The Winograd Report on what has been called the Second Lebanon War, fought between Israel and Hizballah in 2006, has been released. Readers who wish to see the English Summary, kindly see below for the link to the document.

The recent decision of the European Union to decline to establish preliminary ties with Serbia was most certainly noted by the more astute money launderers and financial criminals, for that country's continued exclusion from the EU is a target of opportunity for practitioners of the darker financial arts. Whilst you may not see any potential openings in Serbia for money laundering operations that will impact you, rest assured that they do exist for those with fertile, but jaded, imaginations.

The Office of Foreign Assets Control, OFAC, has designated prominent leaders and associated corporate entities in the Republic of Zimbabwe, whose oppressive regime has been accused of human rights violations. The country is presently submerged in an economic and food crisis, and an AIDS/HIV epidemic. The US government alleges that there is state-sponsored undermining of democracy and democratic institutions through violence and intimidation.

Buried in a recently-passed Defence bill is an interesting provision; an absolute prohibition on the sale of F-14 "Tomcat" fighter jet aircraft and parts. Since the Tomcat was retired by the US Navy in 2006, the Islamic Republic of Iran has been the only country flying this aircraft type. Read the text below and decide whether it is ample warning that the United States is carefully laying the groundwork for a possible future armed conflict with Iran.

An authoritative Italian source has revealed that Walter Alexander del Nogal, the reputed leader of the criminal organisation allegedly involved in the Antonini money laundering scandal, has been quietly rearrested by Italian law enforcement agents. Del Nogal, who was in custody on pending charges of narcotics trafficking with the Sicilian Mafia, was released last week by a magistrate under questionable circumstances, in violation of both Italian and international law, was mysteriously due to be summarily deported, notwithstanding that he is wanted in Switzerland for escape from prison, and also has a reported detainer lodged by the United States. He has now been taken back into custody. The order for his re-arrest reportedly came directly from the senior judge in that court.

Compliance officers at international banks whose clients could be trading with the Islamic Republic of Iran through third countries should watch carefully for an upcoming announcement that the United Nations has imposed additional sanctions. These new punitive measures may increase your bank's level of risk, and serious consideration should be given to implementing policies and procedures to ensure that circuitous transactions with Iran are not paid through the bank.

For all our readers in Jamaica, I will again be heard on the morning financial programme, The Breakfast Club, on NewsTalk 93FM this Thursday, 31 January at 7:30AM. The topic will be rogue traders. Tune in.

Money service business Sigue Corporation and Sigue LLC, of San Fernando, California have been fined $15m by FinCEN and the US Department of Justice. Whilst such a heavy penalty is rarely imposed upon an MSB, the strong language contained in FinCEN's Consent to Assessment of Civil Penalty may indicate that the gloves are coming off on money transmitters that blatantly violate the Bank Secrecy Act. Will the MSB fines reach the level of penalties that are now levied upon financial institutions?

This week, the countries involved finalised their plans to create a bank based upon their summit, known as the Bolivarian Alternative for the Nations of Our America, better known by its Spanish-language acronym, ALBA. This multinational NGO, spearheaded by Venezuelan President Hugo Chavez Frias, has asked its members, Cuba, Bolivia, Nicaragua, Venezuela and Dominica, to withdraw their international reserve funds from US banks, and deposit them with Banco del ALBA (ALBA Bank), so that an alternative international funding source can operate within Latin America. The problem is, one of the members is OFAC blacklisted by the US Treasury Department. How can you deal with ALBA and avoid an OFAC designation yourself?

The US District Court in New York has denied an investment company the right to recover the $10.7m paid upon maturity, for a life insurance policy, because the immediate assignment to it, after purchase by the insured, constituted an unlawful transaction. These so-called stranger-owned life insurance policies, purchased solely for resale forthwith, and where the policy owner has an interest in the early demise of the insured, are void as against public policy. The family of the deceased, whose trust received the maturity payment, rather than the STOLI investment firm, argued that his immediate sale of the policy to it constituted a prohibited wager policy. The insured, a retired butcher, died five days after taking out the policy, and clearly could never have afforded the $572,000 annual premium required. He did receive $300,000 for selling his policy right after he had purchased it.