WASHINGTON - In the wake of a Senate investigation that found that several prominent U.S. banks failed to deter money laundering through correspondent accounts, two Senate and House Democrats have introduced legislation that would mandate tighter scrutiny of accounts by the industry.

The measure would let the Treasury Secretary issue informal advisories to U.S. banks about suspicious nations and even prohibit them from operating overseas correspondent accounts with foreign institutions the agency deems to be of "primary money-laundering concern."

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