Tag: customs airport money seizure

$100 bills laid out on table seized by Customs

CBP Seizes $879K Smuggled by Plane

Customs officers in San Antonio, Texas, seized a very significant amount of cash – $879,000. Typically, we only read about such large amounts of cash being seized by CBP from vehicles, as one can easily imagine is part of the illegal drug trade.

But this time, the money was leaving the country on a private plan. The individuals involved were arrested for bulk cash smuggling. Here’s the story:

U.S. Customs and Border Protection officers working at the San Antonio International Airport intercepted a pair of travelers allegedly smuggling currency out of the U.S. July 15.

The travelers were carrying $879,695 packed in boxes and duct taped closed and were en route to Mexico via private aircraft when they were apprehended.

Two CBP officers arrived to San Antonio’s Fixed Base Operation to conduct an outbound inspection on a private aircraft when they noticed the aircraft was on the runway preparing for departure.  The officers informed the Federal Aviation Administration tower that the aircraft had not been cleared for departure and to direct the plane to the CBP General Aviation Facility.

When the aircraft arrived, the officers began their inspection, which included asking the passengers for an oral declaration of any currency or monetary instruments they were carrying.  Each passenger provided a negative oral declaration followed by a negative written declaration on CBP Form 6051B.

An inspection of the aircraft revealed taped boxes with stacks of currency concealed inside.  CBP officers arrested two Mexican nationals for allegedly intending to evade the currency reporting requirements by knowingly concealing more than $10,000 in currency or other monetary instruments and attempting to transport the currency from within the U.S. to a place outside of the U.S.

[. . . ]

“One of the reasons CBP performs outbound inspections is to protect against unreported exportations of bulk U.S. currency, which often can be proceeds from alleged illicit activity, or currency that funds transnational criminal organizations,” said Houston’s CBP Acting Director of Field Operations Beverly Good. “This significant currency seizure is a direct reflection of our continuing commitment to enforcing all U.S. laws, including federal currency reporting requirements.”

This is among the largest single seizure of unreported currency in the Houston Field Office region which includes San Antonio, Dallas, Austin and Houston.  The two men were arrested and turned over to Homeland Security Investigations.

On a typical day in 2017, CBP officers around the country seized $265,205 in undeclared or illicit currency.

Has CBP San Antonio Seized Your Cash?

If CBP seized your cash at San Antonio International Airport, you should give us a call for a free currency seizure consultation and make use of our free customs cash seizure legal guide.

Notice of Seizure and Intent to Forfeit (CAFRA) at the Port of Detroit

Detroit CBP Seizes $10,005 in Cash at DTW

Press releases from CBP about cash seizures have been slow for the past several weeks, but there are still plenty of people getting money seized and lots of forfeiture actions being published on forfeiture.gov, like the following case where slightly more than $10,000 was seized at Detroit Metropolitan Airport on June 16:

2016380700087701-001-0000, Seized on 06/16/2016; At the port of DETROIT, MI; U.S. CURRENCY RETAINED; 101; EA; Valued at $10,005.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A)

What a bummer for this person; he had another $5 with him that took him the category of people who do not have to file the currency report, to the category of people that must file. My guess is that he knew the reporting limit was $10,000, so that’s all he took with him (which could be a structuring violation, anyway); but he probably forgot about a $5 bill in the fold of his wallet, or in the pocket of his luggage. This is technically – legally – a violation of the reporting law. Of course, Detroit Customs seized his cash.

Sometimes they let people amend their report, sometimes they do not. I’ve had clients who’ve had money seized in same detention area with someone who, also failing to report, have not had money seized. I presume the decision to seize is dependent on the facts and circumstances of the seizure, and it is not just entirely arbitrary and capricious. I would really, really, like to believe that.

If you are traveling with $10,000.01 or more, you must file a currency report with CBP. If he was traveling with $10,000, no report was necessary. But, because he had $10,005, he had to file a currency seizure report.

Has Detroit CBP seized your cash?

If Detroit CBP has seized your cash, you need a lawyer. Read our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

An image of cash lined within the pages of magazines seized by Chicago CBP at O'Hare airport

$150k Seized at O’Hare Airport by Chicago CBP

Since we opened up our Chicago office to help people who have had cash seized at O’Hare Airport by U.S. Customs & Border Protection, we’ve had little in the way of CBP news releases about currency seizures there. But, I remembered seeing a story about some cash seized for bulk cash smuggling and failure to report at O’Hare back in 2011.

I remembered it because it involved more than $125,000 that was hidden in various parts of a family’s luggage and personal effects they were traveling with; like money hidden within the pages of books, magazines, and photo albums… here’s the full story:

U.S. Customs and Border Protection officers conducting outbound enforcement operations at Chicago O’Hare International Airport seized $125,849 in bulk U.S. currency on March 1.

Among other passenger, CBP officers selected a family, traveling to Pakistan onboard Etihad Airlines, for an outbound currency verification examination. Prior to departure, CBP officers explained the currency reporting requirements and the husband declared the family was departing with only $17,000. Subsequently, a full baggage examination was conducted after a routine inspection revealed over $35,000 in his carry-on bag.

During the CBP examination, currency was discovered concealed in several locations including $5,200 in the pages of a magazine, $19,300 hidden behind pictures in a photo album and $4,500 in a pair of children’s pants. Currency was located in all carry-on baggage belonging to the family with an additional $7,800 found in their checked bags. The total amount of undeclared currency seized was $125,849.

“Everywhere the officers looked they kept discovering more concealed currency,” said Janice Adams, CBP acting director of field operations in Chicago. “Money was hidden in every conceivable location. This is an outstanding seizure by our CBP officers working outbound operations at Chicago O’Hare.”

This, my friends, is more than a failure to report; it is bulk cash smuggling. In other words, it was the intentional concealment of the cash for the purpose of not having to report the cash to CBP in Chicago. Bulk cash smuggling has much higher rate of forfeiture than a “simple” failure to report. Anyone who has had money seized for bulk cash smuggling should give us a call for a free currency seizure consultation and make use of our free customs cash seizure legal guide.

If you have had cash seized at Chicago O’Hare Airport or Midway airport, give our customs attorney a call at (773) 920-1840, or click the contact buttons on this page to send us an e-mail or request a call back.

Notice of Seizure and Intent to Forfeit (CAFRA) at the Port of Detroit

Detroit CBP Cash Seizure: Last Call!

On July 8, CBP Detroit issued a notice of intent to forfeit $15,554 that was seized at Detroit Metropolitan Airport on May 9, 2016, for a violations of the unlawful structuring and the border cash reporting requirements. The notice of seizure and intent to forfeit publications on forfeiture.gov or the legal equivalent of the bartender yelling “Last call!” at a bar and turning on the lights.

As with a similar story we posted days ago, because this notice is being published likely means that someone chose to abandon cash seized by CBP, or that they never a notice of seizure by mail. Because someone missed the deadline, the notice, or abandoned the property, CBP has thus begun administrative forfeiture proceedings.

Here’s the notice:

PUBLICATION/POSTING START: July 08, 2016
PUBLICATION/POSTING END: August 07, 2016
DEADLINE TO FILE A CLAIM: September 06, 2016

2016380700077501-001-0000, Seized on 05/09/2016; At the port of DETROIT, MI; US CURRENCY RETAINED;  200; EA; Valued at $15,554.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A), 31USC5324

Anyone with a legal interest in the property can submit a claim, with some limitations. Completing a claim and properly submitting it to CBP is the last chance for anyone with an interest in the property to try to get it back.

After money has been seized by CBP, it is best to consult with and proceed with the advice of a law firm that specializes in customs laws and cash seizures; there are number of mistakes that can be made in electing to proceed with making an offer in compromise, filing a claim, an administrative petitioner, or otherwise responding.

If you want to learn more about responding to a customs cash seizure, read our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

Texas CBP seized cash. A picture of 19 stacks of $20 and $100 bills part of the cash seized by CBP at Hidalgo International Bridge

Orlando Cash Seizure by CBP

An Orlando cash seizure by U.S. Customs & Border Protection at Orando International Airport is a first for this customs “blawg”. The story from CBP, quoted in part below, describes the events leading up to a seizure. In this case, the cash smuggler was a Spaniard exiting the country for Costa Rica in Orlando. He only reported having $800 cash, not the $100,000 he was found with:

The individual, a Spanish passport holder, was boarding a flight to Costa Rica when stopped for questioning by CBP officers performing outbound operations.  When asked how much money he was carrying the man responded $800. However, upon further inspection of the man and his luggage CBP officers discovered the unreported currency violating federal currency reporting regulations.

