- FinCEN cautions financial institutions about the potential for fraudulent transactions involving hurricane relief monies.
- Potentially fraudulent activity may include: depositing multiple emergency assistance checks; cashing of multiple emergency assistance checks by the same individual; depositing one or more emergency assistance checks, when the accountholder is a retail business and the payee/endorser is an individual other than the accountholder; and opening a new account with an emergency assistance check, where the name of the potential accountholder is different from that of the depositor of the check.
- FinCEN requests the use of key terms in the narrative portion of all Suspicious Activity Reports filed in connection with hurricane-related benefit fraud. Examples include "Katrina," "Rita," "Wilma," "FEMA," "Red Cross," or "hurricane."
FDIC-Supervised Banks (Commercial and Savings)
Chief Executive Officer
BSA Compliance Officer
Hurricane Katrina Examiner Guidance: Interagency Supervisory Guidance for Institutions Affected by Hurricane Katrina (see FIL-12-2006, dated February 3, 2006)
Financial Crimes Enforcement Network Advisory entitled, "Guidance to Financial Institutions Regarding Hurricane-Related Benefit Fraud"
(Can be found at http://www.fincen.gov/hurricanebenefitfraud.html.)
Examination Specialist Debra L. Stabile at SASFIL@fdic.gov or (202) 898-3673
FIL-15-2006 - PDF 68k (PDF Help)
FDIC financial institution letters (FILs) may be accessed from the FDIC's Web site at www.fdic.gov/news/news/financial/2006/index.html.
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Paper copies of FDIC financial institution letters may be obtained through the FDIC's Public Information Center (1-877-275-3342 or 703-562-2200).