Anti-Money Laundering

LEADERS

Overview

Lawyers at Gibson, Dunn & Crutcher are recognized as leading experts in providing advice to financial institutions and other businesses on issues related to compliance with anti-money laundering and economic sanctions laws and regulations and the development of global and risk-based anti-money laundering compliance programs.

The Anti-Money Laundering practice provides legal and regulatory advice to all types of financial institutions and nonfinancial businesses with respect to compliance with federal and state anti-money laundering laws and regulations, including the U.S. Bank Secrecy Act as amended by the USA PATRIOT Act.  We represent clients in criminal and regulatory government investigations.

We have developed extensive knowledge and broad anti-money laundering experience.  The group’s members have experience as government lawyers with the Department of the Treasury, the U.S. Department of Justice (DOJ), the U.S. Securities and Exchange Commission (SEC), and the U.S. Attorneys’ Offices, as well as private practitioners.

Our practice includes advising U.S. and global banks, securities broker-dealers, mutual funds, investment advisors, private equity funds, insurance companies, money services businesses, financial technology companies, casinos, other financial services businesses, and multinationals on how to comply with Bank Secrecy Act and anti-money laundering laws and regulations.  We assist financial institutions and businesses in developing, enhancing and implementing  enterprise-wide anti-money laundering compliance programs, including customer due diligence and enhanced due diligence, suspicious activity identification and reporting, and currency transaction reporting policies, procedures and internal controls.

We regularly provide legal and regulatory advice with respect to the development, implementation and enhancement of risk-based enterprise-wide anti-money laundering compliance programs, including drafting Customer Identification Program (CIP), Customer Due Diligence (CDD), and Enhanced Due Diligence (EDD) policies and procedures, and policies, procedures and internal controls that are reasonably designed to ensure compliance with suspicious activity and currency transaction reporting requirements; wire transfer and other recordkeeping requirements; and economic sanctions laws and regulations administered and enforced by the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC).  In matters involving anti-money laundering and sanctions, we work closely with partners in our International Trade Practice Group’s Economic and Trade Sanctions team.

When Bank Secrecy Act, anti-money laundering and OFAC issues arise in the course of a regulatory examination, we help financial institutions respond to the regulators and address their criticisms.  We also advise clients in connection with regulatory enforcement actions before the federal bank regulators, state regulatory authorities, including the New York State Department of Financial Services (DFS), the Treasury Department’s Financial Crimes Enforcement Network (FinCEN), the IRS, the SEC, the Financial Industry Regulatory Authority (FINRA), and the Nevada Gaming Commission, including assisting financial institutions in taking remedial actions.

We represent clients in connection with federal and state criminal money laundering and Bank Secrecy Act investigations and prosecutions, including those involving the DOJ, the U.S. Attorneys’ Offices, and the New York County District Attorney’s Office.  The group also conducts internal investigations involving money laundering and Bank Secrecy Act violations for a wide range of clients in the financial services industry and companies with multinational operations.

In connection with mergers, acquisitions and underwritings, we conduct due diligence reviews for compliance with U.S. and applicable local anti-money laundering, OFAC and other economic sanctions laws and regulations, the U.S. Foreign Corrupt Practices Act (FCPA), and non-U.S. anti-bribery laws.

We provide training on all aspects of anti-money laundering and Bank Secrecy Act laws, regulations and requirements, procedures, and current schemes and trends.

Experience

Recent representations include:

  • Represented national banks in connection with investigations regarding U.S. Bank Secrecy Act/anti-money laundering and OFAC compliance programs, as well as other potential regulatory and criminal issues, involving the banking regulators, DOJ, and OFAC.
  • Represented foreign banks and Boards of Directors in connection with regulatory actions by the Federal Reserve Board and New York Department of Financial Services.
  • Represented non-bank financial institutions in connection with Department of Justice criminal investigations and FinCEN regulatory investigations.
  • Represented individuals in connection with Department of Justice criminal investigations.
  • Represented broker-dealer in connection with regulatory investigation by the Financial Industry Regulatory Authority (FINRA).
  • Conducted internal investigations for financial institutions and multinational companies involving potential money laundering allegations.
  • Represented clients in criminal and civil asset forfeiture matters.
  • Represented a UK bank group and its U.S. operations in connection with an enforcement action by the Federal Reserve Board, DFS, and other state banking regulators relating to deficiencies in the UK group’s consolidated U.S. Bank Secrecy Act/anti-money laundering and OFAC compliance programs, including correspondent banking and other CDD and suspicious activity reporting procedures, and Board and management oversight of the U.S. operations, and to assist the U.S. operations in enhancing their Bank Secrecy Act/anti-money laundering and OFAC programs.  We also assisted in conducting a U.S. CDD remediation project.
  • Represented an Edge corporation in connection with a written agreement entered into with the Federal Reserve Bank of New York arising out of deficiencies in the bank’s Bank Secrecy Act program related to its foreign correspondent banking business, including with its EDD program and suspicious activity reporting procedures and monitoring systems, and assisted the bank in enhancing its CDD and suspicious activity monitoring and reporting policies and procedures.
  • Represented an Asian bank in connection with regulatory actions by the Federal Reserve Board and DFS.
  • Represented a U.S. bank in connection with a deferred prosecution agreement with the DOJ and enforcement actions by FinCEN and the Office of the Comptroller of the Currency (OCC) that involved the failure to maintain effective anti-money laundering and CDD programs, including with respect to Mexican casas de cambio, and to identify and file timely Suspicious Activity Reports (SARs).  We also assisted the bank in enhancing its Bank Secrecy Act/anti-money laundering policies, procedures, and internal controls bankwide and in conducting a historical transaction review (“SAR lookback”).
  • Represented a U.S. bank in connection with a formal investigation and a consent cease and desist order entered into with OCC and a subsequent civil money penalty arising out of deficiencies in the bank’s Bank Secrecy Act program, including with its correspondent banking CDD and suspicious activity reporting procedures, and in conducting a SAR lookback.
  • Represented a small U.S. bank in connection with a civil money penalty assessed by the OCC and in responding to examination criticisms related to deficiencies in its Bank Secrecy Act/anti-money laundering program.
  • Represented a leading global bank in connection with a DOJ grand jury, SEC investigation, and Swiss Attorney General investigation relating to money laundering issues.
  • Represented U.S. broker-dealers in connection with enforcement actions by DOJ, SEC and FINRA.
  • Represented a global money transmitter in connection with the assessment of civil money penalties by FinCEN and the New York State Banking Department related to deficiencies in SAR and CTR reporting.
  • Represented a large traveler’s check issuer in connection with the assessment by FinCEN of a civil money penalty for the late filing of SARs and in enhancing its Bank Secrecy Act/anti-money laundering program.
  • Conducted an internal investigation and implemented a compliance program for a major accounting firm regarding alleged money laundering by the client’s foreign subsidiary.

