Money trail plays role in war against terror

Jace Radke

Tuesday, Oct. 19, 2004 | 9:32 a.m.

While American soldiers continue to fight on the front lines of the war on terrorism, the federal government is working behind the scenes to take money out of the hands of terrorist groups, according to a representative of the Treasury Department who spoke in Las Vegas Monday.

Arnold Havens, the department's general counsel, spoke to business leaders with the Nevada Development Authority at the Four Seasons Las Vegas.

"Terrorism is really the greatest threat our economy faces today," Havens told the group after a luncheon. "The September 11th attacks affected the economy, and while Nevada was no exception, this state has come back remarkably well."

Havens, who supervises more than 1,400 lawyers within the Treasury Department, the Internal Revenue Service, the Financial Crimes Enforcement Network and other government agencies, said that the Treasury Department has been actively pursuing terrorist assets.

About $400 million in funds that Haven says were being funneled to terrorist groups have been frozen by the federal government since Sept. 11, 2001.

He said that underscores how "it's critically important to reach out to the financial community to ensure that we protect our financial infrastructure."

An example of the federal government and the financial community working together came in August when there was a report of a threat to financial institutions in New York and Washington, D.C., Havens said.

The institutions and their employees worked with the government to secure the facilities, Havens said.

Las Vegas hotels have also reached out to the Treasury Department and are cooperating in monitoring the cash flows in and out of the properties, Havens said.