HSBC Dope Money Laundering Charges Corroborated
May 18, 2012 • 8:24AM

A well-placed U.S. intelligence source has confirmed that several government law enforcement and intelligence agencies have corroborated many of the charges made against HSBC's New York office by former bank vice-president- turned-whistle-blower, John Cruz. According to the source, the Cruz allegations have "significant merit," and, in fact, some of the specific documents provided by Cruz to federal authorities have been investigated and proven accurate. The evidence that HSBC established dummy accounts through which as much as $1 trillion in Mexican drug cartel profits were laundered, had been established, according to the source, through U.S. intelligence agencies probes of the operations of the Mexican cartels. The 1,000 pages of documents from HSBC provided by Cruz corroborated details in those intelligence reports.

The source, who was involved earlier in his career in some of the investigations in Mexico, agreed with the West Virginia U.S. Attorney who said that the infamous Riggs National Bank money-laundering case was small-time compared to the magnitude of money laundered through HSBC.

Asked explicitly about evidence that the 2008 Obama presidential campaign was financed by Mexican cartel drug money, the intelligence official could neither confirm nor deny the charges. However, he freely acknowledged that the Obama campaign had received large amounts of illegal cash from overseas, including significant amounts of money from Asia. Most of those funds were funneled through Mexico into U.S. banks — including HSBC.

The source explained that the Mexican cartels' arrangements with the major Wall Street banks were so solid that they were the primary conduit for much of the money laundering from around the world into the U.S. banking system. These reports conform to statements in a recent EIR interview with Antonio Maria Costa, former head of the UN Office on Drugs and Crime, who said that, during the 2008 banking crisis, when interbank lending had frozen up, it was only the flow of drug money that kept the system from a full meltdown.