ChainCatcher reported that according to The Block, the Financial Crimes Enforcement Network (FinCEN) accused banking giant TD Bank of failing to report suspicious activities of an unnamed customer group when conducting international cryptocurrency transactions.
FinCEN alleges that TD Bank processed more than 2,000 transactions over a nine-month period for a company called “Client Group C,” which was identified as “purportedly engaged in the sales of financial and real estate industries.” Client Group C lied to TD Bank about its planned international wire transfer activity, stating that annual sales would not exceed $1 million. In fact, Client Group C allegedly conducted more than $1 billion in transactions through TD Bank. Additionally, 90% of Client Group C’s funds came from a U.K. cryptocurrency exchange, and 60% went to financial institutions in Colombia that provided digital asset-related services. Client Group C did not list Colombia as one of the jurisdictions it was dealing with when it worked with TD Bank, and continued to work with “high-risk industries and companies” in regions such as the Middle East.
Earlier news, TD Bank became the first bank in the United States to admit conspiracy to money laundering and was fined $3 billion.