Trump Taj Mahal Associates LLC has agreed to a $10 million civil penalty assessed by the US Treasury Department’s Financial Crimes Enforcement Network. The parent company of the struggling Atlantic City, New Jersey casino, Trump Taj Mahal admits to willfully violating its reporting and record-keeping requirements under the federal Bank Secrecy Act from 2010 to 2012. The penalty will take the form of an unsecured claim in the casino’s bankruptcy.
What the agreement means is that, if approved by the court, the company will probably only be required to pay out less than $50,000 for the violations. Other violations may go back as far as 2003. Unsecured creditors rarely can be expected to recieve more than a small percentage of claims filed.
It was alleged that Trump Taj Mahal filed only about half of the required reports of suspicious transactions of $5,000 or larger during time periods examined in two IRS reviews recently.
The current bankruptcy reorganization plan would allow the Trump Taj Mahal to remain open.