Two bank employees charged with money laundering and creating “doctored” bank records to steal over $1 million

By Christine Duhaime | March 5th, 2020

In the Southern District of New York, two employees of a large national bank were charged with money laundering, bribery and wire fraud in connection with activities they allegedly undertook to create “doctored” bank records in order to steal over $1 million.

Specifically, the US government alleges that they knowingly devised a scheme to defraud others of their property and money, by false and fraudulent pretences, representations and promises and created fraudulent bank documents in the process. Further, that they attempted to conceal and disguise the ownership of the proceeds of their activities in violation of anti-money laundering law, and to transfer the proceeds of the property stolen from others through a bank account.

At their arraignment in New York, the accused bank employees argued that the AG should not inform the bank of their arrest, an argument that was rejected by the Judge.

It seems like a very unusual and inappropriate suggestion by the accused to the Judge that the bank not be informed of their arrest and of the conduct over which they are accused, and to let them go back to work.

The employees are accused of bank fraud and money laundering. The documents they are alleged to have “doctored” involve documents of the bank involving real customers. There’s no question, as a matter of law and ethics, and to preserve the integrity of the investigation and of the prosecution that the bank must be informed and the accused prohibited from any further access to the bank’s premises, files and systems.

One can’t imagine a situation where it would be advisable to reposition back into a financial services company, employees suspected of doctoring bank records.

You can read the charges here.

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