federal reserve banks handles the money in the us government.
federal reserve banks handles the money in the us government.
who handles the money in the us government?
federal reserve banks
over a period of almost six years, china's zte corporation obtained us-origin items, including controlled dual-use goods, incorporated the items into zte equipment and shipped the equipment to customers in iran. zte engaged in this conduct knowing that such shipments to iran were illegal. zte further lied to federal investigators during the course of the investigation when it insisted, through outside and in-house counsel, that the company had stopped sending u.s.-origin items to iran. while the investigation was ongoing, zte resumed its business with iran and shipped millions of dollars’ worth of us items there.  zte also created an elaborate scheme to hide the data related to these transactions from a forensic accounting firm hired by defense counsel to conduct a review of zte's transactions with sanctioned countries. it did so knowing that the information provided to the forensic accounting firm would be reported to the us government by outside counsel. outside counsel was not aware of this scheme and indeed was wholly unaware that zte had resumed business with iran. after zte informed its counsel of the scheme, counsel reported – with permission from zte – the conduct to the us government. uncovered in the investigation were two zte corporate documents entitled “report regarding comprehensive reorganization and the standardization of the company export control related matters” and “proposal for import and export control risk avoidance.”  these documents outline a zte-developed scheme to violate u.s. export control laws by establishing, controlling, and using a series of “detached” (e.g., shell or front) companies to illicitly reexport controlled items to sanctioned countries without authorization. zte agreed to enter a guilty plea and to pay a $430,488,798 penalty to the u.s., and simultaneously reached settlement agreements with bis and the us department of the treasury's office of foreign assets control. in total zte agreed to pay the us government $892,360,064. bis originally suspended an additional $300,000,000, which would be reinstated if zte were to violate its settlement agreement. on april 15, 2018, bis activated the suspended denial order against zte in response to zte falsely informing the us government that it would or had disciplined numerous employees responsible for the violations, when in fact zte had rewarded that illegal activity with bonuses.  under this agreement, zte paid $1 billion and placed an additional $400 million in suspended penalty money in escrow before bis removed zte from the denied persons list. these penalties are in addition to the $892 million in penalties under the march 2017 settlement agreement.
office of export enforcement
in december 1941 the us government confiscated the "kungsholm" while she was in new york. after negotiations with the swedish american line, the company agreed to sell the ship to the war shipping administration (wsa) for $6 million which renamed the ship "john ericsson" for operation under wsa contract by united states lines with allocation first to the state department and then in january 1942 to army troop transportation until 1945 when she was laid up. the "drottningholm" meanwhile was chartered by the us government 4 march 1942 for use as a repatriation vessel, to exchange official personnel between the united states and the axis powers. as sweden was a neutral country during the war, the swedish-flagged ship could be used to transport passengers between the warring nations, under the command of sea captain john nordlander. the "drottningsholm" made two exchange trips for the us government, after which she was chartered for similar use by the british government. in june 1942 the "gripsholm" was also chartered to the us government for the same use as the "drottningholm". for this purpose the "gripsholm" was managed by the american export lines but kept her original swedish crew and flag. unlike the "drottningholm", the "gripsholm" was chartered to the us government until 1946. together the "drottningholm" and "gripsholm" made a total of 33 repatriation voyages during the war.
swedish american line