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Monday, July 5, 2010

How banks aided drug traffic

Wachovia admitted that it didn't do enough to monitor and report suspected money laundering by Mexican cartels

Just before sunset on April 10, 2006, a DC-9 jet landed at the international airport in the port city of Ciudad del Carmen, 500 miles east of Mexico City. As soldiers approached the plane, the crew tried to shoo them away, saying there was a dangerous oil leak. The troops grew suspicious and searched the jet.
They found 128 black suitcases, packed with 5.7 tons of cocaine, valued at $100 million. Law enforcement officials also discovered something else.
The smugglers had bought the DC-9 with laundered funds they transferred through two of the biggest banks in the U.S.: Wachovia and Bank of America.

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