A federal court in California last week issued a temporary restraining order preventing enforcement of a Financial Crimes Enforcement Network order requiring money services businesses to report certain cash transactions along part of the U.S.-Mexico border.
FinCEN in March issued a geographic restraining order requiring MSBs located in 30 ZIP codes in California and Texas near the southwest border to file currency transaction reports for currency transactions that exceed $200. The GTO did not alter banks’ currency transaction reporting requirements.
The GTO was challenged in U.S. District Court for Southern California. The court granted a temporary restraining order while courts consider the case, finding the plaintiffs were likely to succeed on the merits of their claims.