The story says this was cash smuggling (a/k/a bulk cash smuggling), but does not explain why. Recall as we’ve explained here before that bulk cash smuggling involves the concealment of cash in any way with an intent to evade the cash reporting requirement.

No word, though, on how it was concealed or what tipped CBP off leading to this big Orlando cash seizure. That’s a fairly big wad of cash; even assuming it was all in $100 bills, that would still be a total of 10,000 Benjamins. The laws are enforced differently by each port, with more of less zeal than others. It could be that the money was just in a carry-on bag in one or two places and CBP considered it bulk cash smuggling because it was not in plain sight and it was coupled with a failure to report. In other words, if I put $100,000 in my bag and, when asked, tell CBP I only have $800 then CBP is pretty safe in presuming that I am evading the reporting requirement and that is why I’ve hid the cash.

On the other hand, the smuggling could be more intentional. It could be that it bundles of currency were sewn into the lining of the luggage, or into the lining of clothing that was then placed in the carry-on. That is a stronger showing of concealment with intent to evade because more planning is involved in sewing the money in a way that avoids casual discovery.

Have you experienced an Orlando cash seizure by CBP?

If you experienced an Orlando cash seizure by U.S. Customs & Border Protection  you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

Picture of what the cash seized at Dulles airport looked similar to.

CBP Cash Seizure Trends Change

CBP cash seizure trends change over the years. For example, a recent money seizure at Dulles Airport tells me that Dulles CBP seems to be ramping up enforcement of the currency reporting requirement. As with the most recent stories we’ve put up on this customs law blog, this story likewise involves person traveling to Africa — a report of $18,000 was made, but the amount he transported actually was $28,518.

U.S. Customs and Border Protection (CBP), Office of Field Operations (OFO), at Washington Dulles International Airport seized $28,518 Monday from a U.S. citizen for violating federal currency reporting regulations.

A man, who is a resident of Georgia, was boarding a flight to Ethiopia and was selected for questioning by CBP officers who were conducting an outbound enforcement operation on the international flight.  The man completed a financial form, reporting $18,000 however; a total of $28,518 was discovered on his person and in his luggage.  CBP officers seized the $28,518 and advised him how to petition for the return of the currency.

The fact that many cash seizures at Dulles have occurred to people traveling to and from Africa is interesting (to us, anyway); because as populations shift, market demands change, airlines change routes, add new destinations, or go in-and-out of business, so to do enforcement opportunities by CBP.

With an improving African economy, more cash goes to and from the country. What is true now about people traveling to Africa was not true in the 1970s, and may not be true in the 2030s. Enforcement may shift with shifting immigrant populations. For example, if China’s economy is on the brink of collapse, Chinese nationals are going to try to get their cash out of the country. That means heightened cash seizure opportunities by CBP at every international airport where those flights will land.

For example, a few years back there was a big spike in cash seizures from Mongolians at Chicago O’Hare International Airport. The reason for the cash seizure trend changing was was an improving Mongolian economy and convenient flights between Chicago O’Hare International airport and Ulaanbataar, Mongolia.

You should go back and read our blog posts about Chinese importing money into the United States and our popular article about targeted enforcement of customs money seizures for more information on this phenomenon.

Keep Calm and Declare Monetary Instruments Exceeding $10,000 USD

CBP Seizes $48K Cash at Philly International Airport

Another day, another currency seizure by U.S. Customs & Border Protection at this nation’s border crossing and airports from an international traveler. This time, the story occurs at Philly International Airport (PHL) but a currency seizure could just as easily happen anywhere.

U.S. Customs and Border Protection (CBP), Office of Field Operations (OFO), at Philadelphia International Airport seized $48,935 on Tuesday from a Massachusetts man for violating federal currency reporting regulations.

The man was boarding a flight to Jamaica and was selected for questioning by CBP officers who were conducting an outbound enforcement operation on an international flight. The man completed a financial form, reporting $4,000, however; CBP officers discovered a total of $48,935 on his person and in his luggage. Officers subsequently seized the $48,935.

