Update...Bank Security Act..."Death Penalty Law"
As if we didn't have enough to think about with suspicious transactions, filing CTR's, filling out Criminal Referral Forms and training for bank secrecy, and money laundering, there has now been a new law sent to the U.S. Congress for action.
This legislation, introduced by Representative Frank Annunzio from Illinois, has been dubbed the "Death Penalty," for financial institutions!
The essence of the law is this: If a federally-chartered financial institution is convicted of money laundering, the regulators MUST revoke the institution's charter and close it down. If the institution is state-chartered its insurance will be terminated.
In 1988, there were 679 prosecutions and 319 convictions of money laundering under Titles 31 & 18. This means that instead of just being fined, and/or bankers being sentenced to jail, some financial institutions would now be closed.
It is time for us all to become involved!
The people in the executive offices of our institutions have been writing and calling lawmakers for many months, trying to slow down some of the unreasonable banking legislation and regulations coming out of Washington.
But it is time for EVERY employee in the banking industry to become involved-not just the people in our front offices. Every employee in the banking industry needs to be concerned.
The future of the industry, and your job, are all being affected by legislation enacted by Congress.
Find out where the person YOU voted for last time stands on banking issues?and let them know how you feel!
We don't need "Death Penalty" legislation making our lives even more difficult and complicated. We want to catch money launderers and drug pushers as much as Congress does. But this is really a >
Copyright © 1990 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 1, No. 3, 3/90
First published on 03/01/1990