The U.S. Justice Department targeted the wrong entity with a $25 million anti-money laundering penalty issued against California money services business Sigue Corp., compliance professionals say. By targeting San Fernando, Calif.-based Sigue rather than the affiliated agents where alleged money laundering took place, the Justice Department "squandered a golden opportunity" to hold accountable the element of the MSB industry that presents the greatest laundering risks, said Peter Djinis, a Sarasota, Fla.-based AML consultant. In a deferred prosecution agreement released Jan. 28, Sigue pledged to forfeit $15 million and spend $9.7 million to shore up its AML program, chiefly in the...
The U.S. Justice Department entered into 60 percent fewer pre-trial agreements with corporations seeking to avoid criminal prosecutions in 2008 than in the previous year, according to a study released Friday.
The U.S. Justice Department will more aggressively use legal tools to freeze assets and detect financial wrongdoing as part of a larger strategy to combat international organized crime, the department said today.
Sigue, based in San Fernando, Calif., will forfeit $15 million and spend $9.7 million to upgrade its AML program as part of a deferred prosecution agreement with the Justice Department. Fortent Inform first reported the record penalty on January 11.
The settlement, which involves a $15 million forfeiture and a $9.7 million commitment to upgrade anti-money laundering procedures, will be included in a deferred prosecution agreement that could be issued as early as next week, people familiar with the matter said.