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(ICIJ)   FinCEN Files document $2 Trillion in illegal banking transactions with big banks   (icij.org) divider line
    More: Obvious, Money laundering, big banks, global banks, Standard Chartered Bank, Secret U.S. government documents, JPMorgan Chase, FinCEN Files, Bank of New York Mellon  
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1567 clicks; posted to Politics » and Business » on 20 Sep 2020 at 4:50 PM (4 weeks ago)   |   Favorite    |   share:  Share on Twitter share via Email Share on Facebook



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2020-09-20 1:34:23 PM  
 
2020-09-20 1:40:55 PM  
Whatever these banks made from breaking the law. The fine should be 10 times that.

And if it breaks them, fark em. Don't break the law

/if you'll let criminals move money, you'll let terrorists do it as well
 
2020-09-20 1:48:54 PM  

Gubbo: Whatever these banks made from breaking the law. The fine should be 10 times that.

And if it breaks them, fark em. Don't break the law

/if you'll let criminals move money, you'll let terrorists do it as well


DeutscheBank needs to be executed.
 
2020-09-20 1:58:38 PM  
Here's an idea, jail the people in the banks responsible for this and fine the bank the value of the laundered funds.  A punishment should be a deterrent, not a cost of doing business.

/"Punishable by fine" is shorthand for "legal for rich people"
 
2020-09-20 2:36:52 PM  
Reminds me of the curious notion that crime is an invented concept in that if one of us regular folks were to steal $1000 at from work, we'd be fired and facing jail time but if our boss steals $1000 from us it *might* be a small fine from the state's Attorney General.

Similarly, when the people who run things embezzle they do it because its incredibly unlikely to be any real consequences and the amounts of money we're talking about make it well worth their while.
 
2020-09-20 2:40:37 PM  

weddingsinger: Reminds me of the curious notion that crime is an invented concept in that if one of us regular folks were to steal $1000 at from work, we'd be fired and facing jail time but if our boss steals $1000 from us it *might* be a small fine from the state's Attorney General.

Similarly, when the people who run things embezzle they do it because its incredibly unlikely to be any real consequences and the amounts of money we're talking about make it well worth their while.


Wage theft seemingly is a crime that costs billions a year in the US.

With literally zero consequences.

/I don't have a report for that
//know I read something about in the last month or so
 
2020-09-20 2:49:00 PM  

Gubbo: weddingsinger: Reminds me of the curious notion that crime is an invented concept in that if one of us regular folks were to steal $1000 at from work, we'd be fired and facing jail time but if our boss steals $1000 from us it *might* be a small fine from the state's Attorney General.

Similarly, when the people who run things embezzle they do it because its incredibly unlikely to be any real consequences and the amounts of money we're talking about make it well worth their while.

Wage theft seemingly is a crime that costs billions a year in the US.

With literally zero consequences.

/I don't have a report for that
//know I read something about in the last month or so


The big problem with wage infractions is each individual is a small amount and unless you can create a big enough class action, few lawyers will take on the case.

/ I've done enough back pay contracts on this
 
2020-09-20 2:55:59 PM  

Another Government Employee: Gubbo: weddingsinger: Reminds me of the curious notion that crime is an invented concept in that if one of us regular folks were to steal $1000 at from work, we'd be fired and facing jail time but if our boss steals $1000 from us it *might* be a small fine from the state's Attorney General.

Similarly, when the people who run things embezzle they do it because its incredibly unlikely to be any real consequences and the amounts of money we're talking about make it well worth their while.

Wage theft seemingly is a crime that costs billions a year in the US.

With literally zero consequences.

/I don't have a report for that
//know I read something about in the last month or so

The big problem with wage infractions is each individual is a small amount and unless you can create a big enough class action, few lawyers will take on the case.

