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Could ‘Suspicious’ Banking Habits Put You on a Potential Terrorist Watch List?

Mar. 13, 2013 4:08pm Liz Klimas

Proposal to Share Treasury FinCEN Database of Suspicious Banking Reports With CIA, NSA

(Image: Shutterstock.com)

A document reviewed by Reuters supposedly shows plans by the Obama administration to share Americans’ financial activities with spy agencies as they conduct terrorism investigations.

The document from the U.S. Treasury revealed plans that would give intelligence agencies, like Central Intelligence Agency and the National Security Agency, access to the Financial Crimes Enforcement Network (FinCEN) database, which is where “suspicious activity reports” are filed by financial institutions.

Reuters noted that the FBI already had access to the database, but the CIA and NSA had to make requests for information. This proposal would link the database to the Joint Worldwide Intelligence Communications System.

Financial institutions file suspicious activity reports to FinCEN to the tune of more than 15 million each year, Reuters reported. Cases that might prompt making such a report include include getting more than $10,000 in cash, suspected money laundering or other fraud.

“For these reports to be of value in detecting money laundering, they must be accessible to law enforcement, counter-terrorism agencies, financial regulators, and the intelligence community,” the Treasury planning document said, according to Reuters.

The problem with suspicious activity reports, as it has been noted before, is the potential for innocent banking activities to be taken out of context and put someone falsely under watch for potential terrorism. As Bank Rate wrote in 2006, “almost anything out of the ordinary that rouses the suspicion of the personnel where the transaction took place,” could result in one of these reports. And those about whom the report is filed never know.

Sharon Bradford Franklin with the Constitution Project told Reuters the proposal ”raises concerns as to whether people could find their information in a file as a potential terrorist suspect without having the appropriate predicate for that and find themselves potentially falsely accused.”

This proposal is similar to one announced last March, which allowed any government agency to tap databases to analyze suspicious activity. Here’s a bit more from TheBlaze regarding the change made last year:

The changes to guidelines for National Counterterrorism Center was signed by Attorney General Eric Holder earlier this year, allowing the center to obtain and retain information from government datasets for up to five years. NCTC could also permanently retain data it deems “reasonably believed to constitute terrorism information.” All of these actions were not allowed in the previous guidelines for obtaining non-terror information from other agencies.

Through Freedom of Information Act requests and interviews, the Wall Street Journal learned more about why the NCTC wanted access to datasets, which hold everything from financial forms to health records to flights taken to lists of American households with foreign-exchange students. It also learned how some internally were fighting to protect the information of innocent citizens in such datasets.

Although it is pointed out that use of the information in the FinCEN database would need to adhere to privacy measures in the Bank Secrecy Act and Patriot Act, American University law professor Stephen Vladeck told Reuters privacy advocates have been seeking more limits on how the government can use the information it collects.

Comments (42)

katzkiner
Posted on March 14, 2013 at 5:16am
This will not be a problem for long, when Harry and Barry get through with us we won’t have 2 nickels to rub together.

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- objectivetruth
  Posted on March 14, 2013 at 9:11am
  You were recorded.Anytime 10k or more is deposited or withdrawn its recorded.Once the deposit is considered legitimate and from legal channels you won’t have a problem.This can be done in real time.Even withdrawals are the same way.This law wasn’t meant to constrain the legitimate customer.Its meant to track money laundering and terror enemy of the state finances.Is it possible your name could come up in a terror case.Of course.ID Theft runs the gamut.Your name could have popped up somewhere around the globe without you knowing about it.The two hardest types of ID Theft to catch track are those where no bills or financial snags set off any flags.In years past many countries had no recording or red flag procedures in place.All someone had to do was give your name and identifying numbers.If they didn’t run up any bills no one would be the wiser including you.There also wasn’t info sharing.No one would have ever known the account was opened.
  
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Brooke Lorren
Posted on March 14, 2013 at 5:12am
My husband has been a student for the past 7 years or so (to get through law school). Every August and January, we get money deposited in our accounts for about $10k, that we live off of for the semester. The rest of the months, I get paid about $100 or so once a month through Paypal for my small business. I guess that must put us on a terrorist watch list. That’s okay, I guess. We were probably on Obama’s “enemies list” already for being conservative.

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- NoSleeper
  Posted on March 15, 2013 at 4:53am
  You probably are on the list…I would be careful if you leave the borders of the US since you will be ‘fair game’ for the Gov’t. At least you are safe from the drones while within the borders…for now, anyway.
  
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katzkiner
Posted on March 14, 2013 at 5:10am
HSBC laundered almost a trillion in cartel drug money, $ 1 million in fine, no charges. No jail time for anyone. Swept into the black hole of the news cycle. And they are going to hassle us over $10k? How do I become an illegal immigrant?

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- objectivetruth
  Posted on March 14, 2013 at 9:24am
  I could tell you something about hsbc that would make you instantly crap your pants.HSBC was the bank used for tax refunds in 2007 2008.They are who held the money and issued the refunds for those having someone else do their taxes.They are who provided tax refund anticipation loans.To the best of my knowledge they no longer have the contract and are unlikely to get it back.
  
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media-bias-steals-elections
Posted on March 14, 2013 at 12:26am
Why would the CIA or the NSA need that information unless they wanted to share it with foreign governments, or individuals in foreign countries? Would information like that be valuable, useful for black mail, or to authenticate yourself as a “successful hacker”?

No thank you, we don’t want our information used like a bad movie plot in a James Bond film? Let the FBI do their job and help them when they ask for it? Doesn’t the FBI have to know when this information is released anyway, because in order to protect citizens they need a bread crumb trail? Are they asking to really “share” or “go around” the FBI?

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- sillyfreshness
  Posted on March 14, 2013 at 1:38am
  The only way you need to worry about being put on a terrorist watch list (like what they used to do in Nazi Germany and the Soviet Union-being put on “watch lists”) is if you’re white, middle class, and have a job. That is the new enemy of our communistic police state we voted into office.
  
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- objectivetruth
  Posted on March 14, 2013 at 9:18am
  I appreciate your sentiment on hacking.However you need to know in years past there were no red flag rules no requirements for opening accounts in many countries.You could have your Id stolen in america and someone half way around the globe used your name and numbers for criminal terrorist reasons.
  As to the nazis reference of the other poster.Has it ever dawned on you that the rat lines and fleeing nazis used american names and ssn or other identifying numbers to hide money and property that they stole from those going to the concentration camps?To hide their own identity?
  
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DeniseJ
Posted on March 13, 2013 at 10:22pm
Come ON, how else are they going to get around the Constitution’s “No Bills of Attainder” clause?? If you have $$$ and don’t kick in to O’s campaign kitty , then………You Terrrorist!!!

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Tigress1
Posted on March 13, 2013 at 10:20pm
Forgive my ignorance, but if a terrorist was given a lot of money – say to purchase things to build a bomb or weapon or something, does our government REALLY think the terrorist is actually going to deposit the money in a bank account?
Pretty soon EVERY person in this country is going to be on a watch list, then we will be right back to square 1 in regards to not knowing WHO to watch!

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MarvinMr
Posted on March 13, 2013 at 8:14pm
The only fraud is what the government is doing with our money.

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hades3
Posted on March 13, 2013 at 6:26pm
Does this mean if the government receives info regarding a banking transaction, they have the option of declaring the person in question a terrorist, and take any action they deem fit, without filing formal charges, without any evidence they have a valid case ? If so, if that person owns a fire arm,
his home could be raided, any weapons confiscated, and he would be advised they would be returned to him whenever the local or federal authorities decided too do so. He would also be on a watch list. His privacy would no longer be a reality. His family would be treated as a threat .

