ETrade ordered to comply with US anti-money laundering rules

0 Comments | AFP, July, 2008

WASHINGTON (AFP) — The Securities and Exchange Commission said Wednesday that ETrade paid a one million dollar fine to settle an investigation of the online brokerage giant on US anti-money laundering laws.

ETrade has agreed to pay the penalties after being charged by the SEC for failing to comply with anti-money laundering rules that require brokerages to verify the identities of account holders.

"ETrade is one of the largest online brokerage firms in the world, and a compliance lapse of this type has the potential to undermine the nation's anti-terrorism and anti-money laundering efforts," said Linda Chatman Thomsen, the head of the SEC's enforcement division.

ETrade settled with the market regulator without admitting or denying the SEC's allegations....

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