Cash deposited at ATM disappear at US Bank Branch

On 1/25/08 I deposited a check and a $100 bill in an envelope at an ATM machine in the bank's lobby. I had a bad feeling about depositing cash at an ATM, but the bank was closed at the time and the deposit envelope included a check box to mark when depositing cash so I thought it would be ok.

On 1/30/08 I checked my account online to see that the deposit had been reversed and was reapplied minus $100. I called the branch and after providing information during a first call and a call back from the bank, I received a second call from the bank during which I was told that the cash could not be found and that there was nothing that they could do. "We're very sorry for the inconvenience." The agent indicated that two tellers open the envelopes so it is not possible that it was missed.

I am very frustrated with this because US Bank clearly sanctions depositing cash by including an indication on the envelope that cash is included. US Bank then holds all the cards because there is no way for me to prove that the cash was deposited. The only evidence is the bank's security cameras, which I, of course, would not have access to... If deposits of cash cannot be guaranteed (e.g., by US Bank reviewing their security cameras to confirm that the funds were not put in the envelope or by using ATMs that count cash (like Bank of America)), then cash deposits should not be sanctioned by US Bank.

I wouldn't be so irritated if I wasn't so completely sure that bill was placed in the envelope before I inserted it into the machine. My guess is that the money was accidentally mixed into someone else's deposit (I'm too optimistic to think that it was stolen). Anyway, if you made a deposit at this branch and got 100$ extra, I guess you'll consider it a late Christmas gift...