Transactions with connections to a trade-based money laundering (TBML) scheme have been revealed in an investigation by the US treasury department’s Financial  Crimes Enforcement Network (FinCEN) that has resulted in a US$1.5 million civil money penalty on South Dakota-chartered Kingdom Trust Company for wilful violations of the Bank Secrecy Act (BSA).

This is FinCEN’s first enforcement action against a trust company. Kingdom Trust is considered by the network as a trust company organised under the laws of the state of South Dakota and therefore a ‘bank’, as defined by the BSA.

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