RED FLAG help help please

[mmljr]

i know we have a lot of smart people here hopefully someone with IRS, banking, or a lawyer with insight.

At the end is the second e-mail from my bank about wire transfers from Quicktender requesting additional information.

Let me give some history as I live in the not so great land of the USA


I don’t have a lawyer so I called a local lawyer out of the phone book and he said to delete the e-mail and ignore it, that the wire transfers where perfectly legal just make sure I report them as income, so I deleted the e-mail and waited thinking that this wasn’t going away and today the second e-mail came 26 days later.

I want to respond, but I know once I do the avenues of communication are open and what and how much info will they request. I fear they might ask a follow up to my reply so I want to be ready and put this thing to bed. I don’t want to respond with my lawyer said as that would tune up the heat I’m sure. They haven’t called, but I believe the phone number on record is outdated. If I wait any longer I’m thinking they will send a registered letter via US mail. Or report it to the IRS. I know they are fishing and hoping to find something because they already smell the bait.

The transfer’s total about 16K, one in Febuarary, that was my test and never heard a word from the bank so I assumed all was good, dumb huh! One is over 5K but none over 10K as I heard that someone can gift you money up to 10K and the banks and you do not have to report it as income. I don’t want to pay income on it but if that will make this go away I’ll do it. I was so glad for the win a royal flush for 20K and needed the money to pay down some debt so I transferred it from QT, the transfers where in June a week or so apart and as I have heard that was right after an updated version or amendment to the “Unlawful Internet Gambling Enforcement Act” took effect. Good timing again huh.

So it definitely sent a huge red flag

I asked QT what to do and they replied with this e-mail

“Thank you for contacting the QuickTender Settlement Department.
We suggest that you reply to this enquiry in the following manner: I have a business relationship with a number of internet based merchants that pay me from time to time, and they presumably use the services of third part payment providers overseas.

Please feel free to contact us should you require any further assistance.

Kind regards,
Aija
QuickTender Settlement Department”




The e-mail from my bank




Hello XXXX

We are attempting to contact you again regarding a series of
transactions. Please review the below email we originally sent to you on
07/26/2010.

Kind Regards,

Rich Rogers

-----Original Message-----
From: Richard Rogers
Sent: Monday, July 26, 2010 10:53 AM

Hello XXXXX,

My name is Rich Rogers and I am a Risk Analyst with XXXXXX Risk
Management Department. Periodically we review the transactions of our
customers to help us better understand their banking needs. Since
February 2010 you were the beneficiary of 5 wires, 2 of which that was
sent via Baydonhill Plc, a UK based money service business. The other 3
wires were sent by Chargestream LTD (also a UK based money service
business). I will list them below so that you can see what I am
referring to.

Date Amount Originator Beneficiary



If you could please explain the purpose of these wires, your
relationship with these companies and what line of business they are
engaged it would be of great assistance to us. The wires do not show us
who the true originators (people/company) sending you the money and we
need to know who is sending them so that we can comply with our policies
and procedures.

Kind Regards,

Rich Rogers

Richard H. Rogers, CAMS
Risk Management
AML/FRAUD

AML is for you who don’t know – Anti-Money Laundering



So I’m open to suggestions, should I get a lawyer?

How about a reply like I was helping my mother-in-law with her debt obligations as she need to sell off some of her husband’s, god rest his soul, coin collections to some private dealers back in the homeland and/or via craigslist

What if they ask for names, addresses? As it says they need to know who they are.

what to do what to do, the longer i wait will just make them dig deeper i think.

 

[Mousey]

(1) I am not a lawyer. The following is only my 2 cents.
(2) Merely accepting wire transfers is NOT illegal.
(3) Anything transferred over a few grand gets banks (and the feds) excited. Especially if there are multiple transactions.
(4) I don't think it's any of the bank's business (since you did nothing illegal).
(5) It is against the law to NOT pay income taxes on the winnings. Get a good tax agent to do your taxes, and bite the bullet and pay the taxes (it will hurt).
(6) Either ignore the bank letter (they're fishing and want you to cough up info -- implying money laundering -- against the processors), or turn it over to your lawyer who (hopefully) understands the weirdities of the UIGEA.
(7) Close the account.


Good luck.

P.S. ... I do hope this is not your household bank account as it will be quite a mess if they lock your account.

