• 5 hours Shadowy Brokers Target Easy TikTok Money In New Scheme
  • 1 day Cannabis Sales Are Soaring In The United States
  • 2 days Biden Will Be A Boon For Solar Stocks
  • 3 days The Shroom Boom Is Here To Stay
  • 6 days The Gold Rally Has Finally Run Out Of Steam
  • 6 days Citibank Analyst Predicts $300k Bitcoin By End Of 2021
  • 9 days Bitcoin Lives Up To Its Safe Haven Status In A Big Way
  • 9 days 14 Million People Will Lose Unemployment Benefits On December 31st
  • 11 days Why 12 Million American Millionaires Isn’t Good News
  • 12 days Big Oil Is Paying The Price For Investing In Renewables
  • 13 days The Banking Industry’s $35 Billion Gravy Train Could Disappear
  • 14 days Did Amazon Just Democratize Prescription Drugs?
  • 15 days The Private Space Race Just Got Very Real
  • 17 days Short Sellers Are Willing Big In This Turbulent Market
  • 18 days SpaceX Gets Go-Ahead To Send Humans Into Space
  • 19 days Saudi Arabia Lost $27 Billion In Oil Crash
  • 20 days China’s Big Tech Takes A Hit As Regulators Crack Down
  • 21 days Black Friday Could Be Retailers’ Only Hope
  • 22 days Why You Should Not Dump Your Stay At Home Stocks Just Yet
  • 23 days The Real Reason Why Uber And Lyft Stocks Have Soared Nearly 50%
Will Air-Based Protein Be Our Future Food?

Will Air-Based Protein Be Our Future Food?

Food waste and the flip…

Alibaba Is About To Make History Again

Alibaba Is About To Make History Again

Alibaba bulls can now bet…

Will Big Oil's Plastic Bet Pay Off?

Will Big Oil's Plastic Bet Pay Off?

Big oil’s major bet on…

  1. Home
  2. News
  3. Breaking News

$1.3 Billion In Cocaine Found On JPMorgan Vessel

Cocaine

The cryptocurrency community is having a bit of a laugh right now recalling a statement from Jamie Dimon, chairman and CEO of JPMorgan Chase, from a couple of years ago to the effect that if you’re dealing drugs in places like Venezuela, Ecuador or North Korea, “you are better off doing it in bitcoin than US dollars”. 

Especially now, since a ship seized last week with $1.3 billion in cocaine on board has just been outed as belong to a fund run by JPMorgan Chase. 

On July 4th, the United States Customs and Border Protection (CBP) agency in Philadelphia seized a cargo vessel with nearly 20 tons of cocaine on board with a street value of about $1.3 billion.

It was the largest cocaine bust ever carried out by the CBP. 

To put that into perspective, the UN Office on Drugs and Crime says the 17.9 metric tons of cocaine on board the ship was more than the total amount of the drug that passed through Africa between 2013 and 2016. In a single shipment.  As it turns out, the vessel, the MSC Gayane, is owned by client assets in a maritime strategy offered by JPMorgan Asset Management. It’s operated by Switzerland-based Mediterranean Shipping Company (MSC).

According to an online ship tracker, the ship sailed under the Liberian flag and had previously traveled through the Bahamas and several South American countries. When it was seized, it was en route to northern Europe.

But JPMorgan isn’t defending itself here, though Bloomberg has boldly wondered whether this means that JPMorgan “might lose a drug ship”. In fact, the bank has remained entirely tight-lipped. It doesn’t have operational control over the vessel. It only financed the purchase of the ship for $90 million. As far as it’s concerned, the bank’s hands are clean. 

Related: What Would You Do If You Found A Wallet On The Street?

The drugs were initially found in mid-June by border agents before the CBP officially seized it. 

According to ABC News, so far, at least six crew members from Serbia and Samoa have been charged with conspiracy to possess cocaine aboard a ship. The ship’s second mate reportedly told investigators that he had been promised $50,000 for handling the cargo. 

So, are big banks, as they get into the physical side of “commodities”, now dealing in drugs, even if they’re not the operational masterminds?

It’s bound to be an issue, and JPMorgan isn’t alone. 

In May, a Wells Fargo personal banker pleaded guilty to helping launder millions of dollars for drug traffickers like the Mexican Sinaloa cartel. Between 2014 and 2016, money-laundering organizations recruited people who would open bank accounts for the cartel's drug money. In total, the operation laundered over $19 million dollars in narcotics proceeds.

A couple of years ago, Deutsche Bank was fined $630 million after authorities raided the bank’s offices over money laundering claims. Deutsche staff reportedly helped clients “transfer money from criminal activities” - as much as $10 billion - to offshore accounts. 

By Michael Scott for Safehaven.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment