For undocumented immigrants, sending money to their home country from the United States has recently become more difficult. In many cases, they are not able to send money through legal means. Their only way is to send money by hand, which is called “Hundi.” (Generally, undocumented immigrants send more money to Bangladesh than documented immigrants.) Sonali Exchange Company Inc. was established in 1993 to stop the sending of money illegally or by “Hundi”—but its objective is being hampered in many ways.
Though many money transmitting agencies are operating under strict federal regulations instituted post-September 11th, they are following the rules liberally. According to rules set by the State Banking Department, one can send the money by showing a form of identification. However, the Sonali Exchange has ruled that immigrants must show government- or employer-issued identification. Remitting money through other institutions is much easier than the Sonali Exchange. Therefore, those who want to remit money to Bangladesh, or any other country, may have to do it illegally. And, the money sent to Bangladesh through “Hundi” may ultimately fall into the wrong hands.
After September 11th, the U.S. government became more watchful over money transfer companies. Sonali Exchange has come under its observation.
A knowledgeable source said that if the officers of the Sonali Exchange had remained cautious from the very beginning, they would not have come under such scrutiny. Now, one has to show either a driver’s license or another form of government-issued identification if sending up to $900. If the amount is more than $900, a Social Security card is required as well.
There are three types of Social Security cards issued by the U.S. government. One type states, “Not Valid for Employment.” This kind of Social Security card is not acceptable to send money. Another type states, “Valid for Work Only with INS Authorization,” and one has to show a work permit with it to remit money. The other type of Social Security card is issued to green card holders and U.S. citizens. Only the cardholder’s name and Social Security number appears on this type of card. Only the holder of this type of Social Security card may send more than $900.
In New York State, government-issued identification cannot be obtained without a Social Security card. This means that undocumented immigrants are not able to obtain even a driver’s license. Under these circumstances, undocumented immigrants are not able to send money legally.
Sonali Exchange is the only trusted institution of expatriate Bangladeshis to send money to Bangladesh. But in the current situation, expatriates are not receiving their desired service from this institution. It is true that one requires identification to send money. But whether the Sonali Exchange has the right to demand the legal status of any person is a questionable matter.
Meanwhile, Mintu Lal Shaha, an official of Placid Express which sends remittances to Pakistan and Bangladesh, said that Placid Express also requires identification to remit money. He said that in their case, a Social Security card is required when one wants to remit more than $3,000. Shaha said that they need to see proof-of-employment if someone wants to send more than $5,000.
Placid operates in more than 60 locations across the United States. Placid also has an account at Citibank. Sonali Exchange has had to be embarrassed with an account at the Chase Manhattan Bank.
Every time someone wants to send money, they must show their Social Security card. It is possible to keep the number on record with the account number of the client, but this the Sonali Exchange does not do. As a result, there is added pressure on the money sender and staff of the Sonali Exchange do unnecessary work.
With such tight restrictions imposed on transmitting money abroad, undocumented immigrants have no alternative but to send money by hand through “Hundi.”
The Chief Executive of Sonali Exchange, Kazi Asaduzzaman, said that a new method is being devised so that no one is harassed for obtaining service from Sonali Exchange.