 

[rockycatt]

ok i believe with out a doubt that if you did any thing [provable ]wrong the law would be knocking at your door

how ever if you can cut and run from this bank do it there going to personal DO NOT VOLENTAIRE
any source info they have already got it [what was needed to complete the transaction
so thats all they needed any more is just superer snooping

i say do a last response if you really feel you must as QUICK TENDER instructed you

remember its not the grand jury and you have a perfect right to lie to a bank there not the grand jury

change banks get a few accounts in different banks credit unions house hold , travel, hobby , etc get the idea


if you for some reason cant break away from the bank then give the responce qt said and be elusive as big goverment offical's do when they want to doge the question they will go away

 

[gloria460]

I belive QT gave you a good answer but then again they want names. If they find out they're gambling transactions they will close your account and report you to the IRS.

I would respond to them after you get another bank account and have your direct deposit transferred to the new bank. It appears like the banks are catching on to QT and our time is short in the gaming online world.

Good luck to you.

 

[WyldGirl]

mmljr I sent you a private message!
Read it and get back to me asap if you are still in need of help!

 

[Mavin1]

Okay, I don't understand how your gambling transactions are showing as UK, when I played they all showed as Dubai.

Secondly, I will never address an email from my bank or any other source.
If you log into your banking, you should have a message section and an alert section.

If your bank is actually sending you these messages you will have the same messages in your bank mail, in your account.

If you have alerts, periodically you need to check them to see if any transactions are flagged. This simply means you need to check them off as your transactions.

You need to contact your bank personally and directly and not respond via email!!!!!

The only "trouble" you could possibly have from gambling transactions is to have to pay taxes on them.

 

[WyldGirl]

The only "trouble" you could possibly have from gambling transactions is to have to pay taxes on them.

Where did you study law? You really need to brush up on your Federal Case law specifically in the area of the Treasury Dept.
Money aquired from illegal activity constitutes a crime and excuse me but internet gambling is ILLEGAL for persons residing in the USA.

mmljr,
After looking at your numbers I would suggest for the present time taking this matter very serious and weighing the consequences of acting upon advice given to you on the internet.
Never volunteer any more information than they already have. And don't admit to anything especially violating Federal Law!

 

[winbig]

Where did you study law? You really need to brush up on your Federal Case law specifically in the area of the Treasury Dept.
Money aquired from illegal activity constitutes a crime and excuse me but internet gambling is ILLEGAL for persons residing in the USA.

mmljr,
After looking at your numbers I would suggest for the present time taking this matter very serious and weighing the consequences of acting upon advice given to you on the internet.
Never volunteer any more information than they already have. And don't admit to anything especially violating Federal Law!

The UIGEA doesn't make it illegal to gamble online. It makes it illegal for banks to process payments for online casinos. It has nothing to do with the player receiving funds from a casino. If anyone has anything to worry about, it's QT or whomever processed the payment to the casino in the first place.

No offense to anyone, but in any case, I'd strongly suggest you consult with a lawyer that's dealt in similar cases in the past, and see what they say, before you take the opinion of someone on a forum, no matter how much they do know.

 

[slotplayer]

I did look into this a while back and have tried to piece it back together as best I could. Keep in mind it is only my interpretation.

if it is a legit email, it looks like the bank might file what is call a sar. (suspicious activity report - form 109). this is more based on activity than dollar amount but is usually $5k+ and $2k+ when face to face with the customer(attention WU users). Multiple transactions are added together so spreading them out might not help.

Sar Details
xhttp://www.irs.gov/businesses/small/article/0,,id=154555,00.html


the $10k thing

banks report $10k+ cash or checks on a Currency Transfer Report(CTR form 104), not wires, unless the wire is paid for in cash as I understand it.

xhttp://www.fincen.gov/forms/files/fin104_ctr.pdf
(ref form instructions under transactions in currency and negotiable instruments for what transactions qualify)

more info
xhttp://www.fincen.gov/
Bank Secrecy Act
xhttp://www.fincen.gov/statutes_regs/bsa/

xhttp://www.bankrate.com/finance/money-guides/reporting-gambling-winnings.aspx

 

[silcnlayc]

Removed...



.

 

[love2winalot]

Hiya: All you need is a Web Page. Even using a free one, like tripod or something. It does not even have to be active, you just need to use the, "Under construction" sign. Why?

Craigs List, E bay, Amazon, and other On Lines forms of commerence and buying selling goods and information. There are what, about a 100 million people in the world using these every day? Not everyone has or uses pay Pal as the payment method. The Bank has no clue as to the difference between a wire going into your acct; from Gambling Winnings, or a wire going into your acct; from some sore of Internet sales of goods or information. If they KNEW it was from a Casino or Casino Processor, they would have just declined the transfer in the first place.

Reply to the bank via their Banking web site, and not the e mail. If you change banks, you need to have a business acct for gambling, as this helps support your claim of where the money is coming from.

