Search

Editors

Harry Cassin Publisher and Editor

Andy Spalding Senior Editor

Jessica Tillipman Senior Editor

Richard L. Cassin Editor at Large

Elizabeth K. Spahn Editor Emeritus 

Cody Worthington Contributing Editor

Julie DiMauro Contributing Editor

Thomas Fox Contributing Editor

Marc Alain Bohn Contributing Editor

Bill Waite Contributing Editor

Shruti J. Shah Contributing Editor

Russell A. Stamets Contributing Editor

Richard Bistrong Contributing Editor 

Eric Carlson Contributing Editor

Bill Steinman Contributing Editor

Aarti Maharaj Contributing Editor


FCPA Blog Daily News

« Survey: Despite growing enforcement risks, adoption of compliance programs has stalled | Main | Qingdao commodity scandal worries banks »
Wednesday
Jul162014

Money services business penalized for repeated AML deficiencies

The Financial Crimes Enforcement Network (FinCEN) announced Tuesday its assessment of a civil penalty against Georgia-based Mian, Inc. for violating the Bank Secrecy Act’s program and reporting requirements.

Mian, a money services business (MSB), committed numerous violations even after being put on notice by the Internal Revenue Service’s that it had deficiencies in meeting its reporting obligations.

The BSA requires MSBs to implement an effective, written anti-money laundering (AML) program, which Mian failed to do.

Mian also provided check-cashing services without fulfilling its obligations to report and maintain records on relevant transactions.

The company's inadequate AML procedures did not ensure the timely and accurate filing of currency transaction reports (CTRs), which it was required to file within 15 days of any currency transaction exceeding $10,000.

From December 2010 through November 2011, Mian failed to file CTRs on approximately 40 percent of transactions that required filing. During this time, the CTRs that Mian actually filed were late and inaccurate. 

"There is no excuse for repeated violations of the BSA, especially after notification of the violations by examiners," said FinCEN Director Jennifer Shasky Calvery. "MSBs have an important role in implementing procedures to thwart serious illicit activity that could jeopardize the U.S. financial system. Those that follow the rules should welcome the fact that there are consequences for those that don’t."

Mian admitted that it violated the BSA's program, reporting and registration requirements, and it consented to a civil money penalty of $45,000. 

FinCEN's news release about the civil money penalty against Mian, Inc. can be found here.

_____

Julie DiMauro is the executive editor of FCPA Blog and can be reached here.