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#1915900 - 04/18/14 06:31 PM SARS and ACH transactions
Trees Offline
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Has anyone every file a SAR due to ACH transactions (not unauthorized returns percentage)? For example, you are seeing ACH in the range of $9000 on a daily basis daily?

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#1915909 - 04/18/14 06:36 PM Re: SARS and ACH transactions Trees
rlcarey Online
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Suspicious ACH transactions would not be any different than any other type of transaction that is suspicious, so I don't understand your question. Either they are or they are not. Only you can make that determination based on all known facts.
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#1916011 - 04/18/14 09:00 PM Re: SARS and ACH transactions Trees
Trees Offline
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Its a first for us. It appears suspicious because we don't have all parts of the transaction. Therefore, we don't have all the known facts. We were just wondering if others have had similar situations, with ACH, and filed SARS.

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#1916017 - 04/18/14 09:04 PM Re: SARS and ACH transactions Trees
John Burnett Offline
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Trees, my first advice in situations where the bank doesn't have all the facts is always to start asking questions. On first blush the pattern looks like structuring as though the Originator and Receiver think that CTRs are filed on ACH items. But without asking your customer about the series of transactions, any SAR is going to be sheer speculation on your part.
Last edited by John Burnett; 04/18/14 09:05 PM.
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#1916087 - 04/21/14 01:24 PM Re: SARS and ACH transactions Trees
ACBbank Offline
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Trees - Without knowing all of the details, there is no way to opine on this. Is it a large business? Is it a consumer account? Was there cash/wire activity prior to or shortly after the ACH transactions?

As John indicated, reach out to your customer and get some answers.
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#1916144 - 04/21/14 03:30 PM Re: SARS and ACH transactions Trees
LiveFromNYC Offline
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Also you want to determine if the originating bank has any restrictions on ACH transactions. Some banks have an ACH max of $10k per transaction and/or per day. This may force the customer to breakup transactions - giving the appearance of structuring.

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#1916145 - 04/21/14 03:31 PM Re: SARS and ACH transactions Trees
Trees Offline
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I guess a chat is in order. Our problem is that the TPSP may have agreed to structure the credits to the person receiving them. That is the problem dealing with these types of entities. I will have to think this through further.

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#1916218 - 04/21/14 06:42 PM Re: SARS and ACH transactions Trees
HappyGilmore Offline
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Pulling people out of the ditc...
are you the originating or receiving bank in these transactions? And I ask this because if you are the originating, then the TPSP falls under your purview and your contract with them and that is where the conversation should start. If you are the receiving, then a discussion with your customer is in order.

Either way, something brought this to your attention, so I think you have no choiuce at this point except to begin an investigation.
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#1917889 - 04/25/14 08:43 PM Re: SARS and ACH transactions Trees
Trees Offline
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The contact uses the typical language/warranties that they will abide by NACHA, etc laws. We were trying to avoid speaking with the owner as he may well have agreed to the structuring-like transactions.

So, we thought we would reach out to the bank, which is a small credit union in the Midwest. I am not sure where we can find out if this entity has agreed to share info, per 314. I searched FINCEN and could not find the list of institutions. If anyone knows where I may find that, please advise.

Thanks,

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#1917891 - 04/25/14 08:48 PM Re: SARS and ACH transactions Trees
Elwood P. Dowd Offline
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The list is on the secure portion of the FinCEN web site and is only available to registered banks.
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#1918019 - 04/28/14 02:47 PM Re: SARS and ACH transactions Trees
HappyGilmore Offline
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Pulling people out of the ditc...
Trees - you don't want to speak to your customer because he may have agreed to structuring? yikes...that is the first person you need to be speaking to.
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