Obama , DOJ Target GOP Adelson's Casino Operation

Monday, 06 Aug 2012 06:21 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
The Justice Department is investigating whether Las Vegas Sands Corp., owned by high-profile Republican donor Sheldon Adelson, broke federal law by failing to report millions of dollars of potentially laundered money transferred to its casinos by two high-rolling Las Vegas gamblers, according to the Wall Street Journal.

The U.S. attorney's office in Los Angeles is investigating deposits made in the mid-2000s by a Mexican pharmaceutical businessman, later indicted for drug trafficking in 2007, and a California executive with Fry's Electronics, who later pleaded guilty to taking illegal kickbacks, the newspaper said, citing lawyers and federal officials working on the case.

The Journal said there were no indications that the investigation included actions by Adelson, Sands' chief executive and a major political donor for the Republican Party. Adelson has pledged to spend as much as $100 million to help Republican candidates in this election cycle.

Editor's Note: Will Obama Be Defeated? Vote Here!

Federal investigators have begun focusing on casinos amid concerns that the industry's lax financial systems could be used for money laundering and other illegal activities, according to Justice Department officials cited by the Journal.

Sands Corp. did not immediately return calls from the Associated Press on Sunday. A company spokesman, Ron Reese, told the Journal that the company believes "it has acted properly and has not committed any wrongdoing."

Chinese-born Mexican businessman Zhenli Ye Gon transferred about $85 million to casinos owned by Sands in the middle of the last decade. He lost more than $125 million at Vegas casinos, according to an affidavit cited by the Journal.

Federal prosecutors say Ye Gon's use of Mexican exchange houses should have been a warning sign of suspicious activity to Sands employees. In July 2007, Ye Gon was indicted in the U.S. on charges of trafficking the illegal stimulant methamphetamine. The drug charges were dismissed in 2009, but Ye Gon is scheduled to be extradited to Mexico to face additional trafficking and laundering charges there.

The Justice Department is also investigating more than $100 million in money transfers by another Las Vegas high roller, Ausaf Umar Siddiqui, who was previously a vice president at Fry's Electronics. Siddiqui was arrested in 2009 for accepting illegal kickbacks. He pleaded guilty to the charges and is serving a six-year prison sentence.

Editor's Note: Will Obama Be Defeated? Vote Here!


© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Chuck Hagel Resigning as Defense Secretary

Monday, 24 Nov 2014 09:37 AM

Administration sources say that Defense Secretary Chuck Hagel is resigning from President Barack Obama's Cabinet.Hagel,  . . .

Dershowitz: Force May Be Israel's Only Option Against Iran Nukes

Monday, 24 Nov 2014 18:19 PM

If negotiators allow Iran to continue with its nuclear energy program, Israel "may have no choice" but to launch pre-emp . . .

Good Candidates in Line to Replace Hagel

Monday, 24 Nov 2014 17:03 PM

The resignation under pressure of Defense Secretary Chuck Hagel from the Obama Cabinet leaves a gaping hole in the admin . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved