Due Process of Structuring Cases by minoreb

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I did my presentation on the Due Process of Structuring in the United States.

Due Process of Structuring Cases

Published on Apr 23, 2017

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PRESENTATION OUTLINE

Due Process of Structuring Cases

Eleanor Minor

I did my presentation on the Due Process of Structuring in the United States.

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Let's play a GAme

To get started we are going to play a quick game to demonstrate what structuring is. Can I have a volunteer? *Pass envelopes out* Have the volunteer select five people. Have the five people stand up and show the amounts in their envelope. Each amount represents a transaction. Since all of these amounts are under $10,000 the IRS has probable cause to seize the contents in the bank account.

What is structuring?

Structuring is withdrawing or depositing legal or illegal funds in increments less than $10,000 to evade Government Officials (IRS).

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History

1970: Bank Secrecy Act
1984: CTR amount increased from $5,000 to $10,000
1986: Money Laundering Control Act
1992: Suspicious Activity Reports
2001: USA PATRIOT Act

In 1970, the government decided actions needed to take place to decrease illegal money, therefore, the Bank Secrecy Act was enacted. The BSA basically made it to if the bank had a customer withdraw or deposit money over $5,000 a Currency Transaction Report had to be filed. A CTR limited access to funds immediately and the funds were analyzed to ensure it came from legal sources. In 1984 the limit was increased to $10,000, and in 1986 the Money Laundering Control Act was passed. The Money Laundering Control Act is the piece of legislation that made structuring transactions illegal, and made the banks cooperate with filing reports. In 1992, the government decided to work more with the banks and requested they file Suspicious Activity Reports. An SAR can be filed without a person knowing and is sent and saved in a database. In 2016 there were 700,000 SAR's filed. In 2001, the USA PATRIOT act increased security for those trying to open a bank account. The government does not want terrorists, drug dealers, etc. to have access to the financial institutions so created this act to make it more difficult.

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IRS' Role

Financial Crimes Enforcement Network (FinCEN)
Seizure Warrant
Civil Forfeiture Reform Act 2000
Treasury Forfeiture Fund

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cash over drugs

A former New York City police commissioner explained that police often set up roadblocks on the southbound lanes of I-95, which carry the cash used to make drug buys, rather than the northbound lanes, which carry the drugs, because “seized cash will end up forfeited to the police department, while seized drugs can only be destroyed.”

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Clyde's Armory - Rule #2 and #1

$10,000 Insurance Policy
2012 Gun Laws Change
IRS Seized $940,313
Forfeited $50,000
Failure to make laws to protect legitimate business reasons

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Quran Family - Rule #4

Bought a Convenient Store
Need for Cash - Lottery tickets, cashing checks
Consent to Forfeiture

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The Sowers - Rule #6

Bank Employee Requested the Transactions made to be under $10,000
Bank Employee did not have any consequences, but the Sowers' account had been seized.

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