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Subtitle B of Title III of the Patriot Act

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independent audit function to test programs. The Secretary of the Treasury is given authority to set minimum standards of these programs but may exempt from the application of those standards any financial institution that is not subject to the provisions of the rules contained in part 103 of title 31, of the Code of Federal Regulations. The section also orders the Secretary of Treasury to produce regulations "commensurate with the size, location, and activities of the financial institutions to which such regulations apply". These regulations were jointly produced by FinCEN and U.S. Treasury as 31 C.F.R. 103.137 on December 5, 2001 and largely focus on requiring insurance companies to form anti-money laundering programs — depository institutions were not targeted because the Bank Secrecy Act already requires them to have anti-money laundering programs.
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engage as a business in facilitating the transfer of money domestically or internationally outside of the conventional financial institutions system" in the definition of a "financial institution" under the BSA. The BSA definition of a "money transmitting business" was also similarly amended. The rules promulgated under section 21 of the Federal Deposit Insurance Act was amended to apply to "any person that engages as a business in the transmission of funds, including any person who engages as a business in an informal money transfer system or any network of people who engage as a business in facilitating the transfer of money domestically or internationally outside of the conventional financial institutions system". This makes it easier for authorities to regulate, and investigate anti-money laundering operations in this segment of the U.S. economy.
631:...in light of the expertise, resources and focus of the IRS, the IRS should continue to perform the information processing and examination functions. The IRS has cultivated substantial anti-money laundering expertise over the years and contributed significantly to the administration of the BSA since its enactment in 1970. In recent years, the partnership forged by the IRS and FinCEN has been aimed at improving the administration of the BSA and prioritizing the challenges both agencies recognize need to be addressed.... It would be both wasteful of resources and disruptive to the administration of the BSA to transfer these functions, especially since there is no other comparable agency with a similar combination of expertise and resources that could readily assume them. 910:(MLCA), which did two things: firstly, it made it easier to report this information (previously, tellers had to contact an agent directly, the Act allowed tellers to merely fill in a form and submit it to the agency); and secondly, it gave legal immunity to financial institutions that did report such transactions. The MLCA also made mandatory exceptions to certain reports that had little use to U.S. law enforcement agencies. In 2001, however, Congress found that some financial institutions were not utilizing the exemption system and, once again, the volume of reports was interfering with law enforcement. In fact, the number of 731:) to use their authority (termed "voice and vote") to support any loan or other utilization of the funds of respective institutions for countries that have shown to "take actions that contribute to efforts of the United States to respond to, deter, or prevent acts of international terrorism". The Secretary of Treasury is also given the authority to instruct the Executive Directors to aggressively use the voice and vote of the Executive Director to require an auditing of disbursements made from their institutions to ensure that no funds are paid to persons who commit, threaten to commit, or support terrorism. 22: 620:(IRS) in the administration of the BSA. The report was to recommend whether it was "advisable to shift the processing of information reporting to the Department of the Treasury under the BSA provisions to facilities other than those managed by the IRS". The report also needed to recommend whether, "in light of the objective of both anti-money-laundering programs and Federal tax administration, the Internal Revenue Service to retain authority and responsibility for audit and examination of the compliance of 510:
103.19, which requires suspicious transactions over $ US5,000 be reported to FinCEN. 31 CFR 103.19 provides details on filing procedures, details several exceptions to the filing requirement and specifies that records must be retained for a period of 5 years by dealer-brokers. It also requires that reports made to FinCEN remain confidential and gives limited liability to the reporting broker-dealer for any disclosures to appropriate authorities. Failure to file reports may be a violation of the BSA.
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financial dealings of American citizens; and expanding the `suspicious activity reports' mandate to broker-dealers, even though history has shown that these reports fail to significantly aid in apprehending criminals. These measures will actually distract from the battle against terrorism by encouraging law enforcement authorities to waste time snooping through the financial records of innocent Americans who simply happen to demonstrate an `unusual' pattern in their financial dealings.
970:"The exemption process should not be made mandatory, nor are any other statutory changes necessary at this time. FinCEN should continue to seek ways to improve the efficiency and efficacy of the CTR reporting system. It should also work toward achieving an accurate measurement of the success of the system. These steps will help achieve the goal of finding the optimal balance between the value of the BSA reporting system and database and the burdens imposed to create and maintain it." 601:
of their investment with two years after the investment was made; exclude investment companies with less than US$ 1,000,000 in assets by the end of the calendar quarter; and to funds that were organized in the U.S., that are organized or sponsored in by a U.S. person, or that sells ownership interest to U.S. people. Unregistered companies exclude family companies, employee securities companies and some types of employee benefit plans.
