View Thompson's Letter

New York City Comptroller William C. Thompson, Jr. today released a letter urging the federal government to clarify regulations to prevent legitimate Money Service Businesses from closing in the New York City area. The letter was written to William J. Fox, Director of the Financial Crimes Enforcement Network of the United States Department of Treasury.

Money Service Businesses, or MSBs, assist thousands of people in New York with processing travelers checks, money orders and remittances. Many of the MSBs are located in communities that are not adequately served by mainstream banking facilities.

Two major banks recently announced they will no longer support the operation of 30 MSBs, primarily because of ambiguities in Federal regulations governing money transfers.

"While I strongly support rigorous oversight of this area because of the possibility of abuse, it is imperative that existing and future regulations are perfectly clear," Thompson wrote. "Such clarity will ensure that legitimate business activities are protected and that City residents will continue to have access to these important services."

It is not in the best interest of the Federal or local government to discourage legitimate business activity merely as a result of imprecise legislation," the Comptroller said. "I urge the U.S. Treasury to quickly clarify the rules associated with these services. This will ensure that MSBs remain available to New Yorkers and also will allow individuals ready access to lawful and regulated means to transfer funds."