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FEDERAL RESERVE BANK OF DALLAS
FISC AL. A G E N T O F TH E U N IT E D S T A T E S

Dallas, Texas, August 5, 1959

To All Banking Institutions and Others Concerned
in the Eleventh Federal Reserve District:

At the request of the Treasury Department, the following documents relating to
reports of currency transactions are being sent to each bank and other financial institu­
tion in this District:
1. Letter dated August 3, 1959, by the Secretary of the Treasury to Banks and
Other Financial Institutions.
2. Amended Instructions Relating to Reports on Currency Transactions, dated
August 3, 1959.
3. Revised Form TCR-1.
It will be observed from the foregoing documents that every financial institution in
the United States, commencing with transactions occurring in the month of August 1959,
shall file monthly reports on Form TCR-1 relative to currency transactions specified in the
amended instructions. Only one copy of each report is required. Financial institutions
located in the territories assigned to our El Paso, Houston, and San Antonio branches
should send their monthly reports to the appropriate branch. All others should send their
reports to the Federal Reserve Bank of Dallas.
A supply of the revised report Form TCR-1 will be furnished us by the Treasury
Department as soon as possible, and each financial institution may obtain report forms
upon request to this bank or appropriate branch. Until the new form is available, financial
institutions should file their reports on the old Form TCR-1 for transactions covered by
the amended instructions.
Yours very truly,
Watrous H. Irons
President

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

THE S E C R E T A R Y OF THE T R E A S U R Y
W ASH ING TO N

August 3, 1959
TO BANKS AND OTHER FINANCIAL INSTITUTIONS:
Since 19^5 the Treasury Department regulations have required every
financial institution in the United States to file on Form TCR-1, Report
of Currency Transactions, monthly reports of large and unusual currency
transactions. This form has now been revised and simplified to permit
easier preparation by financial institutions and increased usefulness to
the Treasury Department's Internal Revenue Service. In addition, only
one copy of the new smaller form is to be submitted instead of two copies
as required heretofore. The supply of old forms should continue to be
used until exhausted, but only one copy of each report should be filed.
In view of the fact that recently there has been a wide variance
among financial institutions with respect to reporting large or unusual cur­
rency transactions, I would like to again emphasize how important full and
careful reporting by banks is to the Internal Revenue Service. These reports
were originally developed for the purpose of discovering large currency trans­
actions resorted to by racketeers, dealers in narcotics, foreign agents, and
others engaged in illegal activities as an attempted method of concealing in­
come. Particularly, the reports have been of invaluable assistance to the
Internal Revenue Service in breaking some of the largest income tax evasion
cases. For example, in fiscal years 1957 and 1958, the Revenue Service com­
pleted 129 fraud cases involving additional tax and penalties of approxi­
mately $13,500,000 which originated from information contained in Forms TCR-1
submitted by banks and other financial institutions.
The Internal Revenue Service has recently revised its procedure to pro­
vide for better utilization of the currency reports and tighter controls for
their handling by its employees. Instructions were issued again cautioning
Internal Revenue employees that the reporting of currency transactions by
financial institutions should not be divulged to the customers of the
reporting institutions.
At this time I would like also to call to your attention the importance
of financial institutions requiring satisfactory identification. Instances
have recently been brought to our attention in which individuals have engaged
in large and unusual currency transactions and have furnished false or inade­
quate identification. Transactions of this nature can have far-reaching
effects on the protection of the Federal revenue, and all banks and other
financial institutions are requested to guard against those transactions
where satisfactory identification is not furnished by persons or organizations
(including any agents or couriers) engaged in currency transactions. Attention

-

2

-

Is invited to the Instructions Relating to Reports of Currency Transactions,
which provide in part:
"Section 102.3 . Identification required. Mo financial
institutions shall effect any transaction with respect to
which a report is required u n le s s the person or organiza­
tion with whom such transaction is to be effected has been
satisfactorily identified."
A recent survey of the forms filed indicates that some financial insti­
tutions are not submitting reports when it appears obvious that the criteria
for the submission of reports have been met; while, on the other hand, there
are indications that some few reports are received of cash transactions which
are ordinary, necessary, and commensurate with the customary financial require­
ments of the persons or organizations making the transactions. Therefore,
I would like to urge all financial institutions to re-examine their methods
of handling this program. There are attached a copy of the current instructions
and the new Form TCR-1. It may be that because of the constant pressures of
day-to-day problems, and in some instances the mergers of banks, some offi­
cials of financial institutions are unfamiliar with the Treasury Department's
currency reporting program. Officials of all banks and other financial insti­
tutions are requested to give their wholehearted cooperation in furnishing
information to enable the Internal Revenue Service to identify the few tax
cheats, thereby helping to protect the economic and financial interests of
the vast majority of our citizens.
I am sure that upon reviewing this matter all financial institutions will
realize the importance of proper reporting and assisting the Treasury Depart­
ment in this area as they have in so many other ways. The Treasury Department
is grateful for the assistance rendered it by the financial institutions of
the country.
Sincerely,

