COMPLIANCE
This is not as difficult a question to answer as it might initially appear . AML / BSA information and intelligence are not standalone . Add open source , emails , texts and social media to traditional LE database checks and you should have a good idea if the activity is indicative of a minor infraction or a lifestyle of aberrant behavior . Most SAR review teams were formulated to address the proactive use of AML / BSA information and intelligence , but the emerging tech-enhanced aspect of monitoring is better suited for reactive purposes . Other crimes or investigations precede or accompany it . The scofflaw violation brings clarity or validation of a culprit ’ s willingness or propensity to engage in aberrant or criminal behavior .
To the concern and even disapproval of many , the equivalent technology in many new vehicles is a “ black box ” like those commonly found on airplanes ― a device that records crucial information in the event that something unfortunate should happen . In major highway accidents , this recorded information can include the speed at which the vehicle involved was traveling , which raises questions of recklessness overriding the outward appearance of a right of way . AML / BSA monitoring can similarly provide information on times , places and circumstances that can either corroborate or contradict questionable claims , assertions or alibies . The amounts involved can be quite small , but what they indicate can be invaluable evidence . A swipe for less than $ 20 for shipping can connect a subject to a package full of contraband . On both the actual and financial highways , our perceived rights to privacy when it comes to our driving and spending habits become threatened when these habits can be used against us .
The “ book ” on the use and availability of this advanced financial evidence and intelligence is , at best , a work in progress . The primary and prevailing criminal investigative methods used throughout LE are woefully behind in assimilating technology . As opposed to “ the way we have always done it ,” we are now in an era of not knowing what technological advances will enable us to do . In the example of speeding , there is a defined violation under consideration . With AML / BSA reporting , the violations are often less defined and subject to additional relevance considerations . Transactions alone only become illegal or suspicious when other information , evidence or context is connected to them .
It is illegal to deposit currency known to be earned from specified unlawful activities . A person is committing a crime by knowingly trying to cash a check that is forged , altered or has insufficient funds behind it . It is not illegal , however , for an elderly person to conduct a transaction at a gas station crypto ATM . An individual is legally allowed to buy numerous gift cards at a drug store . A person is allowed to keep a cash hoard that well exceeds $ 10,000 . Many people regularly wire money to developing countries without breaking any laws . Contractors paying laborers in currency is not inherently illegal . Doctors , lawyers and other licensed professionals are allowed to cash checks at a check-cashing business . Yet , all of these activities , and many others , require that AML / BSA professionals pay attention to them for their monitoring efforts to remain effective .
Conclusion
With the technical advances that have been made in AML / BSA monitoring , we are capable of more easily following the money down to the most minimal activities . That provides further proof and validation that following the money is an invaluable investigative strategy . It does present new challenges , however . Nickel-and-dime transactions can now expose transgressions that challenge expectations of privacy . The detailed financials are a virtual black box of lives . As opposed to the prevailing belief throughout much of the investigative community , these emerging financial investigative vulnerabilities are more often found in lower-dollar transactions than larger ones . Given limited investigative resources , a major challenge for investigators will be finding when and where seemingly minor offenses might be indicative of serious criminal activity and therefore worth the investigation investment .
Steve Gurdak , CAMS , manager , Washington Baltimore HIDTA , Northern Virginia Financial Initiative ( NVFI ), VA , USA , sgurdak @ wb . hidta . org
Disclaimer : The views expressed are solely those of the author and are not meant to represent the opinions of the W / B HIDTA .
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