The government is focusing its attention on Block, with prosecutors investigating compliance issues at the parent company of Square and Cash App. According to NBC News, a former Block employee has provided federal authorities with documents detailing how the company failed to collect necessary risk-assessment information from customers and processed illegal transactions.
These documents reveal that Block approved numerous cryptocurrency transactions with known terrorist organizations. Additionally, Square processed thousands of transfers involving countries under economic sanctions. The whistleblower told NBC News, “The compliance section was flawed from the beginning, led by individuals unfit to oversee a regulated compliance program.”
Most transactions involved credit cards, dollar transfers, or Bitcoin and were not properly reported.
2024-05-01 13:12:23
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