Secretary of the Treasury
Attachments - 2

TITLE 51

- MONEY AND FINANCE:

TREASURY

SUBTITLE B

- REGULATIONS RELATING TO MONEY
AND FINANCE

CHAPTER I

- MONETARY OFFICES, DEPARTMENT
OF THE TREASURY

Part 102 - Instructions Relating to Reports of Currency Transactions
Part 102, Chapter I, Subtitle B, Title 3 1 , of the Code of
Federal Regulations of the United States, is hereby revised to
read as follows:
Sec.
102.1

Reports of currency transactions required.

102.2

Filing of reports.

102.3

Identification required.

102.4 Definitions.
AUTHORITY:

§ 102.1 to 102.4 issued under R.S. 251, sec. 5(b),
§

40 Stat. 415, as amended; 31 U.S.C. 427, 12 U.S.C. 95a and note,
E.

0. 83Q , as amended by E. o.'s 8405, 8446, 8484, 8495,
9

,

8565 8701

,

87H , 8721, 8746, 8785 , 8832 , 8963, 8998, 9760, 3 CFR, 1943 Cum. Supp.,

3 CFR, 1943~1948 Comp., E. 0. 9193, as amended by E. O.'s 9567, 9788,
3 CFR, 1943 Cum. Supp., 3 CFR, 1943-1948 Comp.
§102.1 Reports of currency transactions required. Commencing
with transactions occurring in the month of August 1959, every financial
Institution in the United States shall file monthly reports on Form
TCR-1 concerning each deposit or withdrawal, or other payment or transfer,
effected by, through, or to such financial institution, which involves
transactions in United States currency as follows:

-

(a)

2

-

Transactions involving $2,500 or more of United States

currency in denominations of $100 or higher;
(b)

Transactions involving $10,000 or more of United States

currency in any denominations, and
(c)

Transactions involving any amount in any denominations,

which in the judgment of the financial institution exceed those
commensurate with the customary conduct of the business, industry
or profession of the person or organization concerned.
§102*2 Filing of reports. Reports on Form TCR-1 shall be
filed on or before the l£th day of the month following that in which
the reported transactions occur, with the Federal Reserve Bank of the
district in which the reporting financial institution is located*
All information called for in such form shall be furnished.

A supply

of Form TCR-1 may be obtained upon request directed to any Federal
Reserve Bank.
§102.3

Identification required. No financial institution

shall effect any transaction with respect to which a report is
required unless the person or organizations with whom such transaction
is to be effected has been satisfactorily identified.
§102.U Definitions. As used in this part “
payment or transfer"
shall include exchange of currency; and “
financial institutions" shall
mean banks, trust companies, savings banks, private bankers, investment
bankers, building and loan associations, securities and commodities

brokers, and currency exchanges and other persons or organizations
engaged primarily in cashing checks and exchanging currency.

Seoretary of the Treasury

Dated*

AUGUST J, 1959

form TCR-1
U.S. Treasury Department
(Revised 8-3-59)

REPORT OF CURR E N C Y TRANSACTIONS
See Reverse for Instructions

Part A. PERSON OR ORGANIZATION CONCERNED IN TRANSACTIONS REPORTED
Name
__________________________________________ '
Address
Business, profession, or occupation
Part B.
Date

DESCRIPTION OP TRANSACTIONS
U.S. Currency Involved
Total
Amount in denominations
amount
of $100 or higher

Nature of Transactions
(State whether deposit, withdrawal, exchange
of currency, cashing or purchase of check, etc.)

Additional information
Part C.

FINANCIAL INSTITUTION REPORTING

Name__________________________________________________________________________

Address_____________________________________________________________
(Number)

(Street)

(City)

(State)

INSTRUCTIONS
This report is required pursuant to Treasury Department regulations revised
August 3, 1959 (31 Code of Federal Regulations 102).
Forms TCR-1 shall be prepared in original only for currency transactions in­
volving United States currency as follows:
1.
2.
3.

Transactions involving $2,500 or more of United States currency in
denominations of $100 or higher;
Transactions involving $10,000 or more of United States currency in
any denominations, and
Transactions involving any amount in any denominations,

which in the judgment of the financial institution exceed those commensurate
with the customary conduct of the business, industry or profession of the
person or organization concerned.
Reports shall be filed on or before the 15th day of the month following that
in which the reported transactions occur, with the Federal Reserve Bank of the
district in which the reporting financial institution is located, Copies of this
form may be obtained from any Federal Reserve Bank.