Two private banks in Myanmar accused by the US of money laundering and links to drug traffickers have been ordered closed by the government for violating banking laws, the finance ministry said.
In an announcement Friday night on state television, the Ministry of Finance and Revenue said the licenses of the Asia Wealth Bank and the Myanmar Mayflower Bank had been revoked.
"It was found that these two banks have not strictly followed the banking regulations, thus their licenses were revoked effective March 31," said the announcement. It did not specify what the violations were.
Both banks have been accused by the US State Department of being involved in money laundering and having links to Southeast Asian drug trafficking groups.
In December 2003, Myanmar's military government said it had begun investigating the two banks under the provisions of new anti-money laundering rules which had just come into effect.
The investigation was supposed to take three months, and under the rules, the banks could have their assets seized if found guilty of money laundering.
The announcement did not say if the bank closures were linked to that investigation, whose results were not made public.
The rest of Myanmar's 18 private banks would continue operating normally, the announcement said.
It said central bank administrators would take over operations and begin the process of winding up the two bank's affairs.
Depositors could come to the banks beginning tomorrow to withdraw their money, the statement said. It also warned people owing money to the banks to make their payments or face legal action.
Both the Asia Wealth Bank and the Myanmar Mayflower Bank had been ailing since a national banking crisis in February and March 2003, when there were panic withdrawals by depositors from most of the country's banks.
The central bank was forced at the time to temporarily ban money transfers and limit withdrawals. It was also reported to have made huge loans to several banks, including the Asia Wealth Bank, to help keep them solvent.
TARIFFS: The global ‘panic atmosphere remains strong,’ and foreign investors have continued to sell their holdings since the start of the year, the Ministry of Finance said The government yesterday authorized the activation of its NT$500 billion (US$15.15 billion) National Stabilization Fund (NSF) to prop up the local stock market after two days of sharp falls in reaction to US President Donald Trump’s new import tariffs. The Ministry of Finance said in a statement after the market close that the steering committee of the fund had been given the go-ahead to intervene in the market to bolster Taiwanese shares in a time of crisis. The fund has been authorized to use its assets “to carry out market stabilization tasks as appropriate to maintain the stability of Taiwan’s
STEEP DECLINE: Yesterday’s drop was the third-steepest in its history, the steepest being Monday’s drop in the wake of the tariff announcement on Wednesday last week Taiwanese stocks continued their heavy sell-off yesterday, as concerns over US tariffs and unwinding of leveraged bets weighed on the market. The benchmark TAIEX plunged 1,068.19 points, or 5.79 percent, to 17,391.76, notching the biggest drop among Asian peers as it hit a 15-month low. The decline came even after the government on late Tuesday authorized the NT$500 billion (US$15.2 billion) National Stabilization Fund (國安基金) to step in to buoy the market amid investors’ worries over tariffs imposed by US President Donald Trump. Yesterday’s decline was the third-steepest in its history, trailing only the declines of 2,065.87 points on Monday and
TARIFF CONCERNS: The chipmaker cited global uncertainty from US tariffs and a weakening economic outlook, but said its Singapore expansion remains on track Vanguard International Semiconductor Corp (世界先進), a foundry service provider specializing in producing power management and display driver chips, yesterday withdrew its full-year revenue projection of moderate growth for this year, as escalating US tariff tensions raised uncertainty and concern about a potential economic recession. The Hsinchu-based chipmaker in February said revenues this year would grow mildly from last year based on improving supply chain inventory levels and market demand. At the time, it also anticipated gradual quarter revenue growth. However, the US’ sweeping tariff policy has upended the industry’s supply chains and weakened economic prospects for the world economy, it said. “Now
Six years ago, LVMH’s billionaire CEO Bernard Arnault and US President Donald Trump cut the blue ribbon on a factory in rural Texas that would make designer handbags for Louis Vuitton, one of the world’s best-known luxury brands. However, since the high-profile opening, the factory has faced a host of problems limiting production, 11 former Louis Vuitton employees said. The site has consistently ranked among the worst-performing for Louis Vuitton globally, “significantly” underperforming other facilities, said three former Louis Vuitton workers and a senior industry source, who cited internal rankings shared with staff. The plant’s problems — which have not
RSS