Designation of Bank as Money Laundering Concern, Ties to Hezbollah, Drug Trafficking

On February 10 DEA and the Department of the Treasury announced that the Lebanese-Canadian Bank SAL, together with its subsidiaries was now a financial institution of primary money laundering concern under Section 311 of the USA PATRIOT Act. This action also exposes the terrorist organization Hizballah’s links to LCB and its international narcotics trafficking and money laundering network.

Several individuals involved in this global drug trafficking and money laundering network hold or utilize cash deposit accounts at LCB to move hundreds of millions of dollars monthly from illicit drug sales into the formal financial system and coordinated the laundering of these funds through key foreign nodes of the network using LCB accounts. Drug Kingpin Ayman Joumaa and his Lebanon-based drug trafficking and money laundering network, along with several other individuals have used LCB to launder narcotics proceeds – as much as $200 million per month – as part of this international money laundering network. On January 26, Treasury designated Joumaa along with nine individuals and 19 entities in his network as Specially Designated Narcotics Traffickers pursuant to the Foreign Narcotics Kingpin Designation Act.

“The Lebanese Canadian Bank for years has participated in a sophisticated money laundering scheme involving used cars purchased in the United States and consumer goods overseas. Thanks to DEA-led operations, as well as today's Treasury action, we are exposing and disrupting this money laundering network and its connections to global drug trafficking and Hizballah,” said DEA Administrator Michele M. Leonhart.

This article was sponsored by Police Books.