/ I've done enough back pay contracts on this


I know. One law for poor people. Another for the rich
 
2020-09-20 3:01:58 PM  
No direct Trump connection has been reported, but this is certainly a bad look for Trump and Barr (read down to the Ron Wyden part)

https://twitter.com/KlasfeldRe.../sta​t​us/1307729529235017728
Fark user imageView Full Size
 
2020-09-20 3:02:27 PM  

make me some tea: No direct Trump connection has been reported, but this is certainly a bad look for Trump and Barr (read down to the Ron Wyden part)

https://twitter.com/KlasfeldRe.../stat​us/1307729529235017728
[Fark user image 710x888]


and the photo
pbs.twimg.comView Full Size
 
2020-09-20 3:03:39 PM  
Fark user imageView Full Size
 
2020-09-20 3:07:25 PM  
ALL OF THIS

If the government wanted to, experts in financial crime say, it could stop the dirty money coursing through the big banks, as well as the vast array of criminal activity it funds.

One step would be to require companies to disclose their owners to the Treasury Department, rather than allowing people to hide behind a shell company. Lawmakers are debating a bipartisan bill that could address that for small companies. The National Federation of Independent Business has opposed it, saying it raises privacy issues and would increase costs. Sen. Sherrod Brown, who cosponsored the bill, told BuzzFeed News, "Congress must act soon because criminals have long been revising, adjusting, and amending their tactics to circumvent our laws."

Greater public accountability could also make a difference. HSBC has fought to keep secret the final report by the monitor that the government installed to watch over the bank during the years of its deferred prosecution agreement. It even took the unusual step of weighing in on a Freedom of Information Act lawsuit, when BuzzFeed News sued the Justice Department to release the report. The knowledge that negative reports could become public, and potentially damage share prices, could impel wayward banks to clean up their acts.


"The bankers will never learn until you start putting silver bracelets on people."

Others say the SARs themselves are part of the problem. German, the former FBI special agent, called the idea behind them "naive" because "the largest money laundering operations occur with the cooperation of the financial institutions, or at least some officers within those institutions. The lack of money laundering enforcement had nothing to do with a lack of evidence of suspicious transactions, but a lack of interest by political and law enforcement leadership.''

The most powerful way to fix the problem might be the simplest: Arrest the executives whose banks break the law. "The bankers will never learn until you start putting silver bracelets on people," Pelletier said. "Think of the message you're sending to repeat offenders."

"These guys know what they're doing,'' said Thomas Nollner, a former regulator with the Office of the Comptroller of the Currency. "You break the law, you should go to jail, period."

That approach was once the norm. "Back in the 1980s and 90s and even into the early 2000s, the government went after CEOs all the time," said US District Judge Jed Rakoff, who has been an outspoken critic of weak penalties for white-collar criminals. In the past, the CEOs of Enron, WorldCom, and Tyco were all sent to jail for what they did, he pointed out. "Now that's deterrence."

Rakoff went further: "Under US law, a bank that engages in money laundering can literally be forced out of business by the government, and it is kind of surprising that government hasn't taken that step, given the obvious deterrent effect it would have."
 
2020-09-20 3:13:17 PM  
So there is a couple of trillion dollars that should be siezed.  An extra couple of trillion in the general revenue funds will give President Biden the ablity to really address the trump depression.
 
2020-09-20 3:22:33 PM  

make me some tea: Buzzfeed article is good too
https://www.buzzfeednews.com/article/j​asonleopold/fincen-files-financial-sca​ndal-criminal-networks?ref=bfnsplash


They also have a podcast: https://www.buzzfeednews.com/article/​b​uzzfeednews/first-episode-fincen-files​-podcast
 
2020-09-20 3:25:35 PM  
The author of "Dark Towers" is digging into this

Fark user imageView Full Size
https://twitter.com/i/status/1307727​53​8693844994
 
2020-09-20 3:28:03 PM  
This does indeed look like an interesting book. Posted yesterday:

Fark user imageView Full Size
 
2020-09-20 3:31:28 PM  

Ivo Shandor: make me some tea: Buzzfeed article is good too
https://www.buzzfeednews.com/article/j​asonleopold/fincen-files-financial-sca​ndal-criminal-networks?ref=bfnsplash

They also have a podcast: https://www.buzzfeednews.com/article/b​uzzfeednews/first-episode-fincen-files​-podcast


Thanks. Listening now.
 
2020-09-20 3:32:26 PM  

make me some tea: The author of "Dark Towers" is digging into this

[Fark user image image 695x814]https://twitter.com/i/status/1​307727538693844994


tse1.mm.bing.netView Full Size
 
2020-09-20 3:35:38 PM  
FSM save the journalists and investigators, and their families.
 
