citizens are frequently the victims of choice of con artists. We show and dis-
cuss a videotape that illustrates procedures that may allow bank employees
to detect and ultimately prevent frauds committed against elderly customers
of banks.
Bank Security The staff is trained in ways to enhance security at the bank,
from bank opening and closing discipline to daily bank operating proce-
dures, as well as the bank’s program to defend against bank robbers.
Understanding Banking Regulations
All bank regulations are discussed in great detail, and a summary of each
regulation is handed out to staff. In addition, the Open University program
focuses on a number of important regulations that must be understood
clearly and followed religiously by staff members to conduct a safe and rep-
utable banking operation.
Prevention of Money Laundering and
Complying with the Bank Secrecy Act
Bank Secrecy Act (BSA) and USA PATRIOT Act^4 Banks may be the most impor-
tant starting point in identifying irregular and suspicious activities. Bank
tellers, private bankers, and management are responsible for keeping the
public trust by always staying alert to any abuse of that trust by people who
try to circumvent the system and abuse it. This training program is designed
to be hands-on training for the staff, teaching them to comply with the Bank
Secrecy Act (BSA) requirements and the customer privacy acts such as the
Gramm-Leach-Bliley Act (GLBA). The training includes information on
programs used by the bank to open accounts and identify customers who
deal with the bank, like the Customer Identification Program (CIP) and
others. The staff is also made aware of the repercussions and the stiff penal-
ties for violating the Act.
Additionally, the staff is trained on executing regulations issued by Fin-
CEN,^5 which requires that special reports be filed with the government
about those customers who try to, for example, structure deposits so that
they might circumvent the laws. The staff is also trained on the details of
checking information on customers using the data available from the Office
of Foreign Assets Control (OFAC). Staff is made aware of the stiff penalties
applied to institutions that do not comply with the OFAC requirements.
Risk Assessment for Noncompliance A major part of every financial institu-
tion examination by responsible government and state authorities is a close
Operating an RF Bank in the United States 335