A Chichester man has been indicted by a federal grand jury on the charge of Operating an Unlicensed Money Transmitting Business. The business moved over $25 million, according to U.S. Attorney Erin Creegan.
Ramzi Al-Shawafi, who is 47-years-old, is slated to appear in federal court on Sept. 16.
The indictment describes his money-operating business as a “hawala,” which is “a money remittance system that originated in South Asia and is conducted by brokers known as ‘hawaladars.’”
“A hawala is a type of informal money transfer system that uses a network of agents to transfer money across international borders without using the banking system, typically to circumvent banking laws and regulations,” according to a statement from the U.S. Department of Justice. In this system, money is transferred without any physical movement.
Al-Shawafi is accused of having transferred money between Yemen and the U.S. through his hawala from 2022 to 2026. The indictment states that he held dozens of bank accounts “across multiple financial institutions in his name and his business entities,” including Razl Trading, RA Broker Wholesale, Bristol Village Store, Cannan Enterprise and Moro Enterprice.
Through these accounts, he transferred more than $25 million to Yemen, the indictment states. He could face up to five years in prison with up to three years of supervised release and a potential $250,000 fine.
“The indictment details contained in the charging documents are allegations,” the U.S. Attorney’s Office stated. “The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.”