RECENT PUBLICATIONS

MOFCOM Clears Semiconductor Merger with a Two-Year “Hold-Separate” Condition

-December 8, 2017

2016 Mid-Year E-Discovery Update

-April 6, 2017

Webcast: Challenges in Compliance and Corporate Governance

-January 25, 2017

2016 Year-End United Kingdom White Collar Crime Update

-January 11, 2017

The Comptroller’s Special Purpose Charter Proposal for Fintech: A Way Forward?

-December 16, 2016

FinCEN Expands Temporary Reporting Requirements on Title Insurance Companies for All Cash Luxury Real Estate Transactions to Six Major U.S. Areas

-August 1, 2016

2016 Mid-Year Securities Enforcement Update

-July 13, 2016

Beneficial Ownership and Customer Due Diligence:  Perspectives on the Increased Compliance Risk Associated with the Implementation of FinCEN’s Final Rule

-July 6, 2016

Proposed Anti-Money Laundering Rules Focus on Investment Advisers

-April 5, 2016

Do Not Pass Go, Do Not Collect $200: FinCEN Imposes Temporary Reporting Requirements on Title Insurance Companies for All Cash Luxury Real Estate Transactions in Manhattan and Miami

-February 11, 2016

2015 Year-End United Kingdom White Collar Crime Update

-February 1, 2016

2015 Year-End FCPA Update

-January 4, 2016

Personal Liability for Senior Compliance Officers Under New York’s Proposed Anti-Money Laundering and Anti-Terrorism Regulation

-December 7, 2015

FinCEN Proposes Regulations That Would Require AML Programs and Suspicious Activity Reporting for SEC Registered Investment Advisers

-September 1, 2015

Through the Looking Glass: The Disclosure of Ultimate Ownership and the G8 Action Plan

-June 20, 2013

The Consumer Financial Protection Bureau: Its Foundation, Authorities, and First Year of Enforcement

-June 5, 2013

Department of the Treasury Issues Bank Secrecy Act Advance Notice of Proposed Rulemaking Relating to Customer Due Diligence Requirements for Financial Institutions

-April 11, 2012

FinCEN Issues Final Rule Implementing New CISADA Regulations to Require U.S. Banks to Seek Information from Foreign Correspondent Banks Regarding Financial Ties to Iran

-November 1, 2011

U.S. SEC Extends the Customer Identification Program No-Action Letter for Broker-Dealers and Changes the Terms

-February 17, 2011

U.S. Financial Crimes Enforcement Network Issues Guidance Regarding Recent Events in Tunisia

-January 26, 2011

FinCEN Proposes Reporting of Cross-Border Electronic Transmittals of Funds

-October 12, 2010

Iran Sanctions Legislation: New Controls and Penalties for U.S. Financial Institutions

-July 28, 2010

IRS Further Extends FBAR Filing Deadline to June 30, 2010 for Certain U.S. Persons

-August 7, 2009

IRS Confirms That Investors in Foreign Hedge Funds and Private Equity Funds Must File Reports of Foreign Financial Accounts; Filing Deadline Extended to 9/23/09 for Certain Taxpayers

-June 29, 2009

Congressional Investigation, Bill Focus on Offshore Tax Havens

-March 6, 2009

Senators Grassley and Levin Introduce Hedge Fund Transparency Act

-January 30, 2009

Joint Justice Department and Manhattan District Attorney Investigation Results in Record $350 Million Payment for OFAC Violations

-January 20, 2009

New Bank Secrecy Act/Anti-Money Laundering Examination Manual for Money Services Businesses

-December 23, 2008

OFAC Issues Guidance to the Securities and Futures Industry

-December 9, 2008

Casinos Continue to Be Vulnerable to Money Laundering

-October 3, 2008

Internet Gambling Rules Would Enlist Banks to Fight Uphill Battle

-December 17, 2007

Treasury Issues New Bank Secrecy Act Guidance for Casinos and Card Clubs

-November 26, 2007

U.S. Treasury Department Formally Severs Ties Between U.S. Financial Institutions and Banco Delta Asia

-March 15, 2007

2006 Bank Secrecy Act/Anti-Money Laundering Examination Manual Clarifies Elements of Effective OFAC Compliance Program for ACH Transactions

-September 11, 2006

New Bank Secrecy Act/Anti-Money Laundering Manual Identifies Elements of Effective OFAC Compliance Program

-July 12, 2005