June 1, 2020

Money laundering and drug cartels scholar pleads guilty to money laundering

On June 1, 2020 in the United States District Court for the Southern District of New York, Bruce M. Bagley pleaded guilty to two counts of money laundering in violation of 18 USC §1956(a)(3)(B).  Bagley is a former university professor who has published several works on drug trafficking cartels and money laundering, and has been a consultant to the US Departments of State, Defense, and Justice, the Federal Bureau of Investigation, the United Nations Development Program, and the governments of several Latin American countries.

Bagley was indicted in October 2019, on allegations that he participated in a conspiracy to launder the proceeds of a Venezuelan bribery and corruption scheme, and received, as part of the money laundering scheme, fourteen deposits from bank accounts in Switzerland and the United Arab Emirates totaling approximately $3 million.  The indictment alleges that Bagley retained a portion of each funds transfer for his own benefit, and entered into sham contracts purporting to justify the transfers.

In conjunction with the guilty plea, Bagley consented to the entry of a forfeiture order in the amount of $474,000, representing the property involved in the offenses.  The government agreed to accept $232,000 in full satisfaction of the money judgment.  No date has been set for sentencing.

Consent Preliminary Order of Forfeiture | Indictment