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keeping and reporting by making it easier to undertake the reporting of suspicious transactions; by making it a requirement that financial institutions report suspicious transactions; through the creation of anti-money laundering programs and by better defining anti-money laundering strategy; and by making it a requirement that anyone who does business file a report for any coin and foreign currency receipts that are over
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identifying information so required by the U.S. Secretary of Treasury; the amount of coins or foreign currency received; the date and nature of the transaction and any other information required by the Secretary of Treasury. However, should a transaction be made that involves foreign currency then the report does not need to be made, and instead reports should be made through the relevant regulations covered under
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any area the President, acting through the Secretary and in consultation with the Attorney General, considers appropriate. Section 354 added a new area to be addressed in the strategy: "Data concerning money laundering efforts related to the funding of acts of international terrorism, and efforts directed at the prevention, detection, and prosecution of such funding".
893:, which prohibits the structuring of transactions in such a way as to evade reporting requirements, was also amended to include the reporting of any coin and foreign currency receipts over US$ 10,000. The term "nonfinancial trade or business" was made to mean "any trade or business other than a financial institution that is subject to the reporting requirements of 600:
Therefore FinCEN proposed to apply the same definition to all investment companies except commodity pools and those funds that only primarily invest in real estate. Due to the broad scope of such a definition it was further narrowed to those investment companies that permit an investor to redeem part
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Part (c) specified that a report be produced jointly by the Secretary of Treasury, the Board of Governors of the Federal Reserve System, and the Securities and Exchange Commission with recommendations for effective regulations to apply the requirements of the BSA with regards to investment companies.
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Furnish research, analytical, and informational services to financial institutions, appropriate Federal regulatory agencies with regard to financial institutions, and appropriate Federal, State, local, and foreign law enforcement authorities, in accordance with policies and guidelines established by
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The Federal Deposit Insurance Act was amended to allow written employment references to contain suspicions of involvement in illegal activity in response to a request from another financial institution. The amendment makes clear that it allows such disclosures but does not require it, and also makes
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to attempt to evade such reporting, to cause or attempt to make the report contain a material omission or misstatement of fact, or to "structure or assist in structuring, or attempt to structure or assist in structuring, any transaction with one or more domestic financial institutions." This section
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There are two sections that specify civil and criminal penalties for those who violate the BSA or a regulation prescribed under the BSA: title 31, section 5321 of the U.S. Code deals with civil penalties, while title 31, section 5322 of the U.S. Code deals with criminal penalties. Both sections were
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to authorize personnel to act as law enforcement officers to protect the premises, grounds, property and personnel of any U.S. Federal reserve bank, and allows them to delegate this authority to U.S. Federal Reserve Banks. It instructs any United States Executive Directors of international financial
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Assist Federal, State, local, and foreign law enforcement and regulatory authorities in combatting the use of informal, nonbank networks and payment and barter system mechanisms that permit the transfer of funds or the equivalent of funds without records and without compliance with criminal and tax
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The BSA was amended to allow the designated officer or agency who receives suspicious transaction reports to notify U.S. intelligence agencies. The stated purposes of the BSA, Section 123(a) of Public Law 91-508 and Section 21(a) of the Federal Deposit Insurance Act were amended to allow reports or
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unnecessarily burden businesses that money launderers are unlikely to use... would bring within the scope of the BSA's anti-money laundering requirements as to tax the resources of the federal regulators charged with oversight of financial institutions and, thus, diminish the effectiveness of that
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was amended to require consumer reporting agencies provide customer reports of a customer and all other information in a customer's file available to a government agency that is authorized to conduct counter-terrorism activities when presented with a written certificate by the agency. The consumer
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The BSA specifies that "the President, acting through the Secretary and in consultation with the Attorney General, shall develop a national strategy for combating money laundering and related financial crimes." In the development of that strategy, the legislation gives a list of areas that address
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outside of the mainstream financial system under the law. The amendments include "a licensed sender of money or any other person who engages as a business in the transmission of funds, including any person who engages as a business in an informal money transfer system or any network of people who
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The BSA was also amended to direct the Secretary of Treasury to make available reports to agencies, U.S. intelligence, or self-regulatory organizations that are registered with the Securities and Exchange Commission or the Commodity Futures Trading Commission upon the request of the head of that
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to submit suspicious activity reports under section 5318(g) of title 31, United States Code. The regulations filed were 31 CFR 103.11(ii), which amended the definition of a transaction to encompass any instrument within the definition of security in the Securities Exchange Act of 1934, and 31 CFR
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to allow financial reports required under the BSA, chapter 2 of Public Law 91-508 or section 21 of the Federal Deposit Insurance Act to be filed electronically. The legislation also requires the secure network to send alerts and other information in relation to suspicious activities to financial
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was amended to allow financial records obtained under the Act to be transferred to another agency if they are relevant to intelligence or counter-intelligence activities related to international terrorism. None of the special procedures spelled out in the Financial Privacy Act under section 1114