Clearly the Bank wants an answer. So give them one. The Bank can not Prove that the funds are from a Casino oversea's. They don't have to. Either they just decline the wire transfer in the first place, or they no longer will allow wire transfers from that originating source any more. For now, that would be end of story.

Of Note is, "How did you get the money into the Casino"? Was it sent to the same place as the wire transfers are coming from? Money Laundering requires BOTH a sender and a reciever and then return to sender.

You are not the only person here who has had their bank ask about the money. It happened yesterday, it happened today, and it will happen tomorrow, to PEOPLE HERE ON THIS FORUM.

There is a difference between a Bank asking questions that they have no current answer or explaination to, vs the Bank not accepting the answer or explaination that was provided to them. Ignoring the Bank, or Telling them to go to Hell, or that it is not their Damn business where your money is coming from, are ALL the WRONG answers. It is YOUR money, but it is THEIR Bank.

 

[GrandMaster]

Being a person that writes numerous checks for a sum greater than $10,000, I know that we had a notice from the IRS reporting agency , saying anything over $10,000 within a given quarter is a flag for the IRS.

I am NOT a lawyer...I know many in my office request checks under $10,000 for this very reason...I have written out 2-3 checks sometimes to a given person by their request and none have been flagged due to the amount below the $10,000 each it was written for. Many in my office will ask for checks $5000 and under even if it required me to write more than a few.

Be careful, this could be construed as structuring ("smurfing").

 

[winbig]

Being a person that writes numerous checks for a sum greater than $10,000, I know that we had a notice from the IRS reporting agency , saying anything over $10,000 within a given quarter is a flag for the IRS.

I am NOT a lawyer...I know many in my office request checks under $10,000 for this very reason...I have written out 2-3 checks sometimes to a given person by their request and none have been flagged due to the amount below the $10,000 each it was written for. Many in my office will ask for checks $5000 and under even if it required me to write more than a few.

As GM pointed out, those actions are borderline illegal....Even in the casinos, it's plastered all over the place saying that they have to report any transaction greater than $10k, etc, etc, etc...and this includes combined transactions..They may not catch multiple transactions right there at the cage, but I'm sure they'll figure it out upstairs via cameras.

let's move to Thailand. The "limit" there is $58K USD

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[felicie]

I find it strange that your bank emailed you about this. Maybe a letter by snail mail but email is usually not the route banks take and I've been on that route with a couple of the biggies. LOL Don't freak just pay the taxes, it's part of living in this country. good luck.

 

[silcnlayc]

Mavin1: Secondly, I will never address an email from my bank or any other source.
If you log into your banking, you should have a message section and an alert section.

If your bank is actually sending you these messages you will have the same messages in your bank mail, in your account.

Please do this. Make sure it is in your banking email messege also. Also, do not reply from your email but from their banking page as was suggested.

GrandMaster: Be careful, this could be construed as structuring ("smurfing").

What in the world is smurfing???

winbig: As GM pointed out, those actions are borderline illegal....

Ok, now I think this is just a tad paranoia talking since every dime is accounted for by a 1099. Nowhere does it say one must write a check for a certain amount regardless of how much one is owed in monies..You can break it down to 10 checks if one wants...I mean...please..as long as all funds are reported...it makes no difference what the check amount is.

Winbig" and this includes combined transactions..

Exactly. It is the quarterly totals of an amount that make the IRS take another look...not the amount of checks themselves. If all is reported, what difference does it make.

.

 

[GrandMaster]

Smurfing: The link has already been posted, see

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. If there is a reporting requirement on payments more than $10000, then there is probably a clause in the law imposing that requirement that makes it illegal to split payment greater than $10000 into smaller parts with the aim of avoiding the reporting requirements.

 

[Kenny Lingus]

Personally, I would ignore the e-mails. Who's to say that you only check your e-mail account once a month or so? Or that you thought that it was some kind of Phishing scam? Tell the bank nothing, at least for now, and see what else they do.

And what has happened to the funds? Are they accessible? If they are, try making a large withdrawal, or write a cohort a big check (Less than 10k, of course), and see what happens.

Make them work for whatever info they are looking for, and there is a chance that this never goes any further. Get caught in a lie about where the funds came from, and all hell might break loose.....

 

[vinylweatherman]

Personally, I would ignore the e-mails. Who's to say that you only check your e-mail account once a month or so? Or that you thought that it was some kind of Phishing scam? Tell the bank nothing, at least for now, and see what else they do.

And what has happened to the funds? Are they accessible? If they are, try making a large withdrawal, or write a cohort a big check (Less than 10k, of course), and see what happens.