This story is a good opportunity to go over some basic information about customs money seizures, which is similar whether at Philly International Airport or elsewhere. First, anytime a person is transporting more than $10,000 in cash or monetary instruments into or out of the country, they must report the cash value to U.S. Customs. In this case, if the man who had his money seized by CBP really had only $4,000, there would be no need to complete the financial form (FinCEN 105) that is mentioned in the story. But, be mindful of what your fellow travelers are carrying in terms of cash to avoid a structuring violation.

Rather, he would be under no duty to report. But in this case, the story suggests (and our experience representing who’ve had cash seized) that Customs were very suspicious that this person was not telling the truth and therefore wanted to catch him in a violation of the reporting requirement and so asked him to complete the financial form.

Because he under-reported the amount of currency he had the money became subject to seizure for, at minimum, a failure to report.Thus, his money was taken by CBP and, if he wants it, he must now get it back by making a petition, an offer in compromise, or filing a claim, and show that the money came a from a legitimate source and had a legitimate intended use.

The story ends with an accurate warning:

There is no limit to how much currency travelers can import or export; however federal law requires travelers to report to CBP amounts exceeding $10,000 in U.S. dollars or equivalent foreign currency.

“Travelers who refuse to comply with federal currency reporting requirements run the risk of having their currency seized, and may potentially face criminal charges,” said Susan Stranieri, CBP Area Port Director for the Port of Philadelphia. “The traveler was given the opportunity to truthfully report his currency. The easiest way to hold on to your money is to report it.”

Have you cash seized at Philly International Airport?

If you’ve had cash seized from CBP at Philly International Airport, you can learn more from our trusted legal guide to a customs money seizure and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

Detroit Airport Currency Report Sign

Inaccurate Cash Report to CBP in Dulles

Recently, CBP Dulles seized almost $47,000 from a man leaving the United States for Ghana at Dulles airport. The reason for seizure? An inaccurate cash report to CBP.

In other words, someone lied about how much cash they had when asked by Customs. His inaccurate cash report was way off. He was off by $37,000! Even though here he was really off, giving an inaccurate cash report to CBP in any amount can result in a seizure for failure to report. Even if it’s just a $1.

That’s why when you travel near or around the $10,000 mark, you’ve got to be sure that you carefully count everything and know how much you are transporting and how much those you are traveling with are also transporting (so you don’t get caught in a currency structuring violation).

U.S. Customs and Border Protection (CBP), Office of Field Operations (OFO), at Washington Dulles International Airport seized $46,290 on Saturday from a Ghanaian man for violating federal currency reporting regulations.

A man was boarding a flight to Ghana and was selected for questioning by CBP officers who were conducting an outbound enforcement operation on an international flight. The man reported $10,000, however; a total of $46,290 was discovered on his person and in his luggage. CBP officers seized the $46,290, returned $1,290 in humanitarian relief, and advised him how to petition for the return of the rest of the currency.

“Travelers who refuse to comply with federal currency reporting requirements run the risk of having their currency seized, and may potentially face criminal charges,” said Wayne Biondi, CBP Area Port Director for the Port of Washington Dulles. “The traveler was given the opportunity to truthfully report his currency. The easiest way to hold on to your money is to report it.”

There is no limit to how much currency travelers can import or export; however federal law requires travelers to report to CBP amounts exceeding $10,000 in U.S. dollars or equivalent foreign currency.

Did you make an inaccurate cash report to CBP?

If you made an inaccurate cash report to CBP at Dulles or had money seized at the airport, you can learn more from our trusted legal guide to a customs money seizure and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

Cash from China seized in Red Envelopes

Cash From China Seized Due to Capital Controls

Late last year, we wrote about Chinese nationals taking their cash out of the country by the suitcase. A suitcase full of cash coupled with a failure to report that cash to Customs will result in a seizure. We receive calls frequently from people who have had their cash from China seized by U.S. Customs & Border Protection (CBP).

But why do folks risk getting cash from China seized? Another story in the Wall Street Journal called “In Reversal, Cash Leaks Out of China” from way back in 2012, explains it; capital controls limit how much money can be taken out of the country, which has led to the create of an industry of service providers that help Chinese take cash out of the country, for those who don’t have the courage (or are too smart) to carry it out in a suitcase. For those who want to read more, there is also great article about Chinese capital controls.

