San Diego – A high-profile money transmitting business, Taaj Services US LLC, has copped to serious violations of the Bank Secrecy Act by pleading guilty in a federal court. The company, known for its rapid growth across the nation, confessed that it failed to report financial transactions exceeding $10,000, as mandated by law.
At the heart of the plea deal was the revelation that Taaj Services never had the license to operate in California. Starting from November 2019, they conspired with another money transmitting business, MTB-1, to bypass state regulatory oversight. They exploited the TaajPay network to facilitate international money transfers, dodging scrutiny from California regulators.
The company’s illegal activities were substantial; between November 27, 2019, and December 11, 2019, they collected $703,078 without reporting it as required by law. As part of the plea agreement, Taaj Services has agreed to forfeit a staggering $700,000 to the U.S. government.
Further complicating matters, Taaj also acknowledged transporting $900,000 in physical currency to the Middle East for MTB-1 in 2020 without the necessary reporting. Amidst the COVID-19 pandemic, when international flights were grounded, they resorted to wiring money abroad using MTB-1’s bank account. This practice involved delivering more than $66 million dollars to MTB-1 and neither company documented these transactions.
The plea agreement includes a deferred entry of judgment, with the government deferring prosecution for 24 months if Taaj Services complies fully. Assistant U.S. Attorneys Michael A. Deshong, Carl F. Brooker, IV, and Christopher Beeler are handling this case.
Defendant: Taaj Services US LLC
Case Number: 24cr1322-BAS
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Key Facts
- State: California
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes|Organized Crime
- Source: Official Source ↗
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