) were used to embezzle $64 million in state funds and process billions in suspicious transactions through correspondent banks, advocacy group Global Witness alleged in a report Sunday. The embezzlement scheme, allegedly managed by the son of former President Maxim Bakiyev, exploited anonymous corporate accounts and a friendly relationship...
The Federal Reserve cited Germany's second-largest bank Thursday for broad deficiencies in its anti-money laundering program, including insufficient risk-ranking, suspicious activity reporting and bulk cash controls.
The U.S. regulator of national banks said Thursday in a consent and cease-and-desist order that Citibank N.A. must grant its anti-money laundering compliance department a greater say in business decisions.
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.