WASHINGTON—The Financial Crimes Enforcement Network has assessed a $275,000 civil money penalty on A&S World Trading, Inc. for willful violations of the Bank Secrecy Act and its implementing regulations, the FTC announced.
The fine is FinCEN’s first enforcement action for failing to comply with a Geographic Targeting Order, the agency said.
According to the FTC, A&S admitted that it failed to comply with the reporting and recordkeeping requirements of a Geographic Targeting Order issued to certain nonfinancial trades and businesses located within the Los Angeles Fashion District. Because of the violations, A&S failed to report more than $2 million in high-risk currency transactions, the FTC said.
“FinCEN’s enforcement action puts nonfinancial trades and businesses on notice that they must comply with Geographic Targeting Orders,” said FinCEN’s acting director, Himamauli Das. “This action also illustrates FinCEN’s long-standing efforts to partner with other government agencies to combat money laundering schemes designed to launder the proceeds of criminal activity through nonfinancial trades and businesses in the United States.”
The consent order can be found here.