bank president charged with failure to Comply with requirements of the bank secrecy act
H. Jack Miller, 51, of Boca Raton, Florida, was charged by information, filed on September 5, 2013, with one count of willful failure to maintain an effective anti-money laundering program and one count of willful failure to file a suspicious activity report, announced United States Attorney Zane David Memeger.
Miller was president and CEO of Public Savings Bank (PSB), a private, closely-held corporation. PSB had one branch office located in Huntingdon Valley, PA. As a financial institution, PSB was subject to the requirements of the Bank Secrecy Act (BSA), which was enacted to prevent financial institutions from being used as intermediaries in the movement of money derived from criminal activity. According to Count One of the information, Miller, who controlled all operations at the bank, failed to establish an effective anti-money laundering program, which included the appointment of a competent BSA compliance officer and the implementation of policies and procedures to protect against money laundering. He is also charged in Count Two with failing to file a Suspicious Activity Report in connection with a wire transmission of approximately $86,400, which occurred on March 25, 2010. The money was transferred into the account of a foreign account holder whom Miller and other PSB employees allegedly suspected was operating an unlicensed money transmission business.
If convicted, the defendant faces a maximum possible sentence of 10 years imprisonment, 3 years of supervised release, a $500,000 fine, and a $200 special assessment.
The case was investigated by Homeland Security Investigations, FDIC Office of the Inspector General and the Internal Revenue Service and is being prosecuted by Assistant United States Attorney Terri A. Marinari.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525