Here’s excerpts from the Wall Street Journal article, with my emphasis in bold:

Wealthy Chinese citizens are buying beachfront condos in Cyprus, paying big U.S. tuition bills for their children and stocking up on luxury goods in Singapore, frequently moving cash secretly through a flourishing network of money-transfer agents. Chinese companies, for their part, are making big-ticket foreign acquisitions, buying up natural resources and letting foreign profits accumulate overseas.

[ . . . ]

China officially maintains a closed capital account, meaning it restricts the ability of individuals and businesses to move money across its borders. Chinese individuals aren’t allowed to move more than $50,000 per year out of the country. Chinese companies can exchange yuan for foreign currencies only for approved business purposes, such as paying for imports or approved foreign investments.

In reality, the closed system has become more porous and the rules are routinely ignored. “The wealthy in China have always had an open capital account,” says Eswar Prasad, a Cornell University economist and former International Monetary Fund official.

Zheng Nan recently spent €300,000 ($390,000) on a beachfront condo in Cyprus. At 50 years old, he says he is retired from selling telecommunications gear in China for foreign manufacturers. “My plan is to spend winter there because of the pollution in Beijing,” he says. “And we will be back for summer.”

China’s $50,000-a-year limit on moving capital out presented a problem for him. He says he got around the restriction by recruiting friends to move chunks of his money under their own names. Real-estate agents in China say that is a common practice that is largely tolerated by authorities.

[ . . . ]

A sprawling industry has developed to help Chinese get money out. Services range from the money-transfer agents to private jets that ferry money by customs officials unmolested, according to lawyers and brokers who help Chinese investors find investments abroad. Sometimes bank transfers by companies hide personal money being moved out, these people say. Another method is to piggyback personal cash atop legitimate export and import transactions, at times by using fake invoices, they say. People even carry bags of cash across the border.

Charlie Zhang, an agent in Shenzhen who matches wealthy mainlanders with real-estate investments abroad, says getting money out isn’t a problem.

“We suggest them to other people, some special channel, that can exchange money outside the banks, outside supervision,” Mr. Zhang says. “It’s not hard for people to solve this problem.”

Cyprus has become a popular investment destination for wealthy Chinese. The island nation in the Eastern Mediterranean gives permanent European Union residency to anyone who spends €300,000 on a property.

“People in China are rich,” says Arthur Cheung, a Hong Kong-based immigration consultant who matches Chinese buyers with foreign property sellers, including from Cyprus. “They just buy a passport or permanent residency like a Louis Vuitton bag.”

Source: http://www.wsj.com/news/articles/SB10000872396390443507204578020272862374326

Was your cash from China seized?

The process of getting undeclared currency seized by CBP back is long and complicated; most importantly, legitimate source and intended use must be proven. If you had cash from China seized , you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

CBP Seized Cash From Travelers in 2015

U.S. Customs & Border Protection (CBP) seized cash from travelers in lower numbers in 2015 compared to 2014. In its Border Security Report (which can be read in HERE), CBP says it “seized more than $129 million in unreported currency through targeted enforcement operations.” “Targeted enforcement operations” is just a fancy way of saying that they seized cash from travelers at a border crossing at an airport.

What is noteworthy is that CBP cash seizures from travelers is way down from last year – by about 54%. In 2014, the total amount of cash seized from travelers was $237 million. It breaks down the number for four southwest states:

  • Arizona = $2,102,688 (way down from $3,475,523 last year)
  • Texas = $9,171,935 (slightly up from $7,732,830 last year)
  • New Mexico = $975,880 (slightly up from $969,830 last year)
  • California = $7,739,869 (way down from $12,908,976 last year)

In 2013, CBP seized cash from travelers in the amount of about $106 million. So the numbers are less than last year’s staggering numbers — by a lot, but more in line with the totals from the year before last. It will be interesting to see what 2016 holds travelers who get their cash taken by CBP. We will not now until the beginning of CBP’s fiscal year, which starts on October 1, 2016.

We should also note that these numbers very likely include not only money seized for “unreported currency” but also for currency that was structured or part of a bulk cash smuggling offense.

CBP seized cash from travelers like you!

If CBP seized cash from travelers like you, you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.