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U.S. tightens scrutiny of fashion district for money laundering
U.S. tightens scrutiny of fashion district for money laundering

As the first few customers trickled into downtown Los Angeles' fashion district, two stern-looking men in suits carrying leather portfolios strolled into John Hong's wholesale store, which sells women's skinny jeans. The men, who were federal agents, handed the surprised-looking store owner an order with a U.S. Treasury seal. Hong's was one of 2,000 fashion district businesses that were warned Thursday that they face heightened scrutiny by federal authorities who are investigating money laundering by Mexican drug cartels. The move by the U.S. Treasury Department marks one of the largest such actions ever undertaken by federal authorities and is the latest attempt to...

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