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Deltec Suspected of Accepting Laundered Resources




Law enforcement officials from Brazil has asked for help from Bahamian authorities to probe skeptical transactions to Deltec Bank & Trust.

Deltec Bank & Trust is the recently-announced new banking partner of controversial stablecoin Tether (USDT).

The report comes from major Brazilian newspaper O Globo.

According to the report, the Federal Public Prosecutor’s Office in São Paulo is in pursuit of Paulo Vieira de Souza, a former director of the São Paulo road infrastructure company DERSA. De Souza is at the moment being prosecuted for bribery in the notorious Odebrecht case, branded by the United States government as “the largest foreign bribery case in history.”

The head of DERSA allegedly moved a total of 25 million Swiss francs or an estimated $25 million to the accounts of Panama-based offshore company Nantes Group, which were actually operated by a private Swiss bank Bordier & Cie. De Souza himself emerged as a beneficiary of the said accounts.

However, prosecutors suspect that Nantes Group was not the endpoint for the laundered resources. In February 2017, the amount was moved to accounts in Deltec Bank & Trust, with headquarters in Bahamian capital Nassau — the very same financial institution that recently associated with the team behind much-talked about USD-backed stablecoin Tether.

Brazilian prosecutors are now waiting for an answer from Bahamas authorities to find out if the mentioned amount actually made its way to Deltec Bank & Trust. The report also stressed that Brazil has successfully partnered with the Bahamas in money laundering cases before.

Tether publicized its partnership with Deltec Bank & Trust Ltd. after reportedly divorcing with Puerto Rico’s Noble Bank International. Noble Bank had also supposedly held accounts for major crypto exchange Bitfinex, who shares a CEO with Tether.

The troubled stablecoin has been rumored to not have the necessary cash reserves to back all of its 1.7 billion circulating tokens 1:1 with the U.S. dollar – though the legitimacy of the coin has been unofficially verified, the firm has not completed a public audit by a third party.

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