Posted By: chuckchuck
Misuse of IOLTA- SAR? - 01/14/20 03:29 PM
We have a customer who used to be a sole practitioner, he has since gone out of business, but continues to use his IOLTA account as his personal account. His former operating account is closed, but his IOLTA did not. At this stage he is working for another firm and is running his own personal payroll through his IOLTA and then just takes it out in cash. The cash is not structured or high dollar amounts.
Is this a SAR worthy infraction? Initially all the cash leaving was suspicious but we have figured out what he is doing.
It's not the intent an IOLTA was used for but I am not sure it's suspicious and/or illegal.
It is violating our states' BAR regulations, but other than that? I would like some feedback on how others would handle this one.
Thanks,
Is this a SAR worthy infraction? Initially all the cash leaving was suspicious but we have figured out what he is doing.
It's not the intent an IOLTA was used for but I am not sure it's suspicious and/or illegal.
It is violating our states' BAR regulations, but other than that? I would like some feedback on how others would handle this one.
Thanks,