Virginia-owned bank reportedly flagged Spitzer’s financial transactions
- March 12, 2008
by Paula C. Squires
The Wall Street Journal and The Washington Post reported today that a Capital One-owned North Fork Bank, used by New York Gov. Eliot Spitzer, flagged his financial transactions and notified the U. S. Treasury Department’s financial crimes network about suspicious activity in one of the governor’s personal accounts. The Journal reported that Spitzer’s wire transfers, allegedly to pay for the services of prostitutes, were disclosed by the bank in keeping with requirements that national banks use due diligence with high-risk clients, also known as politically exposed persons.
Capital One Financial Corp., based in McLean, paid $14.6 billion for North Fork Bancorp in Melville, N.Y. in March 2006. Tatiana Stead, a spokesperson for Capital One, said she could not confirm information about the North Fork bank. “As a matter of policy, we don’t discuss customers or individual account activities,” she said.
Spitzer resigned the governor’s position during a news conference today at 11:45 a.m. The resignation takes effect on Monday, March. 17.