money laundering

Holder Claims He Can't Prosecute the the Banks Because It Would Negatively Impact the Global Economy

Attorney General Eric Holder, the highest law enforcement officer in the land, said he cannot prosecute the big banks because that would endanger the global economy.  This is an admission the world is run by the banks and not governments or the rule of law.

Business as Usual and Prosecution of Financial Crime

hsbcThe latest fallout in the banks manipulating the LIBOR scandal were criminal charges against two UBS traders. LIBOR is a key financial rate and the Justice Department this week fined UBS $1.5 billion for rate rigging. The Japan UBS subsidiary also pleaded guilty to wire fraud.

UBS Securities Japan Co. Ltd. (UBS Japan), an investment bank, financial advisory securities firm and wholly-owned subsidiary of UBS AG, has agreed to plead guilty to felony wire fraud and admit its role in manipulating the London Interbank Offered Rate (LIBOR), a leading benchmark used in financial products and transactions around the world, Attorney General Eric Holder announced today. The criminal information, filed today in U.S. District Court in the District of Connecticut, charges UBS Japan with one count of engaging in a scheme to defraud counterparties to interest rate derivatives trades by secretly manipulating LIBOR benchmark interest rates.

The Slap on the Wrist Financial and Corporate Crime Fines

corporate alliance pledgeHave you ever noticed that large corporations can get away with pretty much anything? Over and over again a major scandal breaks and in the end the fines are pennies on the dollar for the profits gained by these nefarious financial activities.

Banks can launder money with impunity and the consequences are a small fine in comparison to the profits made. No matter how egregious there are no criminal chargers or revoking of the bank's charter.

The British bank Standard Chartered said on Thursday that it expected to pay $330 million to settle claims by United States government agencies that it had moved hundreds of billions of dollars on behalf of Iran.

At first glance the record $1.9 billion HSBC fine for laundering Mexican drug cartel money looks like a solid. Yet buried in the fine print, HSBC avoids charges via deferred prosecution.

Reads Around the Internets - Where Do Jobs Come From?

shocknews Welcome to the weekly roundup of great articles, facts and figures. These are the economic and financial finds that made our eyes pop.


Where Do Jobs Come From?

Economist Jared Bernstein has laid out in simple, easy to understand terms, the theory of stimulating the economy to indirectly create jobs. This article is in reference to Uncle Ben's latest quantitative easing.

Outsourcing Has Its Benefits - Money Landering, Stock Market Crashes and Failed Projects

bubble prickAh, we all know the claim offshore outsourcing is good for America. Seems offshore outsourcing is great for drug dealers and money launders too. Did you know offshore outsourcing enabled money laundering, flash crashes and failed projects?

The latest banking scandal of Standard Chartered laundering Iranian money is all over the news. But did you know Standard Chartered Bank offshore outsourced to India their entire compliance operations?

The DFS probe found that SCB had assured the New York state in May 2010 that it would take immediate steps to comply with the US Office of Foreign Assets Control (OFAC) sanctions. However, another regulatory examination in 2011 found continuing and significant Anti Money Laundering failures.

Among these, the bank was outsourcing its "entire OFAC compliance process for the New York branch to Chennai, India, with no evidence of any oversight or communication between the Chennai and the New York offices."