Brokers are accused of money-laundering
the Federal authorities of New York have begun investigation of activity of several largest broker firms with Uoll - strit. Brokers are suspected of the money-laundering, received from drug traffic, newspaper The Wall Street Journal informs.
the statement of the newspaper was astonishing in business circles of Uoll - strita, after all under suspicion the most dear and known broker firms have got: Merrill Lynch, Dean Witter Discover, Prudential Securities, Bear Stearns and Paine - Webber Group. Created by federal bodies for investigation of this business the group which has received the name “ Eldorado “ has already arrested accounts of some clients of the specified firms for the sum more than $10 million The basic fault of brokers consists that they through fingers looked at an origin of the money arriving, in particular, from offshore zones, such as isle of Man or Panama.
the representative of company Dean Witter has declared that with anybody from its general managers “ no federal agency " communicated yet;. He also has added: “ We are simply revolted by that The Wall Street Journal has printed such irresponsible article which accuses our business and our firm, in particular. Dean Witter always struggled with hit of money with not clear origin in our system “. Merrill Lynch and Prudential denied the fact of carrying out of any investigation, and Paine - Webber and Bear Stearns have at all refused comments. The representative of company Merrill Lynch in the statement has listed measures, which are used by its firm not to admit money-laundering, but has noticed that “ Even the effectual measures cannot prevent to break to the person the law if he wants to make it “.
Newspaper The Wall Street Journal has informed also that the regional Office of Public Prosecutor of Manhattan has already made bills of particulars concerning several clients of the specified broker companies. Inspectors suspect, the newspaper writes, as many insurance companies help to wash a money from drugs.
according to one of inspectors of Department of the state gathering, the community on Uoll - strit has quite good possibilities for studying of persons of the clients, but some brokers apply few efforts, that “ to learn it is more about with whom they run business “.
ALENA - MIKLASHEVSKY