Thread Options 
|
#88020 - 06/16/03 06:27 PM
Re: SARs (working with law enforcement & drug activity)
|
Gold Star
Joined: May 2003
Posts: 298
Pacific Northwest
|
You can file a SAR on just about anything. All you need is suspicion of something. In this case you could claim suspicion of money laundering for a drug operation. You may not be required to file an SAR in this case, but it wouldn't hurt you to do so--in fact it may help cover your bases if something does come of this situation.
As far as law enforcement is concerned, it may be a good idea to contact them and inquire as to what they want to do. So long as you don't disclose any information about the customer, and just tell them the nature of the transaction, there is no risk of violating privacy.
_________________________
Everyone has to make a living, mine just happens to involve thumbscrews.
|
|
Return to Top
|
|
|
|
|
#88021 - 06/16/03 11:47 PM
Re: SARs (working with law enforcement & drug activity)
|
Platinum Poster
Joined: Jan 2003
Posts: 580
|
Quote:
How close do you work with local law enforcement before you file a SAR? Does this violate the privacy laws? Can we file a SAR for suspected drug activity? We have a teller who received cash that has a very strong odor of marijuana. Thanks for your input.
So, is it a crime to deposit currency that has a strong odor? How much money is involved? Perhaps the currency was payment for work performed - who knows, but contacting the police seems like not a good plan - I'm wondering if anyone actually files a SAR when money smells strange. Of course, lots of money results in a CTR anyway. I'd vote not to file anything and no contact with the police, other than perhaps, as suggested above, a general discussion of related topics.
Let's say you inform the police, giving details, and they contact the customer and the customer stops by the talk to you or calls the local paper. Is that something you would like to handle?
|
|
Return to Top
|
|
|
|
|
#88022 - 06/17/03 02:17 PM
Re: SARs (working with law enforcement & drug activity)
|
10K Club
Joined: Nov 2000
Posts: 18,762
Central City, NE
|
Quote:
So, is it a crime to deposit currency that has a strong odor?
Of course not. You know that you are twisting the question. U.S. Currency was designed to absorb odors for the exact reason that Amanda brought up. It would be a big clue to me.
Quote:
I'd vote not to file anything and no contact with the police, other than perhaps, as suggested above, a general discussion of related topics.
Let's say you inform the police, giving details, and they contact the customer and the customer stops by the talk to you or calls the local paper. Is that something you would like to handle?
With that logic, I had better NEVER file a SAR.
"Gosh, what if the customer finds out? I'd better not file a CTR/SAR because the customer might find out."
Ever heard of the safe harbor clause?
Amanda: What you bring up is not clearly defined in the SAR instructions. I'm all for getting the drugs and the druggers off of the street. If you think that this customer is involved in anything illegal you should contact law enforcement. Before you file a SAR, don't give any specifics away. If you then feel like more info is needed to be given, file the SAR. This will grant you a safe harbor from liability.
|
|
Return to Top
|
|
|
|
|
#88023 - 06/17/03 02:42 PM
Re: SARs (working with law enforcement & drug activity)
|
10K Club
Joined: Oct 2000
Posts: 27,750
On the Net
|
David's point requires more emphasis. You don't contact LE before the SAR is filed or privacy and confidentiality in the system will be violated and the bank may actually have liability. You file the SAR, copy LE if desired and let them see what prompted this. If they want more, like what has happened since then, proper procedures in the legal system are needed. This protects you. And in today's environment, you need this.
_________________________
AndyZ CRCM
My opinions are not necessarily my employers.
R+R-R=R+R
Rules and Regs minus Relationships equals Resentment and Rebellion. John Maxwell
|
|
Return to Top
|
|
|
|
|
#88026 - 06/18/03 06:39 AM
Re: SARs (working with law enforcement & drug activity)
|
Anonymous
Unregistered
|
I've heard that banks near the Mexican border file SAR's if money smells like gasoline. Anyone want to guess why?
|
|
Return to Top
|
|
|
|
|
#88027 - 06/18/03 12:03 PM
Re: SARs (working with law enforcement & drug activity)
|
10K Club
Joined: Dec 2002
Posts: 40,766
Turnpike Exit 10
|
OK, I'll bite, is it because they were smuggling it in via the gas tank? 
I would file the SAR, you are protected under the safe harbor provisions. And gee, to me money that smells like dope of one form or another is suspicious.
_________________________
Get your facts first, then you can distort them as you please. - Mark Twain
|
|
Return to Top
|
|
|
|
|
#88028 - 06/18/03 02:16 PM
Re: SARs (working with law enforcement & drug activity)
|
Platinum Poster
Joined: Mar 2002
Posts: 942
Kentucky
|
I agree. We also filed a SAR because a customer's money smelled like marijuana.
