Tether’s New Partner Under Investigation
The facility recently inked a deal with Tether which rescued the struggling USDT stablecoin.
Brazilian Authorities Go After Deltec
Authorities in Brazil are seeking help from the Bahamas regarding a transaction involving Deltec Bank. The facility recently partnered with Tether to supply banking services to the stablecoin USDT.
Reports in the Sao Paulo indicate that the local prosecutor is after Paulo Vieira de Souza who was the head of DERSA, a state run road building company. He is facing charges of bribery in the Odebrecht case that involved different countries.
Vieira is accused of transferring about 25 million dollars to accounts located in the Bahamas under a company registered as Nantes Group. The entity is suspected to have been run by a Swiss bank. De Souza was listed as a beneficiary.
Brazilian authorities believe that Nantes Group received the whole amount moved. Early last year, the laundered amount is said to have been moved to an account registered under Deltec Bank based in Nassau.
The Brazilian authorities have already submitted their request to the Bahamanian government. At the moment, they are awaiting feedback on whether the amount is being held by Deltec. Reports indicate that the two countries have previously worked together to solve such cases.
Recently, Tether announced it had opened an account with Deltec after ending its collaboration with Noble Bank based in Puerto Rico. Crypto exchange platform Bitfinex is believed to have held an account with the bank. The exchange alongside Tether retain the same CEO.
Reports indicated that USDT did not have sufficient backing to sustain its dollar peg. Tether has however turned down any third party audit after its legitimacy was confirmed by the bank.
The deal with Tether was officially confirmed last week. According to tether, it met all the requirements required by Deltec