Compliance: Identifying human trafficking red flags

Human trafficking is a rapidly growing crime, and with credit unions on the front line of the financial system, they can help combat it. Not only can the reporting of suspicious activity help uncover crimes that are taking place, but help law enforcement discover new trends.

The U.S. Treasury’s Financial Crimes Enforcement Network released a list of red flags in a 2014 advisory, and CUNA’s CompBlog addresses reporting requirements in a recent entry.

According to federal law enforcement, financial institutions should be aware of and report the following red flags:

  • Credit and debit processing for even dollar amounts, when such amounts are atypical for the type of business;
  • Multiple accounts established for different businesses, but having persons with the same signatory powers on each account;


continue reading »