NCJ Number
133289
Journal
Inter-American Law Review Volume: 21 Issue: 3 Dated: (Summer 1990) Pages: 637-677
Date Published
1990
Length
41 pages
Annotation
The Federal law requiring the reporting of certain cash transactions to the government is discussed in terms of its congressional intent, implementing regulations, administrative and legal obstacles that hampered initial enforcement efforts, emergence as a major mechanism for addressing drug law offenses, and amendments.
Abstract
The Bank Records and Foreign Transactions Act of 1970 aimed to combat money laundering through the use of secret foreign bank accounts by organized crime. It requires banks to file reports regarding cash transactions of $10,000 or more, except in certain situations. During the first half of the 1980's, the law became increasingly used in drug law enforcement. However, the 1984 amendments did not address the emerging practice of structuring which entailed splitting currency transactions to avoid the reporting requirements. In recent years, law enforcement efforts under this law and the Money Laundering Control Act of 1986 have resulted in successful prosecutions of major money laundering syndicated. However further improvements are needed to address such issues as front companies, wire transfers, currency smuggling, and the use of laundered proceeds beyond the jurisdictions of United States courts. 326 footnotes