interesting... opening merchant accounts under shell companies to process transactions for something completely different than what your merchant application says is a felony, yes? lots of shady operations used to do this back in the day until they started cracking down on it
Thats not what he said! He only said mention something different to the BANK when opening an account. Nothing shady about that, lots of companies are doing that including myself. Most banks even advice companies to make a global description about your company to avoid problems. For example they dont like adult companies so most of those companies open an account saying they have an internet company. It isnt a lie, its just not specific!
Secondly he doesnt say the merchant account is from the same bank. Most of the times merchant accounts are provided online through secondary parties and secondary banks...For example most banks in Holland dont even have a merchant department because nobody uses creditcards here only when they are forced when for example they go on holiday and need to book a hotel. 90% of europeans doesnt have or doesnt use a creditcard!