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- DeniseJ
  Posted on March 13, 2013 at 10:19pm
  Come ON, with Obama’s trillion dollar spending habit, how ELSE are they going to get around the Constitution’s “No Bills of Attainder” clause???
  
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- objectivetruth
  Posted on March 14, 2013 at 9:31am
  No they can’t.At least not legally they can’t.It requires much more than one or two questionable transactions.Actually it requires a pattern of some sort The pattern must also be truly attributal to you.Not someone who stole your ID or stuck their nose into your bank account wrongfully.
  
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zgomer
Posted on March 13, 2013 at 5:42pm
The gov. is the terrorists…

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Carrie3570
Posted on March 13, 2013 at 5:39pm
It’s like no one has any common sense anymore. 10k is not a ton of money when it comes to business. There are some of us that still pay cash. We own a business, we build hotels. When it’s time to pay for materials, we pull out 10k+. Nice to know that makes us possible terrorists.

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- turkey13
  Posted on March 13, 2013 at 7:49pm
  You are right – while Uncle is so busy looking at all these little $10,000 transactions the real terriost will be laundering $$$ millions. Do they really think some dummy can be bought for $ 10 grand?
  
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- TheAlamoLives
  Posted on March 13, 2013 at 9:29pm
  If you work, Neopoliton says you are a terrorist!
  
  I did a transaction after 9/11 during the Bush admin and the bank froze ALL of my accounts for 5 business days. I couldn’t even get $20 from the ATM. I inquired and the bank would not answer my questions. There was no cash involved, just one traceable check from a US bank. I suspect it was Homeland Security that gave the freeze command. The next week I closed all my accounts, and the floor manager came out to “help” me. She asked why I was moving my accounts and I chose not to tell her. Really made her mad, tough crap! I had banked there 35 years, I didn’t even say bye.
  
  Additionally, I thought Obumer promised he was going to stop all the “evil” Bush tactics. Funny all the hellraising the left did over these tactics, but when they are in charge it even gets worse! And it will get worse! Absolute power corrupts absolutely, either party.
  
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- objectivetruth
  Posted on March 14, 2013 at 9:39am
  You have a legitimate business.They are aware of what it takes to run it.They also know many use cash for payment of materials.Otherwise your ability to pick up the materials may be delayed until the withdrawal check clears the bank.Furthermore they could also seek to look at your bank records and business records.if they had any lingering doubts.If this is a standard pattern for you then it wouldn’t be a problem for them unless other flags popped up.
  
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SpeakSoftlyAndCarry
Posted on March 13, 2013 at 5:37pm
Undoubtedly the Obama administration will politically abuse this access to our financial records. Give big to a conservative charity they don’t like and they’ll have the IRS rain hell down on you. At least this is one act by the Obama administration is “transparent”.

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resme
Posted on March 13, 2013 at 5:35pm
What? “Suspicious” bank habits is one of the pillars the federal reserve was built upon.

Why aren’t banksters terrorist? What bigger terrorist threat than the controllers of our money…

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- justangry
  Posted on March 13, 2013 at 6:01pm
  That’s terrorist talk…
  
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HOLYCOWBATMAN
Posted on March 13, 2013 at 5:25pm
I made some of those withdraws. The teller inquired if I was buying a car, I said “nope, just diversifying”…now I’m on 2 lists. Sweet.

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Snowleopard {gallery of cat folks}
Posted on March 13, 2013 at 5:20pm
Most of us who stand against the progressives and the Obama-administration are high on ‘watch lists’ and probably on some of the ‘execute by drone’ lists as well.

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AlaskaismyEden
Posted on March 13, 2013 at 5:19pm
TRUTH is TREASON.

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Stoic one
Posted on March 13, 2013 at 5:13pm
I am sure that all regulars on the Blaze and other like minded websites are already on ‘watch lists’.

I do NOT trust the ever over reaching government.

