US sanctions 2 Lebanese exchange houses

WASHINGTON (AP) — The U.S. Treasury Department is putting sanctions on two Lebanese exchange houses it says laundered drug money to support the militant Hezbollah.

Officials named Kassem Rmeiti & Co. for Exchange and Halawi Exchange Co. as “institutions of primary money laundering concern” under a section of the Patriot Act.

Tuesday’s action is the first time the provision of the law has been used against a financial institution that was not a bank.

David S. Cohen, Treasury undersecretary for terrorism and financial intelligence, says the Joumaa narcotics network turned to the two exchanges for money laundering after Treasury acted against the Lebanese Canadian Bank in 2011.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s