#418: How The Government Set Up A Fake Bank To Launder Drug Money




Planet Money show

Summary: <p>One day in the early 1990s, a man walked into the U.S. embassy in Ecuador. He said he had information somebody would want to hear — information on how to go after some of the most powerful drug traffickers in the world.</p><p>The man worked as a money changer. He said he was getting a lot of requests from traffickers who had a problem: They had so much cash that they didn't know what to do with it. They couldn't figure out how to launder their money.</p><p>What they needed was an offshore bank to help them. On today's show, we hear how two U.S. agents — one IRS, one DEA — created a fake offshore bank to catch drug traffickers.</p>