Question & Answer

Question: We've been able to run reports for over $10,000 activity on accounts that are related for some time. And we've had someone reviewing the reports for aggregate amounts of over $10,000 each day. But, unfortunately, the person responsible for the review misunderstood the instructions. We've now discovered a good number of aggregated amounts that should have had CTRs filed, but they weren't. We've filled out the missing forms, and have looked them over carefully. These are routine "over $10,000" forms - there is nothing suspicious about any of the deposits. Are we in deep trouble? Do you have any suggestions?

Answer: Believe me, you aren't the first with that problem! You have a couple of really important things going for you. First, you found the mistake yourself, and second, you're about to correct it. When we first raised the question of late CTR filing with FinCEN, a very senior representative there told us they might assess a fine in case of NOT filing, but they have not, to date, ever fined for late-filing. FinCEN at that time suggested that you send the late forms all at the same time to Detroit, with a cover letter explaining why they are late. And make sure your examiner knows you have corrected the error yourself. You should find them pretty reasonable, especially in light of the fact there was nothing suspicious noted.

Copyright © 1998 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 8, No. 7, 7/98