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May 31, 2013

Digital currency firms rush to adopt anti-money laundering rules

LOUIS (Reuters) – These are unsettling times for digital currency businesses and the venture capitalists backing them.

On Tuesday, authorities in Spain, Costa Rica and New York arrested five people at the digital currency firm Liberty Reserve, including its founder Arthur Budovsky, and seized related bank accounts and Internet domains.

May 29, 2013

U.S. accuses currency exchange of laundering $6 billion

NEW YORK (Reuters) – U.S. prosecutors have filed an indictment against the operators of digital currency exchange Liberty Reserve, accusing the Costa Rica-based company of helping criminals around the world launder more than $6 billion in illicit funds linked to everything from child pornography to software for hacking into banks.

The indictment unsealed on Tuesday said Liberty Reserve had more than a million users worldwide, including at least 200,000 in the United States, and virtually all of its business was related to suspected criminal activity.

May 28, 2013

U.S. shuts digital money system it suspects of cyber-criminal links

NEW YORK/ST LOUIS, May 28 (Reuters) – U.S. authorities
revealed on Tuesday they have shut down a Costa Rica-based money
transfer company that they said provided a digital currency
system widely used around the world by cyber-criminals.

In a statement, officials said authorities in Spain, Costa
Rica and New York arrested five people on Friday and seized bank
accounts and Internet domains associated with the company,
Liberty Reserve.

May 28, 2013

U.S. shuts alleged cyber-criminal money transfer system

NEW YORK (Reuters) – U.S. authorities said on Tuesday they have shut down a Costa Rica-based money transfer company that allegedly provided a digital currency widely used around the world by cyber-criminals.

In a statement, officials said authorities in Spain, Costa Rica and New York arrested five people on Friday and seized bank accounts and Internet domains associated with the company, Liberty Reserve.

May 23, 2013

SAC lawyers met with prosecutors to argue against charges: sources

NEW YORK (Reuters) – Lawyers for SAC Capital Advisors called a meeting with U.S. prosecutors and FBI agents in April to argue that there should be no insider trading charges filed against the $15 billion hedge fund or its founder, Steven A. Cohen, according to sources familiar with the matter.

Lawyers for the firm made an “aggressive presentation,” according to the sources, reviewing the government’s investigation in detail to support their claim that the government did not have enough evidence to charge Cohen.

May 22, 2013

U.S. prosecutors consider using racketeering law against SAC – source

NEW YORK (Reuters) – U.S. prosecutors are considering charging Steven A. Cohen’s SAC Capital Advisors as a criminal enterprise engaged in a long pattern of insider trading in stocks, according to a person familiar with the matter.

Prosecutors may use the Racketeer Influenced and Corrupt Organizations Act, most commonly associated with prosecutions against the mafia, to move against Cohen’s $15 billion (9.9 billion pounds) hedge fund company, said the person, who spoke on condition of anonymity.

May 21, 2013

Prosecutors consider using racketeering law against SAC: source

NEW YORK (Reuters) – Prosecutors are considering charging Steven A. Cohen’s SAC Capital Advisors as a criminal enterprise engaged in a long pattern of insider trading in stocks, according to a person familiar with the matter.

Prosecutors may use the Racketeer Influenced and Corrupt Organizations Act, most commonly associated with prosecutions against the mafia, to move against Cohen’s $15 billion hedge fund company, said the person, who spoke on condition of anonymity.

May 17, 2013

SAC Capital won’t fully cooperate with government: letter

NEW YORK (Reuters) – Steven A. Cohen’s hedge fund SAC Capital Advisors told investors on Friday it would no longer cooperate “unconditionally” with the U.S. government’s insider trading investigation.

In a brief letter to investors, the $15 billion hedge fund did not elaborate but said it believes the next few months will be critical in the investigation.

May 17, 2013

SAC Capital won’t fully cooperate with govt -letter

NEW YORK, May 17 (Reuters) – Steven A. Cohen’s hedge fund
SAC Capital Advisors told investors on Friday it would no longer
cooperate “unconditionally” with the U.S. government’s insider
trading investigation.

In a brief letter to investors, the $15 billion hedge fund
did not elaborate but said it believes the next few months will
be critical in the investigation.

May 17, 2013

Fed tells Bank of Montreal to fight money laundering harder

NEW YORK (Reuters) – The U.S. Federal Reserve Board said it has told Bank of Montreal to step up efforts to detect and prevent money laundering at the Canadian bank’s Chicago branch.

The warning puts Bank of Montreal in a growing category of financial institutions under pressure to do a better job of adhering to strict U.S. requirements for identifying potentially illegal activity by their customers.

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      "Based in New York covering financial crimes, including insider trading, investment scams, accounting fraud and financial firm misconduct."
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