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- justangry
  Posted on March 13, 2013 at 5:19pm
  Surely I’m not on such a list…
  
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United_Ignited
Posted on March 13, 2013 at 4:37pm
Buying Gold, Buying Guns, Buying Bullets, Buying Food Insurance, Buying Water, Buying American Flags, Giving Charity, Buying a Subscription to The Blaze TV. Oh Well I guess i’m on another list.

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balrog25
Posted on March 13, 2013 at 4:35pm
A banking policy change (probably due to Franken-Dodd) inspired Us to change banks. When I closed the account I took out $10k in cash (mostly to annoy them) and to start with another bank. Just one more thing to bubble me up higher on the list. My wife will be thrilled.

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- Max Power 1
  Posted on March 13, 2013 at 6:01pm
  Folks, the threshold USED to be $10k. It quietly was lowered to $5k. So any cash withdrawl over 5k is reported. And, they will report repeated smaller withdrawls if they think you are trying to get around the 5k limit. Trying to subvert the 5k rule is a federal felony. Welcome to Amerika. Stay angry my friends.
  
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- Sincarne
  Posted on March 13, 2013 at 6:48pm
  Sorry dude but it’s still 10k for cash withdrawls get reported on a CTR. 3k for cashier’s checks and other financial instruments purchased with cash get logged but not reported proactively. Anything suspicious will trigger an SAR.
  
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AUsername
Posted on March 13, 2013 at 4:31pm
A potential terrorist is someone who is likely to attack you to get you to submit or follow an agenda of their master. Though there a minority the most common attack like this done is by our own police officers and abroad by our soldiers. Let the truth sting you and burn your brain out into obsidian and cool off, than absorb.

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NHwinter
Posted on March 13, 2013 at 4:22pm
Anything from reading the Constitution, being a patriot, to banking can now make you a potential terrorist. Don’t bother with real terrorists, just lock up the patriots.

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- muffythetuffy
  Posted on March 13, 2013 at 4:34pm
  THIS IS A CRIME AGAINST THE AMERICAN PEOPLE, ITS UNCONSTITUTIONAL
  
  Its one more impeachable offence. Together we must stop these criminal acts.
  
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- Witness1974
  Posted on March 13, 2013 at 5:06pm
  It is beginning to seem supernatural the way this administration is able to take away freedom and trample the law without any response from the opposition. It’s as if he has no opposition. What does the guy have to do before charges are brought against him?
  
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honor007
Posted on March 13, 2013 at 4:15pm
“must do what they can monitor”
creepsters.

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vbell
Posted on March 13, 2013 at 4:14pm
And if you see a little airplane following you around overhead, better take cover.

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Seth Patriot
Posted on March 13, 2013 at 4:13pm
Nudge, nudge. Poke.

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- muffythetuffy
  Posted on March 13, 2013 at 4:20pm
  DEMOCRATS WILL BE ABLE TO FIND OUT WHO IS GIVING MONEY TO TEA OR GOP
  
  Just before an election, the government can order bank accounts be shut down. Money in Canadian banks are not accessible to the Government.
  
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GhostOfJefferson
Posted on March 13, 2013 at 4:13pm
Well, I for one am glad that the whole talk of “need a warrant” is now no longer even in question with the media. All that kind of jibber jabber did was remind people that they are supposed to be free, instead of being herd chattel who are watched and controlled by overlords who can grab their haunches and inspect their teeth whenever the urge strikes them.

Banking reporting? Thank Nixon for that being started, thank Bush II for making it possible to do under the guise of terrorism and thank Obama for being the one to have the temerity to do it right out in the open KNOWING that none of you will do a damned thing about it.

Cash, folks. Cash and Bitcoin. Or be a herd animal. I really don’t care at this point.

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- Cavallo
  Posted on March 13, 2013 at 4:43pm
  Bill of rights? What bill of rights? So.. what freedoms exactly did all those soldiers die for?
  
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