2020-09-20 3:51:29 PM  
Oh my.

Front page of fincen.gov:

Fark user imageView Full Size
 
2020-09-20 4:08:01 PM  

make me some tea: Oh my.

Front page of fincen.gov:

[Fark user image image 850x291]


They seem concerned. Don't they seem concerned?
 
2020-09-20 4:32:05 PM  

OdradekRex: make me some tea: Oh my.

Front page of fincen.gov:

[Fark user image image 850x291]

They seem concerned. Don't they seem concerned?


Crimes happened. And that's bad.

But someone letting you know about the crimes is far worse
 
2020-09-20 4:35:14 PM  
October is gonna be lit!
 
2020-09-20 4:36:13 PM  

OdradekRex: make me some tea: Oh my.

Front page of fincen.gov:

[Fark user image image 850x291]

They seem concerned. Don't they seem concerned?


Definitely concerned.
 
2020-09-20 4:52:37 PM  
Of course, this kind of thing flies under the radar, while QAnon nonsense is plastered everywhere.
And now *I* sound like a conspiracy theorist.
 
2020-09-20 5:13:57 PM  

Another Government Employee: Gubbo: weddingsinger: Reminds me of the curious notion that crime is an invented concept in that if one of us regular folks were to steal $1000 at from work, we'd be fired and facing jail time but if our boss steals $1000 from us it *might* be a small fine from the state's Attorney General.

Similarly, when the people who run things embezzle they do it because its incredibly unlikely to be any real consequences and the amounts of money we're talking about make it well worth their while.

Wage theft seemingly is a crime that costs billions a year in the US.

With literally zero consequences.

/I don't have a report for that
//know I read something about in the last month or so

The big problem with wage infractions is each individual is a small amount and unless you can create a big enough class action, few lawyers will take on the case.

/ I've done enough back pay contracts on this


I have been/still am a member of two class action suits. I the first one, the company had to give some back pay, but not the value that they scammed. The lawyers dragged it out for years, and got $1000/hr for their time. The company never promised not to do it again. I wrote the judge about that, but never heard back.
So, as soon as the judge approved the settlement in 2013, what do you think the company did again? That second lawsuit is still going on. Suit filed in 2014, class won in 2017, appeals still ongoing.
 
2020-09-20 5:40:41 PM  

make me some tea: The author of "Dark Towers" is digging into this

[Fark user image 695x814]https://twitter.com/i/status/1​307727538693844994

The collection does not include any SARs about Trump's finances. (A source familiar with the matter told BuzzFeed News that FinCEN's database did not contain SARs on either Trump or the Trump Organization.)


Wow, I used to work for IBM, and in particular on the SAR form to be submitted to the FinCEN database (so I'm getting a kick, yadda, yadda).

IBM's solution was some half-assed ugly JavaScript webpage that missed important features from the official "fill-in-this-PDF" provided by the government.  I pointed it out to upper management and nobody cared.  I guess "nobody cares" is just kind of a SAR/FinCEN thing.
 
2020-09-20 5:43:28 PM  

Al Tsheimers: Another Government Employee: Gubbo: weddingsinger: Reminds me of the curious notion that crime is an invented concept in that if one of us regular folks were to steal $1000 at from work, we'd be fired and facing jail time but if our boss steals $1000 from us it *might* be a small fine from the state's Attorney General.

Similarly, when the people who run things embezzle they do it because its incredibly unlikely to be any real consequences and the amounts of money we're talking about make it well worth their while.

Wage theft seemingly is a crime that costs billions a year in the US.

With literally zero consequences.

/I don't have a report for that
//know I read something about in the last month or so

The big problem with wage infractions is each individual is a small amount and unless you can create a big enough class action, few lawyers will take on the case.

/ I've done enough back pay contracts on this

I have been/still am a member of two class action suits. I the first one, the company had to give some back pay, but not the value that they scammed. The lawyers dragged it out for years, and got $1000/hr for their time. The company never promised not to do it again. I wrote the judge about that, but never heard back.
So, as soon as the judge approved the settlement in 2013, what do you think the company did again? That second lawsuit is still going on. Suit filed in 2014, class won in 2017, appeals still ongoing.


