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Kilgore Man Sentenced For Structuring Violation
By: TexasBusiness.com Posted: Wednesday, November 30, 2011 1:59 pm
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Texas Business reports: TYLER—United States Attorney John M. Bales announced that Candido Patino was sentenced for structuring and assisting in structuring transactions with a domestic financial institution in the Eastern District of Texas.
Patino, 46, pleaded guilty to a violation of 31 U.S.C. § 5324 (structuring) on June 1, 2011. During a hearing before United States Judge Leonard E. Davis, Patino was sentenced to 24 months imprisonment, a fine of $10,000 and a term of supervised release of two years.
Financial institutions are required to file a Currency Transaction Report (CTR) with the Internal Revenue Service when a customer conducts a currency transaction (such as a deposit or withdrawal) in excess of $10,000.
Making cash deposits or withdrawals in amounts or in a manner to cause the financial institution to fail to file a CTR is referred to as “structuring” and is prohibited by federal law.
According to information presented in court, Patino operated a money transmitting business out of a restaurant he owned in Kilgore, Texas.
Individuals who wanted to transfer funds to Mexico typically paid cash to Patino for such services. Patino then deposited the currency into a bank account at a federally-insured credit union.
Between July 2008 and October 2009, Patino, who was aware of the credit union's reporting obligation, made over 300 structured cash deposits in a manner intended to evade the CTR requirement.
This case was investigated by the Internal Revenue Service and prosecuted by Assistant United States Attorney Frank Coan. |
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