All articles tagged with #anti money laundering
Capital One says it closed more than 300 Trump Organization accounts in 2021 after review by its AML team, tying the closures to anti-money-laundering concerns and asking a Florida federal court to dismiss the Trump Organization’s lawsuit alleging political discrimination in debanking.
Capital One says it closed more than 300 Trump Organization accounts after a months-long AML review, arguing the closures were for anti-money-laundering reasons, not political bias as the Trump Organization alleges in a 2025 lawsuit; the bank is seeking dismissal, noting that some complaints have been dismissed and others amended as the case continues in federal court.
Capital One says it closed the Trump Organization's accounts after months of anti-money laundering review, arguing the action was AML-driven and that it sought to dismiss a lawsuit alleging politically motivated debanking.
Capital One, in a court filing, says it closed over 300 Trump Organization accounts after months of anti–money-laundering review and seeks dismissal of the lawsuit accusing debanking for political reasons; the bank argues the closures followed AML analysis in line with federal guidance, while the Trump Organization maintains the move was politically motivated.
The SEC filed a civil complaint against Nathan Fuller, founder of Privvy Investments (and Gateway Digital Investments), alleging he raised about $12.3 million from roughly 150 investors across nine states and two foreign countries by promising proprietary AI bots would perform high-frequency crypto arbitrage with 40%–50% returns, but the bots did not function as advertised. The commission says only about $380,000 was spent on actual crypto purchases, while Fuller misappropriated at least $6.2 million for personal expenses and forwarded about $5.5 million to earlier investors in a Ponzi-like scheme. He allegedly faked a Texas money-transmitter license and insurance, and used ChatGPT to draft a bogus KYC letter via a shell firm to quiet withdrawals. Fuller had previously admitted in bankruptcy proceedings that Privvy was a Ponzi scheme. The SEC is seeking injunctions, disgorgement with prejudgment interest, civil penalties and a bar from securities offerings.
FinCEN has issued FAQs to clarify suspicious activity report (SAR) requirements, aiming to improve the quality of information provided to law enforcement and reduce unnecessary resource expenditure by financial institutions, with a focus on prioritizing significant threats.
FinCEN has postponed the reporting requirements of the Anti-Money Laundering Regulations for Residential Real Estate Transfers until March 1, 2026, to reduce industry compliance burden while maintaining financial system protections.
Secretary of the Treasury Janet Yellen announced new initiatives following her meeting with Vice Premier He Lifeng of China, including intensive exchanges on balanced growth in domestic and global economies to address macroeconomic imbalances and overcapacity concerns, as well as joint cooperation on anti-money laundering to combat illicit finance and financial crime. The initiatives aim to advance American economic interests, protect national security, and strengthen the economic relationship between the two countries.
The US has charged KuCoin, a major cryptocurrency exchange, with violating anti-money laundering laws by failing to vet customers and allowing billions of dollars in illicit funds to be transferred since its founding in 2017. The exchange's founders, Chinese nationals Chun Gan and Ke Tang, have also been charged with conspiracy. KuCoin has stated that it respects the laws and regulations of various countries and strictly adheres to compliance standards. Additionally, the US Commodity Futures Trading Commission has filed a civil lawsuit against KuCoin for failing to register its futures and swaps activities with the regulator.
U.S. federal prosecutors have charged crypto exchange KuCoin and its founders with violating anti-money laundering laws, alleging that the exchange operated in the U.S. without registering or implementing proper KYC and AML programs. The indictment claims KuCoin facilitated money laundering and received over $5 billion in suspicious and criminal funds. Additionally, the CFTC filed a suit against KuCoin for not registering as a futures commission merchant and failing to implement a KYC program. KuCoin's native token (KCS) dropped 5% following the announcement, and Bitcoin's price also experienced volatility.
U.S. prosecutors are seeking tighter bond conditions for Binance founder Changpeng Zhao ahead of his April sentencing for violating anti-money laundering laws, including requiring him to provide notice before any domestic travel, surrender his Canadian passport, and restrict his movement. Zhao's lawyers have objected to the proposal, and a judge previously barred him from leaving the U.S. due to concerns about his potential flight risk. Zhao pleaded guilty to the charges and stepped down as Binance's CEO, with federal sentencing guidelines suggesting he could face up to 18 months in prison.
The Treasury Department's testimony debunked Sen. Elizabeth Warren's claims that cryptocurrency is a major source of funding for Middle East terrorist groups, dealing a blow to her anti-crypto legislation. The testimony revealed that terrorists prefer traditional financial products and services over digital assets, contradicting Warren's arguments. The Treasury's failure to correct erroneous data on terrorist crypto funding has sparked criticism, and opposition to Warren's bill requiring crypto industry participants to comply with KYC rules is growing. Crypto trade groups are lobbying against the bill, citing its potential to stifle innovation and jobs while having little impact on apprehending illicit actors.
The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) has proposed a rule to apply comprehensive anti-money laundering and countering the financing of terrorism measures to certain investment advisers, including registered investment advisers (RIAs) and exempt reporting advisers (ERAs). The proposed rule aims to address the vulnerability of the investment adviser sector to illicit finance activity, enhance transparency, and protect the U.S. financial system against abuse by money launderers and other bad actors. The rule would require covered investment advisers to implement AML/CFT programs, file suspicious activity reports, and fulfill other obligations under the Bank Secrecy Act. The comment period for the proposed rule is open until April 15, 2024.
Small businesses are now required to disclose ownership information under a new anti-money laundering law, but investment vehicles like venture capital funds and private equity funds are exempt from the same rules after heavy lobbying. The exemption has been criticized for undermining anti-corruption and counterterrorism efforts. The Treasury Department's final rules extended the exemption to subsidiaries of banks, venture capital funds, and investment companies. While some hail the Corporate Transparency Act as a crucial anti-money laundering law, others argue that the exemption for investment vehicles poses a high risk of money laundering and terrorist financing. Some states are now taking steps to address private investment transparency, and the Treasury Department plans to release new anti-money laundering safeguards.
The EU is set to introduce new anti-money laundering regulations that will impact the cryptocurrency industry, including banning privacy coins, restricting self-custody wallet payments, and increasing tracking of crypto transfers. The regulations are expected to work alongside the Markets in Crypto-Assets regulation, with the main challenge being to ensure regulatory clarity and prevent overburdening crypto enterprises. The regulations also aim to crack down on anonymising tools and impose extra due diligence measures for firms handling crypto transactions under €1,000, with the goal of preventing terrorist organizations from using crypto to finance their operations.