OFAC Sanctions Lebanese National, Two Companies

The Treasury’s Office of Foreign Assets Control sanctioned a Lebanese national and two of his companies for money laundering on behalf of drug kingpins and Hizballah, OFAC said in an April 11 notice. Kassem Chams and his two businesses, Chams Exchange Company Sal and Chams Money Laundering Organization, are being designated as Specially Designated Narcotics Traffickers and sanctioned under the Foreign Narcotics Kingpin Designation Act.

OFAC said Chams launders money earned from drug profits “throughout the world” for Hizballah, moving money to countries such as Australia, Brazil, Italy, Spain, Venezuela, France and the U.S. Chams also aids Colombian drug traffickers, including the sanctioned criminal group La Oficina De Envigado and sanctioned Lebanese drug money launderer Ayman Said Joumaa.

The Chams Exchange operates under a license issued from the Central Bank of Lebanon “despite U.S authorities long suspecting it of being a significant” money launderer, OFAC said. “Treasury is committed to working with [Central Bank of Lebanon] to eliminate access to the Lebanese financial system by narcotics traffickers, money launderers, and terrorist groups such as Hizballah,” OFAC said.