Investigation Launched: What's Happening to Jack Dorsey's Block Company?
Date: 2024-05-02 Author: Henry Casey Categories: IN WORLD
The media are reporting that an investigation has begun into the activities of Block, a company founded by famous entrepreneur Jack Dorsey. The US Attorney's Office took an interest in two key divisions of the company: Cash App and Square.
Suspicions and Violations
Federal prosecutors suspect Block of violating sanctions and failing to comply with regulatory requirements. According to the data, the firm could process transactions related to sanctioned countries and terrorist groups.
The audit began after former employees of the company told US authorities about problems within the company. They claim that Block may have processed thousands of suspicious transactions without notifying the relevant authorities.
Internal documents
Former employees handed over to prosecutors about a hundred pages of internal documents from Jack Dorsey's company. These materials indicate continued violations even after they were identified by company management.
Block representatives deny the accusations and say that the company did not violate the sanctions regime. The firm's legal team is working on this matter and taking appropriate action in response to the investigation.
Despite the current allegations, Jack Dorsey's Block announced revenue of $2.02 billion in the fourth quarter of 2023.