_________________________
Opinions expressed are mine and not necessarily that of my employer.
|
|
Return to Top
|
|
|
|
#88029 - 06/18/03 03:21 PM
Re: SARs (working with law enforcement & drug acti
|
Diamond Poster
Joined: Jan 2003
Posts: 1,454
metsuretsu
|
Quote:
Quote:
I'm wondering if anyone actually files a SAR when money smells strange.
I did, and it's the only SAR I've ever got a call back on. I did not call local LE prior to that. They visited the customer and found a growing operation. Gave us a nice thank you.
I haven't had to deal with this issue, but I would definitely file the SAR. I consider the "strong" smell of an illegal substance to be cause for suspicion that a law is being broken.
_________________________
I have many opinions; some are good, some are bad, and some don't contradict.
|
|
Return to Top
|
|
|
|
|
#88030 - 06/18/03 03:27 PM
Re: SARs (working with law enforcement & drug activity)
|
Platinum Poster
Joined: Jan 2003
Posts: 580
|
Quote:
I agree. We also filed a SAR because a customer's money smelled like marijuana.
Did you also contact the local police?
|
|
Return to Top
|
|
|
|
|
#88031 - 06/18/03 03:28 PM
Re: SARs (working with law enforcement & drug acti
|
Platinum Poster
Joined: Jan 2003
Posts: 580
|
Quote:
I haven't had to deal with this issue, but I would definitely file the SAR. I consider the "strong" smell of an illegal substance to be cause for suspicion that a law is being broken.
Would you also contact the local police?
|
|
Return to Top
|
|
|
|
|
#88032 - 06/18/03 03:29 PM
Re: SARs (working with law enforcement & drug activity)
|
Platinum Poster
Joined: Jan 2003
Posts: 580
|
Quote:
OK, I'll bite, is it because they were smuggling it in via the gas tank?
I would file the SAR, you are protected under the safe harbor provisions. And gee, to me money that smells like dope of one form or another is suspicious.
Would you contact the local police?
|
|
Return to Top
|
|
|
|
|
#88033 - 06/18/03 04:07 PM
Re: SARs (working with law enforcement & drug activity)
|
Diamond Poster
Joined: Sep 2002
Posts: 1,117
On the road...
|
If I filed a SAR and then contacted the FBI... I can only give them information about the suspicous activity. If they want copies of anything... such as copies of checks, names, phone numbers, etc... do they need a subpoena?
_________________________
Michelle CRCM
"What would you attempt to do if you knew you could not fail?" ~ unknown
|
|
Return to Top
|
|
|
|
|
#88036 - 06/18/03 06:13 PM
Re: SARs (working with law enforcement & drug activity)
|
Platinum Poster
Joined: Jan 2003
Posts: 580
|
Quote:
I'll just wait for the law enforcement to contact me. Why does the SAR have an area to fill out asking if law enforcement has been contacted, if it is not such a good idea to for liability with the privacy laws...
Amanda B:
Good plan. Contact with law enforcement covers, for example, insider abuse scenarios - a SAR is required, but you also need to consider beginning the process, starting with the local police or FBI to recover funds or to deal with the abusing entity. Your bonding company would want you to take action and, of course, they would also be contacted when real abuse is involved which naturally relates to a financial loss to the bank.
|
|
Return to Top
|
|
|
|
#88037 - 06/18/03 10:19 PM
Re: SARs (working with law enforcement & drug activity)
|
Anonymous
Unregistered
|
I guess my concern is that so many of you know what marijuana smells like.
|
|
Return to Top
|
|
|
|
|
#88039 - 06/19/03 04:09 AM
Re: SARs (working with law enforcement & drug activity)
|
Power Poster
Joined: Nov 2001
Posts: 6,719
PA
|
Quote:
Why does the SAR have an area to fill out asking if law enforcement has been contacted, if it is not such a good idea to for liability with the privacy laws...
Like Ipso said, there are SARable circumstances where you will want to contact law enforcement. More often than not, you would do this in a situation where the bank has suffered a loss. Generally speaking, if you're the victim then you need not concern yourself with the perpetrator's privacy.
Another scenario in which you may use this section of the SAR is when an investigation (local police, IRS, etc.) of one of your customers leads you to discover SARworthy activity. When you complete the SAR, it is beneficial to note the agency conducting the investigation.
|
|
Return to Top
|
|
|
|
|
#88042 - 06/19/03 04:00 PM
Re: SARs (working with law enforcement & drug activity)
|
Platinum Poster
Joined: Jan 2003
Posts: 580
|
|
|
Return to Top
|
|
|
|
|
|
I don't know what it smells like. I understand that your teller does. Not me, no, no, no. 
Previous Thread
Index