Goldwater Bank Forfeits Money in Online Gambling Case
By Scott Carlson, Rakeback.com Staff Writer
In an update to an article we brought to you last week, Goldwater Bank has forfeited $733,804 to the US Government. The forfeited funds amount to clearing service fees earned from Allied Wallet Inc. Owner of Allied Wallet Inc. and Allies Systems Inc., Ahmad Khawaja, agreed last month to forfeit $13.3 million to resolve claims his companies processed online gambling transactions.
The deal was made with the Justice Department along with the Troubled Asset Relief Program (TARP), which invested in banks in the midst of the financial crisis in the United States recently.
In agreeing to the forfeiture the bank denied knowing the transactions were for online gambling purposes. The bank agreed to additional safeguards to prevent future occurrences.