Treasury: Russia war bolsters need to combat illicit finance
Associated Press
5/13/2022
© Provided by Associated Press
Russian President Vladimir Putin chairs a meeting of the Board of Trustees of the Talent and Success Educational Foundation via videoconference at the Sirius Educational Center for Gifted Children in Sochi, Russia, Wednesday, May 11, 2022. (Mikhail Metzel, Sputnik, Kremlin Pool Photo via AP)
WASHINGTON (AP) — The Treasury Department laid out recommendations Friday for tightening laws to guard against money laundering and illicit threats to the U.S. financial system, citing the conduct of Russians backing the invasion of Ukraine as evidence of how loopholes are being exploited.
Treasury’s 32-page strategy document outlines recommendations to close loopholes in anti-money laundering laws, combat the use of real estate for money laundering schemes and enhance information-sharing between the government and private sector financial firms.
“Illicit finance is a major national security threat and nowhere is that more apparent than in Russia’s war against Ukraine, supported by decades of corruption by Russian elites,” said Elizabeth Rosenberg, Treasury’s assistant secretary for terrorist financing.
Sanctioned individuals and entities can remove identifying information from, or simply hide, their bank accounts, the department said. They can also use cryptocurrency to a limited degree or hide behind shell companies to evade financial sanctions.
Video: Goldman's Solomon warns of meaningful consequences to global markets amid Russia-Ukraine war (CNBC)
-
Veteran technical analyst Larry Williams sees a bottom in the making, Jim Cramer says
CNBC -
Jim Cramer says he likes these three smaller plays in battered retail sector
CNBC -
Dominion Energy is looking at opportunities to build advanced small modular reactors in U.S, CEO says
CNBC -
Cramer's week ahead; Stocks can't stage 'meaningful' comeback until major obstacles are resolved
CNBC -
Final Trades: HYG, CVS, WMT & PYPL
CNBC -
CNBC TechCheck Evening Edition: May 20, 2022
CNBC -
Where stocks are headed after locking in another losing week
CNBC -
CNBC Markets Now: May 20, 2022
CNBC -
Post-Market Wrap: May 20, 2022
CNBC -
The Week Ahead: Home sales numbers coming this week
CNBC -
The Week That Was: Inflation hits retail giants
CNBC -
We see countertrend rallies, but there's a lot of overhead resistance, says NewEdge's Dawson
CNBC -
I'm not expecting a pullback and prices will likely stabilize next week, says Fundstrat's Mark Newton
CNBC -
Apple is a compelling name to ride out the market storm, says Wedbush Securities' Dan Ives
CNBC -
Jay Powell has to step up to stop price increases, says Jim Cramer
CNBC -
I think Apple can go up over the next five years, says Jim Cramer
CNBC
-
Veteran technical analyst Larry Williams sees a bottom in the making, Jim Cramer says CNBC's Jim Cramer explained legendary market technician Larry Williams' chart analysis to show why the market might be approaching a bottom in Friday's episode of "Mad Money."
CNBC
-
Jim Cramer says he likes these three smaller plays in battered retail sector The "Mad Money" host highlighted three retail stocks that investors should consider buying in Friday's episode of the show.
-
Dominion Energy is looking at opportunities to build advanced small modular reactors in U.S, CEO says CNBC's Jim Cramer spoke with Dominion Energy CEO Bob Blue on Thursday's episode of "Mad Money."
“We need to close loopholes, work efficiently with international partners, and leverage new technologies to tackle the risks posed by corruption, an increase in domestic violent extremism and the abuse of virtual assets," Rosenberg said.
Every two years, Treasury releases a report with recommendations on how to close gaps that could facilitate terrorist and illicit finance. Russia's invasion of Ukraine “demonstrates that those seeking to undermine global security and stability are exploiting these same gaps,” the report stated.
© Provided by Associated Press
Treasury Secretary Janet Yellen testifies during a House Committee on Financial Services hearing on the Annual Report of the Financial Stability Oversight Council, Thursday, May 12, 2022 on Capitol Hill in Washington. (Saul Loeb/Pool photo via AP)
The department pointed to the number of sanctions imposed on people and entities due to the war and the potential for sanctioned individuals to evade sanctions. Earlier this month, Treasury barred individuals in the U.S. from providing accounting, legal and consulting services to anyone located in Russia.
The U.S. has worked closely with allied governments in Europe, Asia and elsewhere to impose thousands of sanctions on Russian elites, oligarchs and banks.
Earlier this year, Treasury, the Justice Department and other agencies convened a task force known as REPO — short for Russian Elites, Proxies and Oligarchs — to work with other countries to investigate and prosecute oligarchs and individuals allied with Russian President Vladimir Putin.