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are given authority to authorize personnel to act as law enforcement officers to protect the premises, grounds, property and personnel of any U.S. Federal reserve bank, as well as any operations conducted by or on behalf of the Board. The Board may also delegate this authority to a U.S. Federal
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The law enforcement and regulatory communities should undertake a comprehensive program to enhance their knowledge concerning the range of mechanisms used in informal value transfer systems in order to better understand them and to determine whether they think that any additional legislation is
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of their structure and interests. Hedge funds have relatively short periods where money is kept locked up, and a hedge fund's structure makes them vulnerable because domestic hedge funds do not need to identify the source of their funding, and offshore hedge fund structures are complex and more
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to operate, and to make it easier for law enforcement and regulatory agencies to police money laundering operations. The BSA was amended to allow the designated officer or agency who receives suspicious transaction reports to notify U.S. intelligence agencies. It also addresses issues of record
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Among the most obnoxious provisions of this bill are: expanding the war on cash by creating a new federal crime of taking over $ 10,000 cash into or out of the United States; codifying the unconstitutional authority of the Financial Crimes Enforcement Network (FinCEN) to snoop into the private
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Section 5331 ("Reports relating to coins and currency received in nonfinancial trade or business") was added to the BSA. It makes anyone who does business file a report for any coin and foreign currency receipts that are over US$ 10,000. The report must contain the name, address and any other
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The BSA was amended in 2004 to make financial institutions implement anti money laundering programs. Institutions must implement, at a minimum, the development of internal policies, procedures, and controls; the designation of a compliance officer; an ongoing employee training program; and an
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The Secretary of Treasury was given the authority to issue money penalties in an amount equal to not less than twice the amount of the transaction, but not more than US$ 1,000,000, on any financial institution or agency who commits a civil or criminal violation of International counter money
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In 1970, U.S. Congress established currency transaction reporting requirements via the BSA. However, though government agencies found the reports to be extremely useful in criminal, tax and regulatory investigations, it soon became apparent that the sheer volume of such reports was becoming
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The report makes a proposed rule which would apply the BSA to unregistered investment companies (67 CFR 21117 temporarily excluded unregistered companies from the requirements of the BSA). It was acknowledged in the report that listing all types of unregistered investment companies would,
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Congress ordered a study to be made to determine why the volume of CTRs were being made and how this problem could be alleviated. The study was completed in October 2002, and found that the most frequently cited reasons by survey respondents for not using the exemption system were:
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for any disclosures of suspicious transactions or activities to appropriate authorities, or for failing to notify any person identified in such a disclosure. The section also prohibits any employee or owner of a financial institution, or any officer or employee of any branch of the
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amended by section 353 of the Patriot Act to extend penalties to apply to violations of any orders made under the BSA. Penalties were also made to apply for violations of regulations prescribed under section 21 of the Federal Deposit Insurance Act and section 123 of
958:"FinCEN should work with the federal bank regulators, as well as banks, to reduce, as appropriate, fear of adverse regulatory consequences from making incorrect exemption determinations, including issuing an Advisory encouraging the use of the exemption process. 538:
in each stage of the process. In order for effective regulations to apply to the BSA, the report acknowledges that different types of investment companies have different susceptibilities to money laundering and thus regulations must deal with them differently.
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apply to U.S. government authorities who conduct investigations or intelligence or counter-intelligence activities in relation to domestic or international terrorism. Financial records that are obtained under a subpoena from a Federal
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This response reflects the fact that smaller depository institutions, which are less likely to conduct large cash transactions, constituted the majority of depository institutions in the survey, and, in fact, outnumber such large
742:, established in 1990, was made a bureau in the U.S. Department of the Treasury. The head of the bureau is now appointed by the Secretary of Treasury and was formally given a variety of responsibilities and powers, including: 859:
committed while on the grounds or within the buildings of the Board or a reserve bank. Law enforcement officers must have successfully completed law enforcement training and be authorized to carry firearms and make arrests.
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Testimony of Dennis Lormel, Chief, Terrorist Financing Operations Section, Counterterrorism Division, FBI before the Senate Judiciary Committee, Subcommittee on Technology, Terrorism, and Government Information, October 9,
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the Secretary of the Treasury or the Under Secretary of the Treasury for Enforcement, in the interest of detection, prevention, and prosecution of terrorism, organized crime, money laundering, and other financial crimes.
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cause or attempt to cause a nonfinancial trade or business to file a report required under section 5333 or any regulation prescribed under such section that contains a material omission or misstatement of fact;
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institutions. The network was required to be finished within 9 months of the enactment of the Patriot Act. According to the testimony of Dennis Lormel, Chief of the Terrorist Financing Operations Section of the
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reserve bank, so long as the reserve bank makes sure they follow the regulations proscribed by the Board and which are approved by the U.S. Attorney General. Law enforcement personnel are authorized to carry
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Administer the requirements of the BSA, chapter 2 of title I of Public Law 91-508, and section 21 of the Federal Deposit Insurance Act, to the extent delegated such authority by the Secretary of the Treasury.
