Treasury Secretary Scott Bessent announced Friday that his department is tightening international bank reporting rules for two Minnesota counties to fight what he called “egregious unchecked fraud” involving ill-gotten government benefits flowing to Somalia and other countries.
The Treasury’s Financial Crimes Enforcement Network will now require banks in Hennepin and Ramsey counties — which encompass Minneapolis and St. Paul — to report overseas transfers exceeding $3,000, down from the standard $10,000 reporting limit.
“This will put a microscope on these businesses, advance prosecutions and assist in the recovery of funds laundered internationally,” Bessent said.
“Fraudsters in Minnesota stole at least $300 million meant for children in need. We must prevent fraud of this scale from occurring in the future.”
The Treasury secretary added that “Minnesota is going to be the genesis for a national rollout” for tracking fraud — noting a similar mechanism was used along the southern border to trace Mexican drug cartel funds.
Bessent blamed the situation on “the incompetence and recalcitrance of Governor [Tim] Walz.”
