in doing routine monitoring of transaction- msb, convenience store- i've noticed the customer has on numerous occasions written a check for cash, in the memo section of the check is written atm, and then deposits it into the same account that it is written on. i'm trying to determine why a business would do this. it's not just a one time error- i noticed several instances. when i get more comfortable in my new role i will not post anonymous! thanks

I'm going to toss a guess into the ring. First, the business has an on-site ATM. Second, the business is responsible for maintaining the cash supply in the ATM. Since a great deal of the C-store's business is cash, it probably is writing a check to replace cash in the cash register, and putting that cash into the ATM. In that way the deposit can still reflect the day's receipts, and less cash has to be schlepped to the bank.

If the business doesn't have an ATM, this explanation obviously won't fly. That's when you have to pull out your detective cap and spyglass and ask the customer straight out what's going on.

If the business has an ATM on site, you should most likely see incoming ACH credits from his ATM sponsoring company relating to the activity in the ATM machine. If the customer has accounts at other banks as well as yours, these transactions might go to one of these other accounts, however.

i sure do appreciate the comments. Thank you!

Do a site visit, chat with the customer.
An effective way to prevent illegal activity in your bank is to gently let the customer know that you are monitoring the activity.
A site visit where you show interest in the business will accomplish this.