Discussion in 'The Howard Stern Show' started by MutteringJohn, May 2, 2015.
"structuring" is high on the govt's list of terrorist money laundering criminal offenses. all my co-workers have to take a class each year about such things, how to recognize them and when to report them (i.e. always). according to the gov it is the chief way money is funneled to terrorist organizations.
The only thing that convenience store owner has been terrorizing is bass down at the local fishing pond.
the assumption of the law is that you deposit lots of small amounts within a period of time to avoid the reporting requirements for $10k deposits. why you are doing it, does not matter: it is assumed you are funding terrorist activities and then you have to prove you are not.
the current laws say that this is usually done to fund criminal activities without triggering the reporting requirements, but now the govt assumes that if the bank does not go further to detect questionable transaction patterns, then the bank is also culpable for the crimes. all banks now maintain files on their customers that include their deposit and withdrawal patterns. if a customer starts depositing in a way that does not fit the established pattern the bank has to report it to protect the bank. this guy's practice of depositing lots of small amounts within the month probably triggered the bank's detection system. now he has to prove he was innocent in order to get his money back.
notice how this process is structured to avoid the innocent until proven guilty requirements? thank the patriot act and the DHS for this anti-democratic legal process.
This is fucking HORSE SHIT. God damn this story makes my blood boil, even worse than these riots.
Now ya see it now ya dont.
its the pattern that matters. all transactions are recorded and data mined for patterns. if you make multiple $9k transactions they will be noticed. if you continue to make transactions that do not exceed the 10k but appear to be consistently under it and totaling more than it during a period of time, it will raise a flag. if you make multiple transactions at different banks, it will be pattern matched as all the banks regularly report and combine their data. that is probably how that guy got fingered: his deposits matched a known pattern consistent with structuring.
in general i think the safest way to make money transactions now is to do everything completely transparently and innocently. if you look like you are trying to hide things, even if you are just paranoid and not doing anything illegal you run the risk of matching a pattern of suspicious behaviors like that guy probably did. you want to match the pattern of someone not trying to pull a fast one, and the best way to do that is to not try to pull a fast one.
if the bank does not watch for it and report it, they are subject to big fines and criminal prosecution for the bank officers. all financial institutions do this now: they call it regulatory and compliance. all employees, even those not involved with the money (I am also expected to watch for this, and I have no direct or indirect involvement with funds) are instructed to watch for the different kinds of money laundering. structuring is just one of them.
So if I wanted to deposit 20K in the bank. It would be better to do it in a lump sum, rather than in 5K increments? That's nuts, because it was always the opposite. Anything over 10K would trigger a red flag
If you make it look like a pattern it will drop a flag and be marked for further attention. If you just deposit it it will be reported but no pattern will match.
Wont they wanna take a tax clip out of it?
you don't owe taxes on deposits, only on income. If you make pattern deposits the will suspect it is dirty. If you do things innocently and transparently they will not think it is suspicious.