Lebanese Canadian Bank laundered money for Hezbollah, says US in lawsuit
Source: BI-ME with Bloomberg , Author: Posted by BI-ME staff
Posted: Sat December 17, 2011 12:56 pm

INTERNATIONAL. Lebanese Canadian Bank and two Lebanese exchange houses helped launder more than US$480 million for the Hezbollah terrorist group in a scheme that involved buying and selling used cars, the U.S. said in a civil complaint.

Federal prosecutors filed a lawsuit in Manhattan today claiming the defendants took money from Lebanon to buy used cars in the U.S. and sell them in West Africa. Money from the car sales and from drug trafficking was funneled through Hezbollah- linked money laundering channels back to Lebanon, according to the complaint.

“The intricate scheme laid out in today’s complaint reveals the deviously creative ways that terrorist organizations are funding themselves and moving their money, and it puts into stark relief the nexus between narcotics trafficking and terrorism,” U.S. Attorney Preet Bharara said in a statement today.

The U.S. Treasury Department in February identified Lebanese Canadian Bank as a “financial institution of primary money laundering concern,” according to the statement. As a result, financial institutions in the U.S. cut their ties to the bank, making it impossible for it to send money to the U.S., prosecutors said.

Hezbollah, based in Lebanon, was designated as a foreign terrorist organization by U.S. President Bill Clinton in 1997. The suit filed Thursday also names as defendants Hassan Ayash Exchange Co. and Ellissa Holding, both Lebanese exchange firms.

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: July 23, 2014
UAE. Emerging capital markets are expected to double their global index share by 2030, according to the Credit Suisse Research Institute's "Emerging Capital Markets: The Road to 2030" report.
date:Posted: July 23, 2014
UAE. Colliers' Capital Flows Quarterly Report highlights Middle East investors' appetite for alternative product including hotels and serviced apartments.
date:Posted: July 23, 2014
INTERNATIONAL. The opening of the Saudi stock market to international investors is "something we have been looking for from Saudi Arabia for some time, and it's welcome news.
UAE. Emerging capital markets are expected to double their global index share by 2030, according to the Credit Suisse Research Institute's "Emerging Capital Markets: The Road to 2030" report.
dhgate