Bank of America Insider Pleads Guilty to Money Laundering Conspiracy

A Bank of America insider is pleading guilty to boosting a global money laundering conspiracy that aided drug traffickers and other illegal businesses, according to the U.S. Department of Justice (DOJ).

The DOJ states that former employee Rongjian Li was part of a money laundering and drug trafficking organization led by Jin Hua Zhang.

Role in the Conspiracy

According to prosecutors, Li utilized his bank position from 2021 to 2022 to assist the criminal organization in opening several accounts. Zhang’s organization then employed these Bank of America accounts—some registered with forged passports—to launder illegal funds.

> “As part of his involvement, when the bank’s financial auditing systems flagged or froze accounts for suspicious activity, Li helped Zhang circumvent the bank’s anti-money laundering protocols and move illicit funds elsewhere.”

Li was seen dining with Zhang in New York, during which Zhang discussed his various fee percentages charged to different criminal groups for drug trafficking and scams.

Laundered Millions

Zhang’s organization is estimated to have laundered millions of dollars over months.

> “The investigation revealed that, for a fee, Zhang laundered bulk cash for drug dealers and laundered profits from other illegal businesses. In less than a year, Zhang and his organization laundered at least $25 million worth of drug proceeds and funds from other illegal businesses through undercover agents.”

Li has pleaded guilty to conspiracy to commit money laundering, facing a monetary fine and a prison sentence.

> “The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $500,000, or twice the amount involved, whichever is greater.”

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