Corruption Currents: Deutsche Bank’s $10 Billion Scandal

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A daily roundup of corruption news from across the Web. We also provide a daily roundup of important risk & compliance stories via our daily newsletter, The Morning Risk Report, which readers can sign up for here. Follow us on Twitter at @WSJRisk.

Bribery:

In local politics: An Egyptian regional construction chief was arrested on bribery charges; he doesn’t appear to have been contacted. (Egypt Independent)

Cybercrime:

A U.S. lawmaker asked for more security after he was hacked. (McClatchy)

The NSA leak is real, according to documents obtained by Edward Snowden. How did it happen? (Intercept, Week)

Is anything safe online? (McClatchy)

Fraud:

ExxonMobil’s fraud inquiry is looking at the future. (NY Times)

Money Laundering:

Deutsche Bank’s Russian desk helped move $10 billion offshore through a mirror-trading scheme. The bank hasn’t commented on whose money was moved through the scheme. (New Yorker)

The former BSI wealth manager will face a money-laundering trial in October in Singapore over links to the 1MDB scandal, and he faces additional charges. BSI, meanwhile, settled a lawsuit over bonus payments to another employee. Malaysia said it will bring legal action against anyone who defrauded 1MDB. (Reuters, Bloomberg, Reuters, Bloomberg, SCMP)

More revelations from the Wolf of Wall Street’s links to 1MDB have emerged. (Daily Beast)

The lawyer for a former bank manager arrested in the Bangladesh hacking heist case said the detainment was a form of harassment. A remittance firm connected to the hack was cleared of tax-evasion charges. (GMA)

New Zealand launched a consultation on anti-money laundering reforms. (Voxy)

Jamaica’s premier is trying to prevent banks from derisking out of the country. (Jamaica Observer)

A Malaysian anti-crime activist said he’s under investigation for violating money-laundering rules. (FMT)

Austrac is trying to use machines to fight money laundering. (New Scientist)

The former CEO of Rentboy.com is courting a plea deal in his case, his lawyer said. (NY Daily News, Reuters, Newsday)

Namibia is taking on tax-dodging companies. (Xinhua)

Sanctions:

U.N. sanctions aren’t enough to stop Chinese investment in North Korea. (RFA)

Terrorism Finance:

How does Yemen plan to dry up funding for the Houthis? (Al Monitor)

A West African regional anti-graft group warned about money transfers to terrorists. (Africa Review)

General Anti-Corruption:

The FBI and the U.S. Justice Department are investigating U.S. ties to its broader probe of Ukrainian corruption, including that of Paul Manafort, Donald Trump’s former campaign manager. Mr. Manafort isn’t a focus; he didn’t respond to requests for comment. (CNN, Reuters, Bloomberg)

Journalists and police in Australia joined forces against corruption. (Guardian)

Kenya’s land ministry faces a corruption audit. (Daily Nation)

Borrowers: Lending Club’s biggest fan found its shady loans. Beijing has a list of zombie borrowers. (Bloomberg, Bloomberg)

Russia threatened to end its funding of anti-doping watchdogs if its rights aren’t restored. (Sputnik)

U.S. Vice President Joe Biden warned Kosovo of the threat of corruption. (Sofia Globe)

Ukraine said it is working on fixing its anti-corruption certification tool after criticism from Transparency International. (Ukraine Today, UKROP, Ukraine Today)

Montreal adopted measures to better regulate government contracting. (Montreal Gazette)

In local politics: Several Chinese municipal officials are under investigation. The former city manager for Crystal City, Texas, pleaded not guilty to corruption charges. (Xinhua, Reuters, TWC)

Source :http://blogs.wsj.com/riskandcompliance/2016/08/22/corruption-currents-deutsche-banks-10-billion-scandal/

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