Yep. I was party to one in the 1990s involving State Government for improperly freezing pay. My first son was born when I lost my legally entitled increase and my second was born two days after the settlement. My amount ended up to be about 1/3 what was actually due and I did not get another increase in pay for the next six years.

And they say working for the government is cushy.
 
2020-09-20 5:57:08 PM  

sirrerun: Of course, this kind of thing flies under the radar, while QAnon nonsense is plastered everywhere.
And now *I* sound like a conspiracy theorist.


That's pretty much the idea.
 
2020-09-20 6:24:09 PM  
Pffft. The US government printed and gave away twice that much in the last 5 months.
 
2020-09-20 6:32:18 PM  
 
2020-09-20 6:33:51 PM  
WOW.

In one SAR, BofA employees flew to London to audit DeutscheBank because they couldn't get enough info to verify transactions for their own due diligence, and DeutscheBank management booted them off the premises.

scontent.fsac1-1.fna.fbcdn.netView Full Size
 
2020-09-20 7:08:54 PM  
 
2020-09-20 7:14:43 PM  
 
2020-09-20 7:33:39 PM  
If you haven't seen it, watch the "Cartel Bank" episode of the Netflix Dirty Money series, excellent investigation of HSBC

https://www.imdb.com/title/tt7909188/​

For decades, HSBC, one of the world's largest banks, laundered hundreds of millions of dollars for Mexican drug cartels. Senator Elizabeth Warren, dogged journalists and prosecutors try to hold the bankers to account.

Fark user imageView Full Size
 
2020-09-20 8:30:50 PM  
what white collar crime problem?
 
2020-09-20 9:26:02 PM  

stuartp9: If you haven't seen it, watch the "Cartel Bank" episode of the Netflix Dirty Money series, excellent investigation of HSBC

https://www.imdb.com/title/tt7909188/

For decades, HSBC, one of the world's largest banks, laundered hundreds of millions of dollars for Mexican drug cartels. Senator Elizabeth Warren, dogged journalists and prosecutors try to hold the bankers to account.

[Fark user image image 850x466]


I got halfway through the first episode and had to turn it off or I would start breaking things. I'll check out that episode.
 
2020-09-20 9:28:06 PM  
I'm a big fan of confiscating the $2 Trillion and jailing the bank heads.
 
2020-09-20 10:17:57 PM  
When big companies break the law, they factor the fine into their projected, expected, profits. These business do not care. Its all about money.
 
2020-09-20 10:20:49 PM  
At least my institution had zero issues with OFAC in the last two years. I'm sure this will be on a call tomorrow and there will be lots of pats on the back (virtually).
 
2020-09-20 10:36:05 PM  
Hm, I wonder who runs FinCEN?

Wikipedia: Financial Crims Enforcement Network

Agency executive: Director, Ken Blanco. Who dat? I Googled him for a few minutes but didn't find much

...but wait...

Back to the FinCEN Wikipedia article:
"In February 2019, it was reported that Mary Daly, William Barr's oldest daughter, is to leave her position at the United States Deputy Attorney General's office for a FinCEN position.[18][19][20]"

Oh, how interesting.
 
2020-09-21 2:25:35 AM  
FINCEN is far more interested in hassling expats for having a few bucks in a non-US-based mutual fund or life insurance policy, and making it unnecessarily difficult for them to save for retirement, than it is in actually combatting any sort of money laundering or fraud.  If it weren't such upstanding global citizens as HSBC and BoNY-M in question I'd almost be tempted to root for the bad guys here.

/The US regards its citizens living abroad like a feudal lord would regard a serf who has dared to leave the manor
 
2020-09-21 8:58:54 AM  

make me some tea: ALL OF THIS

If the government wanted to, experts in financial crime say, it could stop the dirty money coursing through the big banks, as well as the vast array of criminal activity it funds.

One step would be to require companies to disclose their owners to the Treasury Department, rather than allowing people to hide behind a shell company. Lawmakers are debating a bipartisan bill that could address that for small companies. The National Federation of Independent Business has opposed it, saying it raises privacy issues and would increase costs. Sen. Sherrod Brown, who cosponsored the bill, told BuzzFeed News, "Congress must act soon because criminals have long been revising, adjusting, and amending their tactics to circumvent our laws."