414:(CFTC), although the reference must not state that the disclosure was reported. It is noted that institutions are not required to include such information in their termination notices or employee references. 746:
Providing advice and making recommendations on matters relating to financial intelligence, financial criminal activities and other financial activities to the Under Secretary of the Treasury for Enforcement.
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Establish and maintain a financial crimes communications center to furnish law enforcement authorities with intelligence information related to emerging or ongoing investigations and undercover operations.
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The report firstly defines what is meant by the term "investment companies". It defines an investment company as being either registered or unregistered. For registered investment companies, it found that
1619:"A Report to the Congress in Accordance with Section 359 of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (USA PATRIOT ACT)" 1525:"A Report to the Congress in Accordance with Section 359 of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (USA PATRIOT ACT)" 706:
The adequacy of the existing BSA rules should be reexamined over the course of U.S. Treasury's multi-year effort to enhance regulatory compliance among the operators of informal value transfer systems.
1306:"A report to congress in accordance with § 356(c) of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (USA PATRIOT ACT)" 1111: 812:, which deals with the records and reports on foreign financial agency transactions. The Secretary submitted the initial report on April 24, 2002, and has submitted one every year except in 2004. 961:"FinCEN, in conjunction with the federal bank regulators, should draft and disseminate a new exemption handbook with a view to making the exemption system easier for bank personnel to understand. 918:
was 12.3 million. Though this represented a decrease from the 13 million filed in the 2000 financial year, only 118,678 exemptions were made: a tiny fraction of the total amount of CTRs filed.
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agency may not disclose to anyone that they have provided such information to the agency who requested the information. The consumer reporting agency, and any employee of the agency, is given
587:(REITs) investments " to be illiquid because the investors have no right to redeem their interests and the REIT often restricts the transfer of interests to comply with other requirements". 1328:"Report to Congress in Accordance with 357 of the Uniting and Strengthening America By Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (USA PATRIOT ACT)" 505:(SARs). Part (a) states that the Secretary of Treasury was required to create regulations that require brokers and dealers registered with the Securities and Exchange Commission under the 793:
The U.S. Secretary of Treasury is also given responsibility for administering the government-wide data access service and the financial crimes communications center maintained by FinCEN.
534:) was developed to counter increasingly sophisticated money laundering schemes and gives an overview of the general process criminals use to undertake money laundering, and how they use 555:
were not as susceptible because investors must go through broker-dealer or banks, which are subject to anti-money laundering regulations already. The report also similarly found that
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That research did not suggest an immediate need for additional legislation, and neither did it suggest a need to change the threshold for the filing of Suspicious Activity Reports.
994: 390:, from notifying any person involved in a reported transaction that the transaction has been reported. The prohibition does not extend to employee references made under the 676:
All the amendments made by section 358 of the Patriot Act apply with respect to reports filed or records maintained on, before, or after the date of enactment of the Act.
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which can be used by financial institutions to report suspicious transactions and which can also give them alerts of relevant suspicious activities. Subtitle B also makes
967:"FinCEN should amend the exemption regulation to simplify and make less burdensome the biennial certification and monitoring system requirement for non-listed customers. 605: 527: 641:
records to be provided to agencies who conduct intelligence or counterintelligence activities, including analysis, in order to protect against international terrorism.
964:"FinCEN should revise the waiting period requirement for non-listed customers to permit banks to use a risk-based approach in determining when to exempt a customer. 1863:
cause or attempt to cause a nonfinancial trade or business to fail to file a report required under section 5333 or any regulation prescribed under such section;
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Part (b) of the section states that the Secretary of Treasury may prescribe regulations requiring futures commission merchants, commodity trading advisors and
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other records and data maintained by other Federal, State, local, and foreign agencies, including financial and other records developed in specific cases; and
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Section 123 of Public Law 91-508 specifies regulations that govern recordkeeping for uninsured banks or institutions, or any other institution defined in
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structure or assist in structuring, or attempt to structure or assist in structuring, any transaction with 1 or more nonfinancial trades or businesses.
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Coordinate with financial intelligence units in other countries on anti-terrorism and anti-money laundering initiatives, and similar efforts.
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clear that the amendment does not shield from liability anyone who makes a disclosure that is found to have been made with malicious intent.
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The section also called for a report to congress on the need for any additional legislation relating to such people. The report found that:
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Financial Crimes Enforcement Network; Amendment to the Bank Secrecy Act Regulations—Anti-Money Laundering Programs for Insurance Companies
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No person shall, for the purpose of evading the report requirements of section 5333 or any regulation prescribed under such section--
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This section of the Patriot Act makes it a requirement of the Secretary of Treasury to report yearly on how to improve compliance of
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Provide computer and data support and data analysis to the Secretary of the Treasury for tracking and controlling foreign assets.
