[Congressional Record Volume 141, Number 14 (Tuesday, January 24, 1995)]
[Extensions of Remarks]
[Page E163]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


           KEY DOCUMENTS PROVE INNOCENCE OF JOSEPH OCCHIPINTI

                                 ______


                      HON. JAMES A. TRAFICANT, JR.

                                of ohio

                    in the house of representatives

                       Tuesday, January 24, 1995
  Mr. TRAFICANT. Mr. Speaker, as part of my continuing efforts to bring 
to light all the facts in the case of former Immigration and 
Naturalization Service Agent Joseph Occhipinti, I submit into the 
Record a document I received from the Drug Enforcement Administration 
in response to a Freedom of Information Act request I filed last year 
for all DEA documents related to any investigation of a company called 
Seacrest Trading. Through my investigation, I have come to learn that 
Seacrest Trading may be tied to all of the bodega owners who testified 
against Mr. Occhipinti in his 1991 civil rights trial. The document is 
an October 16, 1992, memorandum regarding a meeting of the Drug 
Enforcement Task Force Group. While the document does not mention 
Seacrest Trading, the file title at the top of the document reads 
simply ``Seacrest Trading Corp.''
                         Seacrest Trading Corp.


      meeting in regard to ntoc money transmitted/wiring services

     Details
       1. On October 5, 1992, at the offices of the New York State 
     Banking Dept., 2, Rector Street, New York, New York, a 
     meeting took place between the members of the Drug 
     Enforcement Task Force/Group I-63, Assistant District 
     Attorneys of the Special Investigation Bureau--Special 
     narcotics Court, and members of the Criminal Investigation 
     Bureau--New York State Banking Dept.
       2. The meeting was held in regards to Non-Traditional 
     Organized Crime (NTOC) Money Transmittal/Wiring Services 
     which are mostly operating illegally and which are sending 
     approximately over $500,000,000.00, most of which are 
     believed to be proceeds from drug sales, out of the 
     Washington Heights, New York area to the Dominican Republic. 
     This amount is only representative of the actual documented 
     figures. This is not represented to include illegal amounts 
     that have been sent and not documented.
       3. As of the aforementioned date, there are approximately 
     ten (10) licensed money Transmittal/Wiring Services in the 
     Washington Heights area. These particular businesses then 
     sublease their license to agents and then the agents sublease 
     the license to other subagents. In turn, numerous money 
     services have saturated the area and fall under a single 
     license.
       4. All the business under a single license can then collect 
     all revenues and restructure the amounts of each transaction 
     to fall under the specified limits of $100,000.00. Each 
     transaction over $10,000.00 has to be documented and reported 
     to the U.S. Government on a Currency Transaction Report 
     (C.T.R).
       5. At this time, if is a federal obligation to prosecute 
     violators of CTR infractions, but it is not being enforced by 
     the Federal Banking agencies. If in fact these laws are 
     enforced, only a small fine is imposed as compared to the 
     large amount of profits that are made to justify the criminal 
     risk involved.
       6. Special Narcotics Court as actively looking to empanel a 
     Special Grand Jury to propose legislative changes within the 
     New York State laws to regulate and prosecute these illegal 
     Money Transmittal/Wiring Services.
       7. California and Arizona have already moved to strengthen 
     their State Banking laws. Their laws have lowered the risk of 
     illegal activity and have forced CIR's to also be filed 
     within the state level. The penalties and forfeitures seized 
     have made the State Agencies self sufficient and excess 
     profits have also returned to the state government to be used 
     as seen fit for other state programs and state and local law 
     enforcement.
       8. Special Narcotics would want the state to better screen 
     potential licensees and reduce the number of agents/
     subagents. This can be done through the issuance of a license 
     to someone who had filed a more detailed application to 
     enhance a better background check; no subagents would be 
     allowed under this license to pinpoint accountability, and 
     larger criminal financial penalties would be imposed to deter 
     criminal activity; and to change the language of the statutes 
     to become applied enforceable under the charge of money 
     laundering of criminal proceeds.
       9. At the present, the State Attorney General's office 
     working with the State Police have formed a Crime Proceeds 
     Task Force unit to enforce the weak New York State Banking 
     Con Laws and prosecute these criminal money agencies, but 
     they have been hampered and legislatively fought by certain 
     interest groups and not a single case has been initiated.
       10. It was believed by all the agencies present, that by 
     working together evidence can be compiled to introduce new 
     legislation to strengthen state laws. These laws will 
     forcibly prosecute and deter the existing easy ability of 
     these criminal money agencies to send proceeds of criminal 
     activities and launder these amounts to overseas accounts 
     with no fear of law enforcement and our courts.
     

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