WASHINGTON—The Financial Crimes Enforcement Network on March 31 assessed a $275,000 civil money penalty on A&S World Trading, Inc., d/b/a Fine Fragrance (A&S) for willful violations of the Bank Secrecy Act (BSA) and its implementing regulations. This is FinCEN’s first enforcement action for failing to comply with a Geographic Targeting Order.
A&S admits 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 these violations, A&S failed to report more than two million dollars in high-risk currency transactions.
“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.”
FinCEN appreciates the close collaboration and invaluable assistance of the Internal Revenue Service’s Small Business/Self-Employed Division on this matter.
For additional information regarding the facts and circumstances associated with this enforcement action, please see the Consent Order here.
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