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10,000. The subtitle increases civil and criminal penalties for money laundering and introduces penalties for violations of
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This report was submitted to Congress on December 31, 2001. It gives a background to money laundering and how the BSA and
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are the most susceptible to money laundering because money launders can get easy access to their money. The report found
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was modified to include as the reporting requirements section 21 of the Federal Deposit Insurance Act and section 123 of
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Based on the findings, the Secretary offered the following recommendations for legislative and/or regulatory change:
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Maintain a government-wide data access service, with access, in accordance with applicable legal requirements, to:
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are long term investments that provide little opportunity to redeem their investments. The report also noted that
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to instruct any United States Executive Directors of the international financial institutions (for example, the
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the information collected by the Department of the Treasury, including report information filed under the BSA;
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institutions to use their voice and vote to support any country that has taken action to support the U.S.'s
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Existing BSA regulations are applicable to the U.S.-based operators of informal value transfer systems.
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Under the BSA, any person or group of people who transfer money as a business are defined as a
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agency or organisation. Exemptions for disclosure are made for circumstances covered under the
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Title III of the USA PATRIOT Act was passed with very little debate and the final vote in the
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Such other duties and powers as the Secretary of the Treasury may delegate or prescribe.
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Please help update this article to reflect recent events or newly available information.
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to be the most vulnerable to money laundering. This was because of the relatively high
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deals with financial recordkeeping and reporting of currency and foreign transactions.
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for providing such information, if it can be proven that it was done in good faith.
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registered under the Commodity Exchange Act to submit suspicious activity reports.
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The transactions requiring CTR filings are too infrequent. According to the study:
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Analyze and disseminate the available data in order to deal with financial crime.
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International Money Laundering Abatement and Anti-terrorist Financing Act of 2001
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The U.S. Secretary of Treasury was charged with establishing a highly secure
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Providing for victims of terrorism, public safety officers and their families
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Sec. 359. Reporting of suspicious activities by underground banking systems
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was 412-1. The sole dissenting voice of an earlier version of the Act (the
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Difficulty in determining whether a customer is eligible for exemption;
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Sec. 364. Uniform protection authority for Federal Reserve facilities
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A report was required to be submitted to Congress on the role of the
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House Report 107-250 - Part 1 - FINANCIAL ANTI-TERRORISM ACT OF 2001
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The fear of regulatory action if an exemption turns out to be wrong;