Make them work for whatever info they are looking for, and there is a chance that this never goes any further. Get caught in a lie about where the funds came from, and all hell might break loose.....

Not necessarily a good idea. This might make the bank even more suspicious that this is the next step in a "laundering" of the funds you have received, and they may block the transactions, and freeze the account. best use these funds in "normal day to day living", and make it obvious when you are using them to pay off debts.

Once you have got the money out, THEN you can consider further options. Do NOT transfer any more from QT now that the bank is suspicious, at least not in this quarter.

Until the bank makes more formal contact, you can ignore the email, and if pressed, can say it looks like Phishing, and was blocked by your spam filters so you never even saw it until the bank told you they had sent them when pressing the matter.

If they write to you, you will have to respond in some way, but there are many explanations for money coming in from the UK. Selling stuff on international auction sites is one, and this may not even be taxable unless you are doing it as a business.

If you are to say it was from gambling, you could imply it was from a B&M casino, and was far too much to risk carrying back as cash, so arranged for it to be wired securely. Tax will be payable on the win element, but you should get the money. I am sure that UIGEA does NOT consider B&M casino transactions as illegal, the act is specifically for ONLINE casino transactions.

Is there any reason why a US citizen cannot hold a foreign bank account?

It may be hard to get one, but if you have a good reason for needing one, such as needing to travel frequently to that country for "business purposes", or even extended holidays with friends and family, you should be able to find a bank able to help. You could then use this bank for gambling, without having the funds moving constantly through the US systems.

Here in the UK, citizens can open "offshore accounts" quite easily. We have to be able to pass ID checks, and declare any interest or capital gains for tax, BUT the transactions themselves are governed by the laws of the country where the account is located. If you could open an account where online gambling transactions are legal, you should have no problems.

For tax purposes, declare any surplus transferred back from the offshore account above the initial "investment" as income.

For example, fund with $5000, wire back $7000 after a decent win. Declare the excess $2000 as "investment income", or "business income" - preferably using a miscellaneous category, and pay the tax due.

 

[silcnlayc]

GrandMaster:with the aim of avoiding the reporting requirements

How did you get this idea of trying to avoid reporting?? I said no such thing. I said, you can split checks up as much as one likes as long as all monies are reported and accounted for. This is NOT illegal. I go by the book...I have to.

.

 

[love2winalot]

Hiya: mmljr, Please keep this topic you started updated. It could help some of us here. Then, we will all know what actually happens, instead of just guessing..........thanks.....:notworthy

 

[takethemoney]

If it were me, I'd consider my personal banking business just that....personal. It's none of their business and I would go remove the funds, if any and close the account.

 

[footdr]

Why would you get a lawyer?

First of all your only mistake was transfering over 5 thousand. Your second mistake was not replying to you bank that the funds were payment on an investment. They legally have no grounds to stop the transfer or report the amount to the IRS. I would be happy to assist you further if you want, just pm me.

you have no obligation to tell the bank anything about these funds. Their only legal obligation is to report a suspisious transaction. If they do report it the FED may ask for additional documentation. If they do that, which I doubt, pm me.

i know we have a lot of smart people here hopefully someone with IRS, banking, or a lawyer with insight.

At the end is the second e-mail from my bank about wire transfers from Quicktender requesting additional information.

Let me give some history as I live in the not so great land of the USA


I don’t have a lawyer so I called a local lawyer out of the phone book and he said to delete the e-mail and ignore it, that the wire transfers where perfectly legal just make sure I report them as income, so I deleted the e-mail and waited thinking that this wasn’t going away and today the second e-mail came 26 days later.

I want to respond, but I know once I do the avenues of communication are open and what and how much info will they request. I fear they might ask a follow up to my reply so I want to be ready and put this thing to bed. I don’t want to respond with my lawyer said as that would tune up the heat I’m sure. They haven’t called, but I believe the phone number on record is outdated. If I wait any longer I’m thinking they will send a registered letter via US mail. Or report it to the IRS. I know they are fishing and hoping to find something because they already smell the bait.

The transfer’s total about 16K, one in Febuarary, that was my test and never heard a word from the bank so I assumed all was good, dumb huh! One is over 5K but none over 10K as I heard that someone can gift you money up to 10K and the banks and you do not have to report it as income. I don’t want to pay income on it but if that will make this go away I’ll do it. I was so glad for the win a royal flush for 20K and needed the money to pay down some debt so I transferred it from QT, the transfers where in June a week or so apart and as I have heard that was right after an updated version or amendment to the “Unlawful Internet Gambling Enforcement Act” took effect. Good timing again huh.

