TD Group Did Not Disclose “Suspicious” Crypto Activity, FinCen Says
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A new Financial Crime Enforcement Network (FinCEN) report alleges TD Bank did not disclose “suspicious activity” involving two international crypto exchanges.
According to the October 10 report, TD Bank processed over 2,000 transactions between July 2023 and April 2024 for an anonymous financial firm, “Customer Group C,” valued at over $1 billion.
Yep, there's a crypto angle to the TD Bank scandal.
It hasn’t hit the crypto press yet, but a big chunk of TD's $1.3 billion fine for violating the Bank Secrecy Act comes from its dealings with shady crypto exchanges in the UK and Colombia.
(via TD's consent order with FinCEN) pic.twitter.com/WZmU3JLBK5
90% of those funds reportedly came from a cryptocurrency exchange based in the United Kingdom, while 60% of outgoing wires were sent to a Colombian financial institution offering digital asset services.
“The pattern of activity revealed Customer Group C conducted, on average, over $100 million in wire transfers each month, most of which facilitated apparent third-party cryptocurrency trading and involved high-risk industries and jurisdictions, including Colombia, China, and countries in the Middle East,” FinCEN stated. “Yet this significantly deviated from Customer Group C’s onboarding documentation, which did not identify Colombia or China as jurisdictions through which cross-border transactions were expected to be processed.”
The financial regulating body further states that Customer Group C acquired $650 million from an international cryptocurrency exchange platform “where the purpose,
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