Barb Heikoff’s Post

Treasury Sanctions Cartel Accountants on Timeshare Fraud in #Mexico The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned three Mexican accountants and four Mexican companies linked, directly or indirectly, to timeshare fraud led by the Cartel de Jalisco Nueva Generacion (CJNG). Concurrently, the Financial Crimes Enforcement Network (FinCEN) issued a Notice, jointly with OFAC and FBI, to financial institutions that provides an overview of timeshare fraud schemes in Mexico associated with CJNG and other Mexico-based transnational criminal organizations. “Cartel fraudsters run sophisticated teams of professionals who seem perfectly normal on paper or on the phone – but in reality, they’re money launderers expertly trained in scamming U.S. citizens,” said Under Secretary for Terrorism and Financial Intelligence Brian E. Nelson. “Unsolicited calls and emails may seem legitimate, but they're actually made by cartel-supported criminals. If something seems too good to be true, it probably is. Treasury and our partners are deploying all tools available to disrupt this nefarious activity, which funds things like deadly drug trafficking and human smuggling, and we encourage the public to use our resources to stay vigilant against these threats.” https://lnkd.in/gN_iGeKf

Treasury today continued to target Cartel de Jalisco Nueva Generacion (CJNG) timeshare fraud, designating three individuals and four entities as part of a network that supports the drug cartel's illicit financial activities. According to OFAC, CJNG and other cartels operate scam call centers in Mexico, with scammers impersonating US-based timeshare brokers, attorneys, or other representatives. They defraud owners of timeshares in Mexico through complex and often lengthy telemarketing, impersonation, and advance fee schemes. Then they re-victimize these same people by impersonating US-based law firms and international law enforcement authorities. Treasury since March 2023 has designated over more than 40 Mexican companies linked, directly or indirectly, to CJNG timeshare fraud. Most of these companies are based in the tourist city of Puerto Vallarta—a strategic stronghold for CJNG—and many of the entities have received direct payments from US timeshare fraud victims, according to OFAC. FinCEN, OFAC, and FBI today also issued a Joint Notice to help financial institutions identify and report suspicious activity potentially associated with timeshare fraud in Mexico. Follow the Institute for Financial Integrity for up-to-date insights about regulatory developments in the #financialintegrity space! https://lnkd.in/eRb3T5rH

InSight Crime - CJNG’s Fuel Theft Empire in the Crosshairs of US Treasury Sanctions (16 September 2024) The US Department of the Treasury has sanctioned 26 Mexican companies involved in fuel theft linked to the finances of major organized crime groups, such as the Jalisco Cartel New Generation (CJNG). This network has generated "tens of millions of dollars" in profits for the CJNG, fueling the cartel’s drug trafficking operations in the United States. The stolen fuel was stored near Veracruz and sold through a network of gas stations run by family members and associates. Despite the sanctions, purchasing stolen fuel remains common in Mexico due to its availability at lower prices. #Mexico #OrganizedCrime #MexicanCartels #CriminalEconomy #FuelTheft #Sanctions #USDeptOfTreasury #OFAC #JaliscoCartel #DrugTrafficking #ElMencho https://lnkd.in/gHGnYSFt

Today in World Money Laundering Report: why are FinCEN and the State Department's Diplomatic Security Service warning about "passport cards"? Will it start a cascade of concern around the world where simplified travel documents are common in border areas? https://lnkd.in/gp4ndxBF #cdd #kyc #counterfeit #borders #morriscotterill #financialcrimeriskandcompliance #usa #FinCEN #passport

DoJ Indicts 5 Individuals for $866K North Korean IT Worker Scheme Violations The U.S. Department of Justice (DoJ) on Thursday indicted two North Korean nationals, a Mexican national, and two of its own citizens for their alleged involvement in the ongoing fraudulent information technology (IT) worker scheme that seeks to generate revenue for the Democratic People's Republic of Korea (DPRK) in violation of international sanctions. The action targets Jin Sung-Il (진성일), Pak Jin-Song (박진성), Pedro Ernesto Alonso De Los Reyes, Erick Ntekereze Prince, and Emanuel Ashtor. Alonso, who resides in Sweden, was arrested in the Netherlands on January 10, 2025, after a warrant was issued. All five defendants have been charged with conspiracy to cause damage to a protected computer, conspiracy to commit wire fraud and mail fraud, conspiracy to commit money laundering, and conspiracy to transfer false identification documents. Jin and Pak have also been charged with conspiracy to violate the International Emergency Economic Powers Act. If convicted, each of them faces a maximum penalty of 20 years in prison. Stay Connected to Sidharth Sharma, CPA, CISA, CISM, CFE, CDPSE for content related to Cyber Security. #CyberSecurity #JPMC #Technology #InfoSec #DataProtection #DataPrivacy #ThreatIntelligence #CyberThreats #NetworkSecurity #CyberDefense #SecurityAwareness #ITSecurity #SecuritySolutions #CyberResilience #DigitalSecurity #SecurityBestPractices #CyberRisk #SecurityOperations 

