Hello,

If an attorney comes into the bank and withdraws $13,000 himself out of an IOLTA account, are we required to ask why the withdrawal was made and, if for a client, obtain information for the beneficiary section of the CTR - just as we do deposits over $10,000 in cash into the account?

Likewise, if not for a client is it questionable or suspicious if he says the funds are for him? Are they not required to use checks for tracking purposes for all IOLTA transactions?

Other factors I have going on with this transaction that will warrant a SAR are:
1. His firm is dissolved according to the Sec of State website;
2. He has stated twice he would be in with the client information but now refuses to take the branch's calls

Something is fishy........SAR will be filed and firm account will be closed, but need some help in regards to the CTR question.

Thanks

If his firm has been dissolved and he promised the info twice and didn't provide it, and he won't return your calls, I would file the CTR with just him as beneficiary. That seems the most likely scenario, anyway.

Then I would mention the CTR and his refusal to cooperate in the SAR.

Yes to finding out who the money was for. If it was for a client, you'd technically be required to list them on the CTR with item 2c checked.

That is what I thought but usually this question is for deposits, not debits so it is confusing.......did more research - he primarily does only cash deposits and cash debits --- only one check recently written out of the account and the client was HIS BROTHER !!!

When the subpoena arrives you will have some "splainin' to do.

Place a call to the State agency that governs your IOLTA accounts also.

I think you have "splainin" to do - I am doing all that I should be doing --- CTR, SAR, Account being closed.

So exactly what does your comment mean?

Thanks - didn't think of that step.

Depending on what kind of law he practices, cash deposits to an IOLTA in reasonable amounts would not worry me. We have an attorney who specializes in DUI's, he takes in a lot of cash!

Cash withdrawals, though...no.

Ruling previously know as 89-5 (no connection to Prince). It tells you how to fill out the CTR.

Attorneys write checks on IOLTA accounts, they do not make cash withdrawals because they are required to be able to track client funds.

Just that you should be prepared for questions about this account. Sounds like you will have all the documentation you will need.