US eyes action against Japan's Mitsubishi UFJ

0 Comments | AFP, September, 2006

TOKYO (AFP) — US financial authorities are mulling what action to take against the American units of Mitsubishi UFJ Financial Group (MUFJ) for alleged lax monitoring of money laundering activities. Investigators from US financial regulators would soon visit the headquarters of Bank of Tokyo-Mitsubishi UFJ (BTM UFJ), a pillar business of MUFJ, regarding the allegations, the Asahi Shimbun newspaper and other media reported, citing unnamed sources.

The investigation could delay plans by MUFJ, Japan's largest financial group, to launch full securities operations in the US, the reports said. They said the US Federal Reserve had found that computer systems used by BTM UFJ's New York branch and one of its US units were inadequate for preventing money laundering. Officials of MUFJ...