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Check Cashing Worker Convicted of Money Laundering
In May 2000, a federal jury convicted an individual from Norwood, Massachusetts, on two counts of money laundering believed to be the proceeds of narcotic sales. At the time of the offense, the individual worked at a Brockton, Massachusetts check cashing business. In May 1998, an undercover Massachusetts State Trooper, posing as a drug dealer, met with the individual at his place of employment. Using false identification documents and fictitious names, the individual transmitted $18,000 of purported drug proceeds from Brockton to Miami, Florida, where the funds were picked up five days later. A fee of $738 was charged for conducting the transaction. In June 1998, the individual conducted a second money laundering transaction in the amount of $33,000 on behalf of the undercover trooper.
A federal/state task force initiated this investigation. The Massachusetts State Police, Intelligence Unit conducted research on BSA reports relating to the employee of the check cashing business. This research identified 171 CTRs, five CTRCs, two CMIRs and one SAR. The information helped to identify assets, locate bank accounts and was useful in the entire scope of the investigation and prosecution process.
[Published in The SAR Activity Review – Trends, Tips & Issues, Issue 3, October 2001]