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also gave FinCEN guaranteed funding for the period of 2002 to 2005.
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Increased information sharing for critical infrastructure protection
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Sec. 351. Amendments relating to reporting of suspicious activities
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The report was also meant to look into anti-money regulations for
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Sec. 358. Bank secrecy provisions & anti-terrorism activities
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and gaming institutions with those Bank Secrecy Act provisions".
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information regarding national and international currency flows;
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Sec. 356. Reporting suspicious activities of brokers and dealers
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Subtitle B: Bank Secrecy Act Amendments and Related Improvements
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The report was submitted on April 26, 2002 and concluded that,
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likely to allow "anonymous" investments. The report notes that
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Lack of staff time to review CTRs for possible exemptions; and
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Sec. 357. Report on administration of bank secrecy provisions
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For unregistered investment companies, the report found that
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Sec. 355. Written employment references and illegal activity
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can now also be used for the purposes of counter-terrorism
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The problem here is that there is no section 5333 of the
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overwhelming. Therefore, in 1986, Congress passed the
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Sec. 360. Use of authority of U.S. Executive Directors
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Sec. 363. Increase in penalties for money laundering
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Bank Secrecy Act Amendments and Related Improvements
1201:Section 21 of the Federal Deposit Insurance Act is 471:The section also lengthens the effective period of 427:
Sec. 353. GTOs: penalties and lengthening of period
299:Subtitle B legislated for the creation of a secure 1936: 1934: 1932: 1930: 1371: 900: 761:other privately and publicly available information 1339: 377:(BSA) was amended to give financial institutions 178:Strengthening the criminal laws against terrorism 1965: 1635: 1317: 897:and regulations prescribed under such section." 864:Sec. 365. Reports relating to coins and currency 848:Board of Governors of the Federal Reserve System 816:Sec. 362. Establishment of highly secure network 317:Board of Governors of the Federal Reserve System 1927: 1805:, as well as in special measures imposed under 1238: 1388: 1195: 735:Sec. 361. Financial crimes enforcement network 1497:The amendment was made to section 626 of the 1356: 980: 225: 139:Removing obstacles to investigating terrorism 74:Enhancing Domestic Security against Terrorism 1657:The following is taken almost directly from 1293: 1843:A short note: Section 365 actually amended 1212: 1169: 1160: 1105: 520: 1421: 232: 218: 1887:Cornell University's note on this section 1406: 1178: 479:Sec. 354. Anti-money laundering strategy 418:Sec. 352. Anti-money laundering programs 296:and certain recordkeeping requirements. 1922:"Currency Reporting - Money Laundering" 1534:, pages 3 & 4. The report includes 1276: 1093: 974: 348:and former presidential nominee of the 271:Title III is itself divided into three 1966: 1917:United States Internal Revenue Service 1255: 654:Right to Financial Privacy Act of 1978 334:United States House of Representatives 1554:as "informal value transfer systems". 932:The additional costs associated with 256:in 2001. It has ten titles, with the 1956:United States Department of Treasury 1614:United States Department of Treasury 1520:United States Department of Treasury 1324:United States Department of Treasury 1140:United States Department of Treasury 688:in order to bring those who operate 412:Commodity Futures Trading Commission 313:United States Department of Treasury 15: 1761:was amended by appending section 7. 1695:United States Secretary of Treasury 13: 1166:Title III, Section 353(a) and (b). 