WASHINGTON (AP) – Federal authorities announced $2.5 million in penalties Friday against an Indian tribe and an official in charge of its casino in Oklahoma for alleged violations of provisions designed to thwart money launderers, terrorist financiers and other criminals.

The Treasury Department’s Financial Crimes Enforcement Network said the fines were assessed against the Tonkawa Tribe of Oklahoma and Edward E. Street, who directed and oversaw the casino’s day-to-day operations.

The government said that the tribe and Street agreed to pay the fines. In doing so, they neither admitted nor denied any wrongdoing.

The Financial Crimes Enforcement Network, called FinCen, alleged that the tribe’s Tonkawa Bingo and Casino violated federal provisions by not developing and implementing a program to combat money laundering, failing to report suspicious financial transactions, not keeping certain financial records and not properly identifying customers.

The agency also alleged that Street didn’t take various steps to comply with federal anti-money laundering provisions.

“This case involved the absence of an adequate anti-money laundering program, the use of fictitious Social Security numbers for customer identification, an unreported deposit of $300,000 in cash from a duffel bag, and other suspicious transactions,” said Robert Werner, director of the Financial Crimes Enforcement Network.

The penalties “represent the first enforcement actions against an individual and a tribe for violations under the casino provisions of the Bank Secrecy Act,” FinCen said.

FinCen said a $1.5 million fine was assessed against Street and a $1 million penalty was imposed on the tribe.


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