There are regulations about cash transactions.
With a few exceptions and deposit of more than $10 K in cash generates a report to the IRS and the Treasury. Even wire transfers created a problem, as in the case with Elliot Spitzer.
Also, RFG only had $16 K in cash withdrawals over a 2 1/2 year period.
I don't think we are talking about circumstances which would trigger the $10K rule of reporting if he left and his money left the USA also.
Let's say he moved money to foreign banks. One month at a time, making regular deposits. Then he left to go where the money was.
Wouldn't the $10K rule only kick in
if he returned to the USA with a boatload of money and tried to deposit it all,
OR lived in or returned to the USA and tried to make a gigantic deposit? ( Half a million dollars or more would be my definition of gigantic for his salary).
IOW, if he had made secret deposits in a non- USA bank where he planned to go to, or sent money to foreign relatives to deposit for him over a long period of time, then once he gets to his money,
as long as it's not in the USA , no laws are broken because he is living where his assets are and they are all out of the USA. No one would be the wiser, right? He would be gone and his money would be waiting for him.
This is how I've always seen it in my mind, anyway. He sends money to a foreign bank, either through hard cash and an extremely trustworthy and reponsible receiving relative living in Eastern Europe deposits it for him- or he uses electronic transfer of small-ish (
less than $10K for sure, maybe $500 per paycheck for 10 years)..
but, stops the foreign deposits a few years before he leaves/ disappears and saves THAT cash reserve for the trip expenses he will incur and for living expenses until the money can be withdrawn safely- again, maybe in an uncle's account name but really Ray's money he sent over..
As an aside,I remember when the reporting law went into effect and for a while, there were MANY ways around it. A person could make 2 deposits of $4900 each to two different banks, etc.. There were several ways to circumvent the reporting of large cash deposits for the first few years .. I'm sure even the small hometown banks have gotten strict about reporting now, but I know they weren't for a few years.. thank goodness.
There would only be 3 possible disadvantages as I see it:
1) The foreign bank could fail before he got his money out, depending upon where it was deposited for him. ( No FDIC in Slovenia, I'd say).
2) He could possibly/ potentially want to return to the USA at some point, but would have huge USA banking/IRS/ Treasury Dept. problems bringing money back, having been in one or several foreign accounts.
3) There could be
some mail theft in a long consecutive period of sending cash overseas.. but probably only the loss of one or two packets- Say $500 to $1500 which would not be a significant loss overall.
The other thing is that he might not have had any interest- accruing measures in place in some foreign banking markets, IDK. In that case, he lost the potential interest earnings on his money. I'm sure he calculated these things in advance, or he wasn't interested in this aspect.
This is hypothetical, of course, but IMO, if he left, he got his money out of the country undetected through good old fashioned mail service, patience, impeccable planning and a solid family arrangement overseas.