14: 1985: 406:organisation registered with the 408:Security and Exchange Commission 275:. The second subtitle, entitled 248:was passed by the United States 87:Enhanced Surveillance Procedures 20: 1909: 1892: 1837: 1816: 1779: 1764: 1746: 1727: 1686: 1669: 1651: 1606: 1591: 1574: 1557: 1512: 1491: 1472: 1453: 1436: 901:Sec. 366. Efficient use of CTRs 827:Federal Bureau of Investigation 690:informal value transfer systems 507:Securities Exchange Act of 1934 1004:, Dissenting views (Ron Paul). 575:are highly regulated and that 1: 1950:(October 2002). Submitted by 1263:Federal Deposit Insurance Act 392:Federal Deposit Insurance Act 252:in 2001 as a response to the 1184:Section 123, P.L. 91-508 is 914:(CTRs) filed on in the 2002 912:Currency transaction reports 908:Money Laundering Control Act 585:Real Estate Investment Trust 402:made under the rules of any 338:Financial Anti-Terrorism Act 283:(BSA) to make it harder for 7: 725:International Monetary Fund 719:The Patriot Act allows the 503:suspicious activity reports 473:geographic targeting orders 294:geographic targeting orders 10: 1990: 1273:) - section (w) was added. 1218:Title III, Section 353(d). 1175:Title III, Section 353(c). 606:personal holdings accounts 475:from 60 days to 180 days. 327: 315:. The subtitle allows the 1628:, page 3 (taken from the 1499:Fair Credit Reporting Act 666:Fair Credit Reporting Act 622:money services businesses 528:Anti-Money Laundering Act 29:This article needs to be 1851:to state the following: 1478:Amendments were made to 1071:§ 1828(g)(2)(B)(ii) 855:and to make arrests for 618:Internal Revenue Service 521:Investment company study 515:commodity pool operators 344:U.S. Representative for 1924:(accessed May 27, 2006) 721:United States President 686:money services business 501:Section 356 deals with 279:, largely modifies the 950: 633: 598: 557:unit investment trusts 366: 1740:May 24, 2006, at the 1713:May 10, 2006, at the 945: 838:laundering measures. 629: 593: 581:venture capital funds 361: 264:and the financing of 191:Improved intelligence 126:Protecting the border 1586:§ 5330(d)(1)(A) 1569:§ 5312(a)(2)(R) 1351:§ 5318(g)(4)(B) 975:References and notes 577:private equity funds 536:investment companies 400:employment reference 254:September 11 attacks 1824:Federal Reserve Act 1459:This is defined in 991:Library of Congress 647:Privacy Act of 1974 1946:2006-05-17 at the 1883:United States Code 1822:Section 11 of the 1624:2006-05-24 at the 1530:2006-05-24 at the 1333:2006-05-30 at the 1326:(April 26, 2002). 1311:2006-05-10 at the 1261:Section 18 of the 1149:2007-04-01 at the 1128:2006-03-28 at the 1117:2006-09-30 at the 1000:2016-01-16 at the 396:termination notice 1954:on behalf of the 1630:Executive Summary 1617:(November 2002), 1523:(November 2002), 1485:§ 3420(a)(2) 1288:§ 78c(a)(10) 1233:§ 5341(a)(1) 1153:(December 2005). 1036:§ 5318(g)(2) 1019:§ 5318(g)(3) 350:Libertarian Party 242: 241: 209: 208: 50: 49: 1981: 1959: 1938: 1925: 1913: 1907: 1906: 1896: 1890: 1841: 1835: 1820: 1814: 1804: 1794: 1783: 1777: 1768: 1762: 1760: 1750: 1744: 1731: 1725: 1690: 1684: 1683: 1673: 1667: 1666: 1664:§ 310(b)(2) 1655: 1649: 1639: 1633: 1610: 1604: 1595: 1589: 1588: 1578: 1572: 1571: 1561: 1555: 1516: 1510: 1501:, which is also 1495: 1489: 1487: 1476: 1470: 1468: 1457: 1451: 1450: 1440: 1434: 1425: 1419: 1410: 1404: 1403: 1392: 1386: 1385: 1375: 1369: 1360: 1354: 1353: 1343: 1337: 1321: 1315: 1297: 1291: 1290: 1280: 1274: 1259: 1253: 1252: 1242: 1236: 1235: 1225: 1219: 1216: 1210: 1199: 1193: 1182: 1176: 1173: 1167: 1164: 1158: 1109: 1103: 1097: 1091: 1090: 1080: 1074: 1073: 1063: 1057: 1055: 1045: 1039: 1038: 1028: 1022: 1021: 1011: 1005: 984: 549:closed-end funds 467: 445: 394:or in a written 375:Bank Secrecy Act 322:War on Terrorism 285:money launderers 281:Bank Secrecy Act 262:money laundering 234: 227: 220: 64: 63: 52: 51: 45: 42: 36: 24: 23: 16: 1989: 1988: 1984: 1983: 1982: 1980: 1979: 1978: 1964: 1963: 1962: 1948:Wayback Machine 1939: 1928: 1914: 1910: 1898: 1897: 1893: 1842: 1838: 1821: 1817: 1796: 1786: 1784: 1780: 1769: 1765: 1752: 1751: 1747: 1742:Wayback Machine 1732: 1728: 1715:Wayback Machine 1691: 1687: 1675: 1674: 1670: 1658: 1656: 1652: 1640: 1636: 1626:Wayback Machine 1611: 1607: 1596: 1592: 1580: 1579: 1575: 1563: 1562: 1558: 1532:Wayback Machine 1517: 1513: 1496: 1492: 1479: 1477: 1473: 1460: 1458: 1454: 1442: 1441: 1437: 1426: 1422: 1411: 1407: 1401:§ 1829b(a) 1395: 1393: 1389: 1377: 1376: 1372: 1361: 1357: 1345: 1344: 1340: 1335:Wayback Machine 1322: 1318: 1313:Wayback Machine 1298: 1294: 1282: 1281: 1277: 1260: 1256: 1244: 1243: 1239: 1227: 1226: 1222: 1217: 1213: 1200: 1196: 1183: 1179: 1174: 1170: 1165: 1161: 1155:Dechert OnPoint 1151:Wayback Machine 1130:Wayback Machine 1119:Wayback Machine 1110: 1106: 1098: 1094: 1082: 1081: 1077: 1065: 1064: 1060: 1047: 1046: 1042: 1030: 1029: 1025: 1013: 1012: 1008: 1002:Wayback Machine 985: 981: 977: 903: 866: 844: 835: 818: 737: 717: 682: 638: 614: 573:commodity pools 523: 499: 490: 481: 459: 437: 429: 420: 388:U.S. government 371: 330: 246:USA PATRIOT Act 238: 114: 46: 40: 37: 34: 25: 21: 12: 11: 5: 1987: 1977: 1976: 1961: 1960: 1926: 1908: 1904:§ 5312(a) 1891: 1880: 1879: 1878: 1877: 1871: 1864: 1845:31 U.S.C. 1836: 1834:) was amended. 