Financial Crime World

Former Mongolian Prime Minister’s New York City Apartments Seized by US over Corruption Scheme

In a significant move against financial crime, the United States Department of Justice (DOJ) announced on Friday its intention to seize two luxury apartments in New York City, believed to have been purchased by former Mongolian Prime Minister Miinziin Batbold using proceeds from a corruption scheme.

Alleged Corruption Schemes by Miinziin Batbold

Batbold, who served as Mongolia’s Prime Minister from 2014 to 2016, is alleged to have misappropriated funds during his tenure. According to a statement released by the DOJ in Brooklyn, New York:

“As alleged, former Mongolian Prime Minister Batbold used the profits from his illicit corruption scheme to purchase high-end real estate in violation of United States federal law.”

The seized properties include two multi-million-dollar condominiums in Manhattan’s upscale Chelsea neighborhood. According to the forfeiture complaint, the properties were bought with funds derived from Batbold’s corruption schemes. The United States seeks to forfeit both properties under the Civil Asset Forfeiture Statute.

Corruption Schemes Detailed in the Complaint

Batbold’s corruption schemes, detailed in the complaint, are said to have involved:

  • Bribes
  • Kickbacks
  • Fraudulent contracts

These allegations come after years of investigations by law enforcement agencies in the US and international partners.

Previous US Actions against Corrupt Foreign Officials

This is not the first time that the US has taken action against corrupt foreign officials using its legal system to seize their ill-gotten gains. In recent years, the DOJ has successfully targeted assets belonging to individuals from:

  • Venezuela
  • Ukraine
  • Other countries

Investigating Agency and Ongoing Efforts

The United States Attorney’s Office for the Eastern District of New York is handling the forfeiture action. The investigation was conducted by:

  • The Federal Bureau of Investigation (FBI)
  • The Department of State’s Diplomatic Security Service
  • The Internal Revenue Service – Criminal Investigation Division

This marks a significant development in the ongoing efforts to fight financial crime and corruption, both domestically and internationally. The United States remains committed to holding accountable those who abuse their power and misuse the global financial system.

Key Players

Miinziin Batbold

Former Mongolian Prime Minister (2014-2016).

Richard P. Donoghue

United States Attorney for the Eastern District of New York.