Your bank might begin asking questions if you try to cash out $1 million.
There isn't necessarily anything malicious or conspiratorial going on here. The bank doesn't have a million dollars in cash even available. Between the reserve banking system and general security practices, extra steps would be involved (including pulling in the IRS since most people don't need that much cash unless they are doing illicit things) to ensure you get your money and there is nothing illegal going on.
Non-illicit activities using lots of money use checks, cashiers checks, wire transfers, etc.
If I put my million in a location, I would expect to be able to get it back...not the case with american fractional reserve banks. They use our money to make themselves money. I believe it is no-ones business what I do with my money but my own.