Case of the Day: United States v. $6,999,925.00 of Funds Associated with Velmur Mgmt. PTE, 2019 U.S. Dist. LEXIS 48336 (D.D.C. Mar. 22, 2019)

Summary:

The US government brought a default judgment motion against nearly US $7 million of funds impounded from a Singaporean company that acted as a front for North Korea to import fuel from Russia, with funds transferred through US banks. The government sought forfeiture pursuant to Rule G of the Supplemental Rules for Admirality or Maritime Claims.

The court granted the turnover of funds, and in addition entered a judgment against the Singaporean company in the amount of approximately US $13 million.

Takeaway:

Sanctions are the new frontier in white collar defense! This one just hits all the right buttons for me: North Korea, a money laundering operation with a front company, an in rem caption and admiralty law.