Does Section 314 Support Banking’s Fight Against Scams?
Webinar Wrap: Financial industry experts discuss challenges of Section 314a and 314b — and potential solutions.
Financial institutions are on the front lines of an unprecedented scam epidemic, yet the very tools designed to help them fight back — Sections 314(a) and 314(b) of the USA PATRIOT Act — are falling short. While scammers move money in real-time, information sharing remains slow, cumbersome, and underutilized.
“We have the legal framework to do something good, but the lack of advancement in technology has made it not nearly as useful as it can be.” — Matt O’Neill
Operation Shamrock Founder Erin West moderates a discussion with banking and law enforcement experts about what works with 314(a) and 314(b), what doesn’t, and what can improve. Her guests:
Matthew O'Neill, a former U.S. Secret Service agent, investigated financial crimes at the federal level.
Donna Turner, a thought leader with 30 years of experience in financial services with Bank of America and Early Warning Systems
Jim Hitchcock, vice president of fraud mitigation for the American Bankers Association, works daily with institutions navigating 314-compliance requirements.
October 22, 2025 Operation Shamrock Webinar: Does Section 314 Support Banking’s Fight Against Scams?
Key Takeaways: Using 314 to Fight Scams More Effectively
Improving information sharing within the financial industry and with law enforcement is crucial.
Updating the use of technology is necessary to make the processes more efficient and effective.
Building relationships and trust between financial institutions and law enforcement is necessary to improve collaboration.
Financial organizations need clear guidance from regulatory bodies like FinCEN to alleviate fears of regulatory repercussions.
Sharing information with Section 314(a) and 314(b) is slow and outdated. Although technology has advanced significantly since the USA PATRIOT Act was enacted in 2001, 314 requires financial institutions to submit requests using documents and spreadsheets. Matt O’Neill explains that requests are batched every two weeks, with responses taking another two weeks. Scammers operate much faster than that.
Financial institutions are motivated and actively working to combat fraud. However, they’re hesitant to violate privacy laws or industry regulations by sharing customer information. Donna Turner suggests that providing Safe Harbor, in a way similar to what the UK and Australia have, would encourage more proactive information sharing among financial institutions.
Although Safe Harbor exists under 314(b) for fraud cases, banks still hesitate to share information due to concerns about regulatory scrutiny and data privacy laws. Jim Hitchcock suggests that aligning various laws and providing clear guidance would help banks feel more comfortable with sharing information.
Webinar Sponsor: Scamnetic
Scamnetic is a leader in AI-powered scam detection and prevention, protecting individuals, businesses, and financial institutions from digital scams. With solutions like KnowScam and IDeveryone, Scamnetic delivers real-time scam insights, identity verification, and intervention. Restoring trust, reducing losses, and empowering organizations to safeguard customers in an increasingly complex digital world.
Resources
“What SWIFT's Blockchain Means for Stablecoins and Global Banks,” Coindesk, October 5, 2025.
“Australia sees scam losses drop after banks adopt voluntary standards,” ABA Banking Journal, October 21, 2025.
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