Anti Money Laundering News (05 May – 11 May 2025)
Welcome to this week’s edition of the Global AML News Weekly Digest. Here are the top stories making headlines around the world:
1. Germany Shuts Down Darknet Exchange in ₹160 Crore Laundering Bust
Germany’s Federal Criminal Police (BKA) has dismantled eXch[.]cx, a darknet-linked cryptocurrency exchange allegedly used for laundering over $1.9 billion. Operating since 2014, the platform was accessible via the dark web and clearnet, facilitating anonymous crypto transactions without KYC protocols. The April 30 raid resulted in the seizure of over 8 TB of data and crypto assets worth €34 million. Authorities say the service was exploited by criminals, including North Korean threat actors, and investigations are ongoing across Europe.
2. EU Finalizes Ban on Anonymous Crypto Wallets and Privacy Coins by 2027
The European Union has confirmed its sweeping AML framework banning anonymous digital asset wallets and privacy coins like Monero and Zcash, effective July 1, 2027. The Anti-Money Laundering Regulation (Regulation 2024/1624) mandates identity verification for crypto transactions over €1,000 and extends obligations to crypto-asset service providers. A new AML Authority will directly supervise up to 40 large CASPs across the bloc. Despite industry pushback, the European Crypto Initiative says the rules are final, marking a significant regulatory shift for the digital asset ecosystem.
3. Malaysia’s Sapura Energy Under Probe in $116 Million Money Laundering Case
The Malaysian Anti-Corruption Commission (MACC) has launched a money laundering investigation into Sapura Energy involving over RM500 million ($116 million) in company shares. The probe relates to historical transactions following the merger that created the offshore contractor. Authorities are examining potential corruption and misuse of public funds, positioning the case as a critical test of corporate governance standards in Malaysia.
4. Liberia Fines Oceano Casino, Citi Trust L$15M for AML Failures
Liberia’s Financial Intelligence Agency has fined Oceano Casino and Citi Trust L$10 million and L$5 million respectively for major violations of AML/CFT laws. Inspections revealed both entities lacked proper risk assessments, compliance officers, and systems to detect suspicious transactions. FIA has ordered remedial action plans to be submitted by May 12, with full compliance expected by July 2025. The fines reflect growing enforcement against AML non-compliance in high-risk sectors like gambling and microfinance.
5. UBS Pays $511 Million to End Credit Suisse’s US Tax Evasion Scandal
UBS Group AG has agreed to pay $511 million to settle a U.S. investigation into Credit Suisse’s long-standing facilitation of tax evasion for wealthy Americans, even after a 2014 pledge to cease such conduct. A Credit Suisse unit pleaded guilty to conspiring to hide over $4 billion in assets in at least 475 offshore accounts from the IRS.
The U.S. Department of Justice also filed — and agreed to defer — a criminal charge related to accounts booked at Credit Suisse AG Singapore, contingent on UBS’s continued cooperation. Court filings revealed that Credit Suisse violated its 2014 plea agreement, enabling high-net-worth clients — including a billionaire U.S. resident — to evade taxes.
Key highlights:
• Accounts were maintained despite clear signs of U.S. residency.
• The case involved notable tax evaders like Dan Horsky and a U.S.-Colombian family.
• A 2023 Senate Finance Committee report had flagged ongoing violations worth $1.3 billion, which UBS has now admitted was far higher.
UBS, which acquired Credit Suisse, distanced itself from the misconduct, reiterating its “zero tolerance” for tax evasion. The case marks a significant enforcement milestone, reinforcing U.S. scrutiny on repeat corporate offenders.
6. Dubai Jails Indian Billionaire Balvinder Singh Sahni for Money Laundering
Balvinder Singh Sahni, a high-profile Indian businessman based in Dubai and founder of the Raj Sahni Group (RSG), has been sentenced to five years in prison and fined 500,000 dirhams for money laundering and other financial crimes. His assets worth 150 million dirhams (₹344 crore) have also been confiscated, and he will be deported after completing his sentence.
Known for his extravagant lifestyle and charitable work, Sahni once made headlines for paying 33 million dirhams for the prestigious car number plate “D5.” However, Dubai authorities uncovered a fraud network of fake companies and forged invoices allegedly run by Sahni, his son, and over 30 accomplices.
Key details:
• The case, which began in 2024, has led to various sentences for other individuals, some tried in absentia.
• Sahni’s fall from grace reflects the UAE’s increasing crackdown on illicit finance.
This case is among the most high-profile financial crime prosecutions in Dubai in recent years.
Stay informed with our weekly digest, bringing you the most impactful news from around the globe. Thank you for reading!
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