Here’s a summary of the 22 predicate offenses identified in 6AMLD: Terrorism – Acts related to terrorism, including financing terrorism.  Drug trafficking – The illegal trade in narcotics and controlled substances.  Arms trafficking – The illicit trade of weapons and arms.  Organized crime – Criminal activities conducted by organized groups, often involving various illegal enterprises.  Kidnapping – The unlawful abduction of individuals, often for ransom or extortion.  Extortion – The illegal use of force, threats, or coercion to obtain money, property, or services.  Counterfeiting currency – The illegal production and distribution of fake money.  Counterfeiting and piracy of products – The unlawful imitation or copying of branded products, often leading to economic harm.  Environmental crimes – Illegal activities that harm the environment, such as illegal logging or pollution.  Tax crimes – The evasion of tax payments or the illegal manipulation of financial records.  Fraud – Deceptive practices intended to secure financial gain or avoid loss, such as identity theft or insurance fraud.  Corruption – The abuse of power or position for personal gain, typically in public or corporate sectors.  Insider trading and market manipulation – Unlawful practices related to financial markets, such as trading based on non-public information.  Bribery – Offering or accepting bribes to influence actions or decisions.  Cybercrime – Illegal activities conducted via the internet or other digital platforms, including hacking, online fraud, or identity theft.  Copyright infringement – The illegal use or reproduction of copyrighted works without authorization.  Theft and robbery – Stealing property or money through various illegal means.  Human trafficking and migrant smuggling – The illegal trade of human beings for exploitation, often involving forced labor or sexual exploitation.  Sexual exploitation, including of children – Crimes involving the exploitation of individuals for sexual purposes, including child exploitation.  Illicit trafficking in cultural goods – The illegal trade of cultural artifacts, including art, antiquities, and historical objects.  Illicit trafficking in hormonal substances and other growth promoters – The illegal production and distribution of substances for growth promotion, often used in agriculture and livestock.  Illicit arms trafficking – The illegal trade and distribution of weapons, often involving criminal groups or conflicts.   These offenses are important in the context of financial crimes because the proceeds from these illegal activities are often funneled through various financial systems to obscure their criminal origin, making them a focus of anti-money laundering measures.       #Learningplussharingequalsenhancingknowledge #AML #Financialcrimecompliance #FATF #22offensesinML #internship #globalcomplaince

BIGGEST #EU #VAT #FRAUD #BUSTED!!! 🫢 👉 "Based on findings from the #Admiral investigation, the #EPPO uncovered another #criminal syndicate suspected of a complex #VAT #fraud scheme involving the trade of popular electronic goods and creating an estimated VAT loss of €297 million. [...] The EPPO suspects over 400 #companies to be part of this complex fraudulent scheme, which is also believed to have been used for #laundering proceeds stemming from #drug trafficking, different types of #cybercrime, and #investment fraud. The investigation uncovered a possible #Russian organised crime footprint, indicating that certain Russian criminal networks may have been involved with this syndicate. [...] During today’s transnational action led by the EPPO, more than 350 searches and investigative measures were carried out in 16 countries (#Austria, #Belgium, #Bulgaria, #Cyprus, #Czechia, #Estonia, #France, #Germany, #Italy, #Latvia, #Lithuania, #Luxembourg, #Poland, the #Netherlands, #Slovakia, #Spain) and 32 people were detained in Estonia, Latvia and Lithuania, out of which three remain under arrest. [...] During the searches, law enforcement seized vast quantities of documents and digital evidence, small electronic devices (e.g. mobile #phones, #tablets, #headphones) worth more than €47.5 million, several luxury #cars, and €126 965 in #cash. In addition, 62 bank #accounts were frozen with a value of over € 5.5 million. These are preliminary results and they will evolve throughout the coming days and weeks." Source; EPPO and EUROPOL Warm round of applause 👏 for European Public Prosecutor's Office (EPPO), Europol and all other representatives of the local #police, local #customs and local #prosecutors! 👏 👍 🕵♀️   #VATFraud #KYCCompliance #CDDInsights #AMLAwareness #FraudPrevention #FinancialCrime #TaxEvasion #ComplianceMatters #RiskManagement #RegTech #AMLInsights #DueDiligence #CorporateTransparency #FightFinancialCrime #FEC #KYC #CDD #TransactionMonitoring

Does your financial institution accept US passport cards as a form of identification? If the answer is YES, you should distribute this FinCEN Notice to ALL frontline personnel - it contains excellent instructions on how to properly scrutinize this form of ID. #aml #fraud #identitytheft #counterfeit