This industry's days are numbered

WASHINGTON (AP) -- The Bush administration, targeting drug lords and terrorists, will require a broad range of financial companies -- including banks, credit cards and commodities dealers -- to combat money laundering.


The Treasury Department's action implements a sweeping law enacted last year that aims to thwart terrorism and crack down on money laundering, activity often used by terrorists.


The fight against money laundering gained new urgency after the September 11 attacks.


Treasury is adopting rules requiring financial companies to implement comprehensive anti-money laundering programs.


Specifically, companies would have to train employees to detect money laundering methods, establish policies and procedures to identify risks and minimize opportunities for abuse and commission independent audits, according to a Treasury official familiar with the plan that was to be announced Tuesday. The official spoke on condition of anonymity.


The rules would cover not only banks and securities but also credit card companies, mutual funds, wire-transfer businesses, check cashers and commodities dealers.


Money laundering involves the movement of profits from drug or arms trafficking, political corruption, prostitution and other illegal activities through a series of accounts or businesses to disguise them as proceeds of legitimate business.


For the most part, the rules will take effect Wednesday, but some companies will have some more time to comply.


Treasury also is considering whether to apply anti-money laundering rules to other industries, including insurance companies, dealers of jewelry and precious gems and metals, pawnbrokers, car dealers and travel agents.


In addition, Treasury plans to send reports to Congress this week, including one suggesting that all U.S. citizens report their interests in foreign bank accounts, the official said. Another report addresses the difficulties surrounding the ability of U.S. banks to verify the identities of foreign nationals seeking to open accounts in the United States. The role of the IRS in combating money laundering is explored in another report, the official said.


In February, Treasury said banks, thrifts, credit card companies and securities dealers may share information for the purpose of identifying suspected terrorists and money launderers and must report that information to the federal government.


At the time, Treasury said financial institutions would first have to notify the department that they intend to share information and pledge to take adequate steps to protect customers' confidentiality. One person would be designated at each financial institution to handle such information sharing.


Critics complain that the new law jeopardizes customers' ability to protect the privacy of their financial records.


Treasury also plans to set up a communications link -- probably an e-mail or fax system -- between federal law enforcers and financial institutions o facilitate sharing of information about accounts and transactions that may involve terrorist activities or money laundering.

Why would this be the end of the industry? I know a lot of internet poker players who are not laundering money, and actually none who does. Also, even if the US is important in the internet poker world, it's not even half of it.

yes, but unfortunately this does not prevent the FBI from busting online poker players and claiming they launder money.

I hate most fu@#$&!* politicians. If they are not making money off of gambling they fight to stop it. If they were making money off the online poker, they would support it.


Enrique

Just one more example of our own government trying to take away our civil liberties and privacy. I hate terrorism and money laundering as much as anybody, but like so many laws imposed, this one won't hurt the people that it's perported to punish. The bad guys will just find something else to do with their money. The only people who get hurt are you and me.


-MD

To right,always remember nothing exists outside of America.

I fear that when the big Vegas money decides to flex its muscle (i.e., buy Congress), laws will be passed to prevent Americans from accessing internet gambling sites located outside of America. At that time, however, American-based internet gambling sites will probably be sanctioned.

What does this have to do with internet poker?


Try this link to send a message to Washington. Let them know you do not think poker players are criminals. It is unknown if they will listen though.


www.legalpoker.org


MS Sunshine

I've posted this before, but I suspect the government is "piggybacking" on the money laundering issue to crack down on online gambling.


The government has always been against online gambling, even before 9/11.


It's similar to the those commercials about "terroists getting their money from drug sales". Something like "if you buy drugs, you're supporting terroists" or something like that. The government has always wanted to stop people from buying drugs, even before 9/11.


- Tony