The US has made its biggest anti-money-laundering changes in years

“If you’re a corrupt foreign official or drug trafficker, there’s a pretty easy way to protect your illicit cash: create an anonymous shell company.

You form a shell company — meaning a business that exists only on paper, with no employees, no products it makes or sells, no revenue, nothing except maybe a bank account and some assets — but you do it without disclosing your (the owner’s) real name, offering a convenient way to launder your money and evade law enforcement in the United States.

Except that might now be a lot harder to do in the US. A provision in the National Defense Authorization Act (NDAA), the $741 billion defense bill, will effectively ban anonymous shell companies.

If signed into law, when someone opens a shell corporation, they’ll be required to provide the owner’s name and some basic identifying information.This simple step will give law enforcement and national security officials a powerful tool to crack down on corruption.”

https://www.vox.com/22188223/congress-anti-money-laundering-anonymous-shell-companies-ban-defense-bill

Leave a Reply

Your email address will not be published. Required fields are marked *