New law cracks down on shell companies to combat corruption

ABC

A watershed reform of U.S. money laundering laws could allow investigators to uncover the proceeds of foreign bribery, drug trafficking and terrorism in just a few keystrokes

The new legislation quietly passed by Congress last month after a decade-long fight is the most sweeping banking reform of its kind since passage of the Patriot Act, in the aftermath of the Sept. 11, 2001, terrorist attacks.

For the first time, shell companies will be required to provide the names of their owners or face stiff penalties and jail sentences. The information will be stored in a confidential database accessible to federal law enforcement and shared with banks who are often unwitting accomplices to international corruption. read more »

Cryptoasset investing? Be prepared to lose the lot, warns watchdog

BBC

The UK's Financial Conduct Authority (FCA) has issued a stark warning to investors in so-called cryptoassets. The financial watchdog said investors should be "prepared to lose all their money" should their investment's value collapse.

Many cryptoassets are not covered by investment regulation or protection.

The warning is the latest in a string from the FCA and comes as Bitcoin, the best-known crypto currency, hits record highs. read more »

Feds investigating Quicken Loans’ real estate affiliate for illegal kickbacks

MIAMI HERALD

In a little-known civil action, the Consumer Financial Protection Bureau is investigating the real estate affiliate of Quicken Loans for illegal kickbacks. Specifically, the consumer watchdog agency is wondering whether Rocket Homes Real Estate violated the Real Estate Settlement Procedures Act when it charged fees for referring Quicken’s mortgage clients to real estate agents.

Under RESPA, it is illegal to collect money without providing “meaningful” services. The CFPB’s investigation has gone largely unnoticed because it does not publicize such cases until a determination of guilt is made. read more »