Ruling Against Miami Lawyer in Fraud Case Could Harm Independent Review Process, Investigations for Banks

By Brian Monroe

Banking attorneys are closely watching the trial of Miami lawyer Carlos Loumiet for allegedly helping to hide a massive bank fraud, a case they say could disrupt the independent review process often used to vet anti-fraud and anti-money laundering controls. The U.S. Treasury's Office of the Comptroller of the Currency says Loumiet suppressed evidence and made false statements to conceal the crimes of executives at the now-defunct Hamilton Bank. The bank's chairman and other top officers were sent to prison for engaging in illegal loan swaps to hide $20 million in losses from Russian loans. Loumiet helped prepare independent reviews...