Time: Wed Jul 16 19:39:35 1997 by primenet.com (8.8.5/8.8.5) with ESMTP id TAA03609 for [address in tool bar]; Wed, 16 Jul 1997 19:23:26 -0700 (MST) by usr04.primenet.com (8.8.5/8.8.5) with SMTP id TAA13398; Wed, 16 Jul 1997 19:21:39 -0700 (MST) Date: Wed, 16 Jul 1997 19:21:14 -0700 To: (Recipient list suppressed) From: Paul Andrew Mitchell [address in tool bar] Subject: SLS: Bank Secrecy Act (fwd) <snip> > > Harold: > I recently received this shocking information from the Oxford Club. Are > you aware of it? > Ed > > ********* > The Greatest Assault On Your Wealth > > Early in 1997, the latest in a string of government regulations that > target ordinary citizens took effect. Because of this, you could be > liable for serious trouble without any idea you'd done anything. Imagine > this scenario ... > You need to send your brother money for a family emergency. You > walk into your bank and purchase a $3,500 money order, with money from > your savings account. The teller handles your transaction and says > nothing. You drop it in the mail and promptly forget about it. A few > days later, you're arrested; and every penny in your savings account - > your major life savings - is seized. You're convicted of a felony - > failure to file a "currency transaction report" (CTR), IRS Form 4789. > The bank could have done it for you, but under the law it's your > responsibility - and the teller stands to make a fortune if you don't > report it. The teller can collect a reward - up to $150,000! > Make no mistake, this scenario is not only possible - situations > like it are already happening. How can this be? You may not know this, > but under the provisions of the Bank Secrecy Act, a CTR must be filed > with the IRS for any cash transaction involving $10,000 or more. But > that's not all. CTRs must also be filed by anyone purchasing more than > $3,000 in money orders or making transfers among bank accounts in a > series totaling $10,000 or more. > > You Can Become a Felon Merely by Making a Banking Mistake > > Failure to file a CTR is a criminal felony. And to constitute a > crime, there is no requirement that the money be involved in any criminal > activity. It is a crime simply not to report the transaction. Your > bank may file it for you - but they may not. It's not up to them, it's > up to you. Besides, the law also applies to private bankers, brokers, > investment bankers, currency dealers, check cashing firms, credit card > and insurance firms, metals dealers and jewelers, pawnbrokers, loan > companies, travel agencies, money senders (such as Westem Union), auto, > boat, airplane and sales companies, parties to real estate transactions, > casinos, and others. > The penalty? If you were to make such a mistake, you would be > liable to a five-year prison sentence and a $250,000 fine. The law would > allow the Feds to confiscate any funds they alleged to be involved, and > your teller would collect a huge reward. > The laws have made banks liable for not conforming to > regulations requiring them to report these transactions. They must file > "suspicious activity reports" on a wide range of activities that may be > perfectly innocent transactions. > Failure to follow these rules can result in civil fines of up to > $10,000 a day for the bank and prosecution of individual employees > ($250,000 fines and up to five years in prison). If they're found guilty > of "willful blindness," the fines can reach $500,000 and 10 years in > prison. Fed investigators are already conducfing "sting" operations at > selected banks to insure employee compliance. > Welcome to the "free world." But innocent bank transactions > aren't the, only "crime" that enable the Feds to seize your money. > Congress has also criminalized cash and property transactions associated > by law with nearly I 00 other "specified unlawful activities," ranging > from toxic waste dumping and trafficking in food stamps to contraband > cigarettes to violations of the Safe Water Drinking Act and water > pollution. > > Banking with Big Brother > > A lot of people don't know this, but in 1996, using the powers > of the Bank Secrecy Act, the government put into law new "Suspicious > Activity Report" (SAR) regulations. These rules - which affect 23,000 > banks and depository institutions - force bank officers and employees to > act as "cops." Under the rules, they now have a legal duty to report any > individual or cumulative transactions of $5,000 or more which in their > judgment might be suspect. > And besides being liable for penalties if they don't report > these transactions, they have the financial incentives to do so, as I > mentioned before. > > But don't think for one minute you have to be a criminal to get > snared by these > regulations ... > > - In 1993, the government seized all the real and personal business > property of I I auto sales dealerships in the Washington, D.C. area. No > allegations of drug money or tax evasion were involved. The firms had > only neglected to file CTRs on some cash transactions. > > - Police drained $3,912 from the bank account of a woman in California. > Her 30-year- > old son had been arrested on drug-trafficking charges. He had not lived > with her for > more than 10 years, and she was not charged with any crime. > > - A doctor who transferred his life's savings to a friend's new > bank had all his money over $2 million - seized for failing to file CTRs. > Although he later won in court, he is out approximately $317,000 In lost > interest, not to mention his legal fees. > > - In March 1992, the securities and exchange commission froze > all the assets of the national law firm of Kaye, Scholer, Fien-nan, Hays > and Handier, attorneys for the Lincoln Federal Savings and Loan and its > former president Charles Keating, who was convicted of fraud. Unable to > conduct business, the firm settled for $41 million in fines. All of this > was done without any due process of law. > > - In 1994, a New York financier was accused of fraud in one of > many businesses he owned. The government sought forfeiture of his entire > $400 million corporate empire, including an auto dealership, real estate, > a gold mine, and other legitimate enterprises. Never mind the quesfion > of whether it was fair to the businessman, the action was taken with > absolutely no regard for the unsecured rights of numerous creditors owed > millions of dollars. > > It doesn't matter whether you're wealthy or of average income, > an individual or a corporation - the government is targeting the wealth > of its citizens, and you are at risk. > > The Oxford Club believes that your wealth should be secure... > safe from the govemment, and safe from thieves. > <snip> ======================================================================== Paul Andrew Mitchell : Counselor at Law, federal witness B.A., Political Science, UCLA; M.S., Public Administration, U.C. Irvine tel: (520) 320-1514: machine; fax: (520) 320-1256: 24-hour/day-night email: [address in tool bar] : using Eudora Pro 3.0.3 on 586 CPU website: http://www.supremelaw.com : visit the Supreme Law Library now ship to: c/o 2509 N. Campbell, #1776 : this is free speech, at its best Tucson, Arizona state : state zone, not the federal zone Postal Zone 85719/tdc : USPS delays first class w/o this As agents of the Most High, we came here to establish justice. We shall not leave, until our mission is accomplished and justice reigns eternal. ======================================================================== [This text formatted on-screen in Courier 11, non-proportional spacing.]
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