Leading newspaper editorials at the time surmised that the overabundance of currency was the result a large-scale tax evasion among black market operations. Wartime rationing and price ceilings tied to the scarcity of daily commodities created a Prohibition-like environment for organized crime to exploit.
Morgenthau launched the largest concentrated sweep of tax evasion in the nation’s history and turned to Irey to hatch and execute a trail-blazing plan that has tendrils to the modern day anti-money laundering (AML) program.
In a bid to more expeditiously bring cases for prosecution from the non-banked underground economy, Irey devised a protocol to identify large currency expenditures at casinos, jewelry stores and fur establishments – operations where large amounts of cash could move quickly and easily.
The success of Irey’s efforts led to Morgenthau ordering banks to file monthly reports of suspicious currency transactions (a precursor to CTRs and SARs). To work all the leads generated, Treasury embarked on an ambitious campaign to recruit 10,000 tax enforcement employees with an emphasis on hiring war veterans.
Attendee learning goals:
Paul Camacho is vice president of AML at Station Casinos and is a Former IRS-Criminal Investigations Special Agent
Prior to his retirement, Paul served as the Special Agent in Charge for the Las Vegas Field Office of Internal Revenue Service Criminal Investigation (IRS CI) directing investigations of all IRS CI special agents in Utah and Nevada.
Over the course of his career in IRS CI, he has overseen sophisticated financial crime investigations across the spectrum of financial crime. He is also on the board of directors of the Mob Museum in Las Vegas.
This webinar is eligible for 1 continuing education credits and/or CFCS credit. A recording of the presentation, slides, and certificate of participation will be available for ACFCS members only.