Greater public accountability could also make a difference. HSBC has fought to keep secret the final report by the monitor that the government installed to watch over the bank during the years of its deferred prosecution agreement. It even took the unusual step of weighing in on a Freedom of Information Act lawsuit, when BuzzFeed News sued the Justice Department to release the report. The knowledge that negative reports could become public, and potentially damage share prices, could impel wayward banks to clean up their acts.

"The bankers will never learn until you start putting silver bracelets on people."

Others say the SARs themselves are part of the problem. German, the former FBI special agent, called the idea behind them "naive" because "the largest money laundering operations occur with the cooperation of the financial institutions, or at least some officers within those institutions. The lack of money laundering enforcement had nothing to do with a lack of evidence of suspicious transactions, but a lack of interest by political and law enforcement leadership.''

The most powerful way to fix the problem might be the simplest: Arrest the executives whose banks break the law. "The bankers will never learn until you start putting silver bracelets on people," Pelletier said. "Think of the message you're sending to repeat offenders."

"These guys know what they're doing,'' said Thomas Nollner, a former regulator with the Office of the Comptroller of the Currency. "You break the law, you should go to jail, period."

That approach was once the norm. "Back in the 1980s and 90s and even into the early 2000s, the government went after CEOs all the time," said US District Judge Jed Rakoff, who has been an outspoken critic of weak penalties for white-collar criminals. In the past, the CEOs of Enron, WorldCom, and Tyco were all sent to jail for what they did, he pointed out. "Now that's deterrence."

Rakoff went further: "Under US law, a bank that engages in money laundering can literally be forced out of business by the government, and it is kind of surprising that government hasn't taken that step, given the obvious deterrent effect it would have."


How is it deterrence when it clearly didn't deter that behavior?  It's like saying the death penalty is a deterrent.  It isn't.
 
2020-09-21 9:04:56 AM  

Gubbo: Whatever these banks made from breaking the law. The fine should be 10 times that.

And if it breaks them, fark em. Don't break the law

/if you'll let criminals move money, you'll let terrorists do it as well


In case you missed it, HSBC was caught laundering money for the Mexican drug cartels.  Billions of dollars.  The US government promptly signed a "structured settlement" for a few million dollars and not one executive was even accused of a crime.  It's a good thing they have so many white male employees in their US branch.
Also, the US government signed an "agreement of non-prosecution" with Jeffrey Epstein which allowed him to continue to rape children.
So yes, Bill Barr is a lying sack of shiat, and the two systems of justice are absolutely real.
If you have money, there probably isn't a better place right now than the US.  Buy a Kushner Kondo, get citizenship, and do whatever you want.
 
2020-09-21 9:14:24 AM  

Northern: Gubbo: Whatever these banks made from breaking the law. The fine should be 10 times that.

And if it breaks them, fark em. Don't break the law

/if you'll let criminals move money, you'll let terrorists do it as well

In case you missed it, HSBC was caught laundering money for the Mexican drug cartels.  Billions of dollars.  The US government promptly signed a "structured settlement" for a few million dollars and not one executive was even accused of a crime.  It's a good thing they have so many white male employees in their US branch.
Also, the US government signed an "agreement of non-prosecution" with Jeffrey Epstein which allowed him to continue to rape children.
So yes, Bill Barr is a lying sack of shiat, and the two systems of justice are absolutely real.
If you have money, there probably isn't a better place right now than the US.  Buy a Kushner Kondo, get citizenship, and do whatever you want.


Laundering money? They handed out the exact dimensions of the space under the window in the banks so the cartel could more easily lodge money

Of course. HSBC was founded to chase that drug money
 
2020-09-21 10:40:33 AM  

enry: How is it deterrence when it clearly didn't deter that behavior?  It's like saying the death penalty is a deterrent.  It isn't.


When they know there will be little action taken, the deterrent effect gets diluted by corporate management toward "It's ok, keep doing those illegal things that are raking in cash until someone stops us and we'll fight it for years and maybe get a fine later but still turn a profit next quarter".
 
2020-09-21 4:36:32 PM  
Meanwhile, innocent people have cash and property stolen from them thanks to the War on Drugs.
 
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