U.S. DOJ Was Investigating Signature Bank's Work With Crypto Clients: Bloomberg

The U.S. Department of Justice in Washington and Manhattan were investigating possible lax monitoring at Signature Bank to prevent money laundering, Bloomberg reported Wednesday, citing people familiar with the matter.

The U.S. Securities and Exchange Commission was also looking at the bank, the people said.

New York-based Signature Bank, which has a number of crypto clients, was shut down on March 12 by state regulators, the Federal Reserve announced at the time.

READ MORE: Crypto-Friendly Signature Bank Shut Down by State Regulators

The DOJ was watching new accounts and looking for signs of criminal activity in transactions, the people told Bloomberg.

Spokespeople for the Federal Deposit Insurance Corp. (FDIC), DOJ, the U.S. Attorney's Office in Manhattan and the SEC declined to comment to Bloomberg.