So it definitely sent a huge red flag

I asked QT what to do and they replied with this e-mail

“Thank you for contacting the QuickTender Settlement Department.
We suggest that you reply to this enquiry in the following manner: I have a business relationship with a number of internet based merchants that pay me from time to time, and they presumably use the services of third part payment providers overseas.

Please feel free to contact us should you require any further assistance.

Kind regards,
Aija
QuickTender Settlement Department”




The e-mail from my bank




Hello XXXX

We are attempting to contact you again regarding a series of
transactions. Please review the below email we originally sent to you on
07/26/2010.

Kind Regards,

Rich Rogers

-----Original Message-----
From: Richard Rogers
Sent: Monday, July 26, 2010 10:53 AM

Hello XXXXX,

My name is Rich Rogers and I am a Risk Analyst with XXXXXX Risk
Management Department. Periodically we review the transactions of our
customers to help us better understand their banking needs. Since
February 2010 you were the beneficiary of 5 wires, 2 of which that was
sent via Baydonhill Plc, a UK based money service business. The other 3
wires were sent by Chargestream LTD (also a UK based money service
business). I will list them below so that you can see what I am
referring to.

Date Amount Originator Beneficiary



If you could please explain the purpose of these wires, your
relationship with these companies and what line of business they are
engaged it would be of great assistance to us. The wires do not show us
who the true originators (people/company) sending you the money and we
need to know who is sending them so that we can comply with our policies
and procedures.

Kind Regards,

Rich Rogers

Richard H. Rogers, CAMS
Risk Management
AML/FRAUD

AML is for you who don’t know – Anti-Money Laundering



So I’m open to suggestions, should I get a lawyer?

How about a reply like I was helping my mother-in-law with her debt obligations as she need to sell off some of her husband’s, god rest his soul, coin collections to some private dealers back in the homeland and/or via craigslist

What if they ask for names, addresses? As it says they need to know who they are.

what to do what to do, the longer i wait will just make them dig deeper i think.

 

[Westland Bowl]

......Is there any reason why a US citizen cannot hold a foreign bank account?

It may be hard to get one, but if you have a good reason for needing one, such as needing to travel frequently to that country for "business purposes", or even extended holidays with friends and family, you should be able to find a bank able to help. You could then use this bank for gambling, without having the funds moving constantly through the US systems.

Here in the UK, citizens can open "offshore accounts" quite easily. We have to be able to pass ID checks, and declare any interest or capital gains for tax, BUT the transactions themselves are governed by the laws of the country where the account is located. If you could open an account where online gambling transactions are legal, you should have no problems......

This is exactly what I've been thinking about for a long time. To bypass all the stress and worry, I figured why not just open a frickin' foreign bank account (preferably non-interest bearing), use it for depositing to and from online casinos and wiring to my US bank account? Your US bank breathes easier that the wire is from a bank rather than some place that uses cryptic descriptions. If the US bank inquires about it, it is easier to explain: "I have an offshore bank account for investment possibilities; for diversification purposes; for foreign travel overseas..." It would be hard for them to disprove any of these explanations which they likely just needed one anyway to cover their own ass to meet bank regulations. The inconvenient thing is most, if not all, banks outside US would require a visit in person to open an account but I'm not an expert on this. I just don't know of a foreign bank that will let you just open an account online (and do it from the US.)

 

[rockycatt]

i know this is canada but are peeps trying to make a business out of this like stimulate over the top reaction----------->

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also if you vavagate around you will see usa charters [they must be trying to start a dead wood at the top movement ]

heres one of there statements of joining there ranks for a fee




For inquires contact SoFlaACAMSChapter@gmail.com
Welcome to the South Florida ACAMS Chapter web page! This new Chapter was founded on November 7, 2007 by an Executive Board composed of professionals from the AML field active in the South Florida region. The Chapter’s role is to assist the international association in its mission to advance the professional knowledge, skills and experience of those dedicated to the detection and prevention of international money laundering by representing the association to the local members and community. One of the Chapter’s goals is to promote ACAMS as a platform for career development and professional networking for individuals. In addition, the Chapter will be a resource for financial institutions and related businesses to identify specialists in the rapidly expanding anti-money laundering field by organizing meetings and events of local interest for members and non-members.

 

[ksech]

I would be leery about addressing any of my banking info via email. I would...
1) call the bank and verify this person.
2) most banks won't discuss vital transactions via email. A BIG RED FLAG!
3) I received a phone call (not an email) from my bank to verify my transactions to and from QT.

Mavin had it right on. Most banks have an alerts section for important banking information on their websites. When you log into your online bank account to check balances, transfers, etc., you should also have a message center. Most banks will tell you they DO NOT do business via email and to alert them when you receive something like this.