FinCEN Files Leak: Major Banks Were Involved In Money Laundering And Assisting Those Involved In Criminal Activity And Terrorism

Leaked documents have revealed the inner workings and shady dealings of the international banking system disclosing criminality and malpractice on a massive scale.

FinCEN is the US Financial Crimes Investigation Network and is employed by the US Treasury to investigate nefarious or suspicious activity within the international and domestic financial sector. When suspicious activity arises in the banking system, they take note of this and investigate. With the leaking of the files into the public domain, it has been shown how major banking groups allowed money related to crime and terrorism to be passed around the world. The documents cover over $2 trillion in transactions and cover a period from 2000 to 2017.

The activities of the banks are truly shocking. They include the fact that HSBC allowed fraudsters to transfer millions across the globe, despite HSBC knowing the money was related to fraud. Ferthermore, an ally of President Putin used Barclays bank to hide more than $1 billion, despite the individual being subject to sanctions. Deutsche Bank moved money related to organised crime and terrorism for money laundering purposes. JP Morgan allowed $1 billion to pass through accounts despite having no idea who owned it, only to later realise that it was owned by an (unnamed) individual who was on the FBI's 10 most wanted list. Other banks were seen to be helping Iran evade sanctions and move money for other banks that were known to be involved in the financing of terrorism.

The United Kingdom had more companies named in the documents than any other country and is regarded by the US Treasury as a "higher risk jurisdiction". The $2 trillion referenced in the documents is thought to be only a small fraction of the entire amount of money deemed to be of interest to the US authorities.

This is hardly the first time a leak of banking documents highlighted the financial shadow world. In 2016 and 2017, papers related to offshore accounts pointed to a huge number of individuals and organisations who were using the banks to halt tax payments. These included the father of then British Prime Minister David Cameron. In 2015 it was also shown that Swiss Banks were using the nation's banking secrecy laws to help clients evade tax in their own countries.

The new revelations are likely to put the spotlight not only on the banks themselves but on the organisations and figures who are subject to US Treasury surveillance. This could, in turn, harm international relations and diplomatic ties.