1828:12 U.S.C. 1815: 1807:31 U.S.C. 1802:§ 5318(j) 1792:§ 5318(i) 1785:So defined in 1778: 1771:31 U.S.C. 1763: 1758:§ 5321(a) 1745: 1726: 1724: 1723: 1718: 1708:April 24, 2003 1705: 1702:April 24, 2002 1685: 1668: 1650: 1642:31 U.S.C. 1634: 1605: 1598:12 U.S.C. 1590: 1573: 1556: 1511: 1503:15 U.S.C. 1490: 1471: 1466:§ 3412(a) 1452: 1448:§ 3412(a) 1435: 1420: 1413:31 U.S.C. 1405: 1387: 1383:§ 1953(a) 1370: 1363:31 U.S.C. 1355: 1338: 1316: 1292: 1275: 1267:12 U.S.C. 1254: 1250:§ 5341(b) 1237: 1220: 1211: 1203:12 U.S.C. 1194: 1186:12 U.S.C. 1177: 1168: 1159: 1112:31 CFR 103.137 1104: 1092: 1088:§ 5318(h) 1075: 1058: 1053:§ 1828(w) 1040: 1023: 1006: 978: 976: 973: 972: 971: 968: 965: 962: 959: 952: 951: 943: 940: 937: 930: 927: 916:financial year 902: 899: 887:31 U.S.C. 879:31 U.S.C. 871:31 U.S.C. 865: 862: 843: 840: 834: 831: 817: 814: 806:31 U.S.C. 795:31 U.S.C. 791: 790: 787: 784: 781: 778: 774: 770: 767: 764: 763: 762: 759: 756: 753: 747: 736: 733: 716: 713: 712: 711: 707: 704: 701: 681: 678: 637: 634: 613: 610: 553:interval funds 522: 519: 498: 495: 489: 486: 480: 477: 465:§ 1953(b) 446:it is against 443:§ 5324(a) 436:91-508. Under 428: 425: 419: 416: 404:self-regulated 379:legal immunity 370: 367: 329: 326: 240: 239: 237: 236: 229: 222: 214: 211: 210: 207: 206: 201: 194: 193: 188: 181: 180: 175: 168: 167: 162: 155: 154: 149: 142: 141: 136: 129: 128: 123: 116: 115: 113: 112: 111: 110: 99: 97: 90: 89: 84: 77: 76: 71: 60: 59: 48: 47: 28: 26: 19: 9: 6: 4: 3: 2: 1986: 1975: 1972: 1971: 1969: 1957: 1953: 1949: 1945: 1942: 1937: 1935: 1933: 1931: 1923: 1919: 1918: 1912: 1905: 1901: 1895: 1888: 1884: 1875: 1872: 1868: 1865: 1862: 1859: 1858: 1856: 1853: 1852: 1850: 1846: 1840: 1833: 1829: 1825: 1819: 1812: 1808: 1803: 1799: 1793: 1789: 1782: 1776: 1772: 1767: 1759: 1755: 1749: 1743: 1739: 1736: 1730: 1722: 1721:April 8, 2005 1719: 1716: 1712: 1709: 1706: 1703: 1700: 1699: 1697: 1696: 1689: 1682: 1681:§ 310(c) 1678: 1672: 1665: 1661: 1654: 1647: 1643: 1638: 1631: 1627: 1623: 1620: 1616: 1615: 1609: 1603: 1599: 1594: 1587: 1583: 1577: 1570: 1566: 1560: 1553: 1549: 1545: 1541: 1537: 1533: 1529: 1526: 1522: 1521: 1515: 1508: 1504: 1500: 1494: 1486: 1482: 1475: 1467: 1463: 1456: 1449: 1445: 1439: 1433: 1429: 1428:5 U.S.C. 1424: 1418: 1414: 1409: 1402: 1398: 1394:This is also 1391: 1384: 1380: 1374: 1368: 1364: 1359: 1352: 1348: 1342: 1336: 1332: 1329: 1325: 1320: 1314: 1310: 1307: 1303: 1302: 1296: 1289: 1285: 1279: 1272: 1268: 1264: 1258: 1251: 1247: 1241: 1234: 1230: 1224: 1215: 1208: 1204: 1198: 1191: 1187: 1181: 1172: 1163: 1156: 1152: 1148: 1145: 1141: 1137: 1136: 1131: 1127: 1124: 1120: 1116: 1113: 1108: 1101: 1096: 1089: 1085: 1079: 1072: 1068: 1062: 1054: 1050: 1044: 1037: 1033: 1027: 1020: 1016: 1010: 1003: 999: 996: 992: 988: 983: 979: 969: 966: 963: 960: 957: 956: 955: 949: 948:institutions. 944: 941: 938: 935: 934:due diligence 931: 928: 925: 924: 923: 919: 917: 913: 909: 898: 896: 892: 888: 884: 880: 876: 872: 861: 858: 854: 849: 839: 830: 828: 823: 813: 811: 807: 802: 800: 796: 788: 785: 782: 779: 775: 771: 768: 765: 760: 757: 754: 751: 750: 748: 745: 744: 743: 741: 732: 730: 726: 722: 708: 705: 702: 699: 698: 697: 694: 691: 687: 677: 674: 672: 667: 662: 660: 655: 650: 648: 642: 632: 628: 625: 623: 619: 609: 607: 602: 597: 592: 588: 586: 582: 578: 574: 569: 565: 560: 558: 554: 550: 546: 540: 537: 533: 529: 518: 516: 511: 508: 504: 494: 485: 476: 474: 469: 466: 462: 456: 454: 449: 444: 440: 435: 424: 415: 413: 410:(SEC) or the 409: 405: 401: 397: 393: 389: 384: 380: 376: 365: 360: 358: 354: 351: 347: 343: 339: 335: 325: 323: 318: 314: 310: 306: 302: 297: 295: 291: 286: 282: 278: 274: 269: 267: 263: 259: 255: 251: 247: 235: 230: 228: 223: 221: 216: 215: 213: 212: 205: 204:Miscellaneous 202: 199: 196: 195: 192: 189: 186: 183: 182: 179: 176: 173: 170: 169: 166: 163: 160: 157: 156: 153: 150: 147: 144: 143: 140: 137: 134: 131: 130: 127: 124: 121: 118: 117: 109: 106: 105: 104: 101: 100: 98: 95: 92: 91: 88: 85: 82: 79: 78: 75: 72: 69: 66: 65: 62: 61: 57: 54: 53: 44: 32: 27: 18: 17: 1915: 1911: 1894: 1873: 1866: 1860: 1854: 1839: 1818: 1811:§ 5318A 1781: 1766: 1748: 1729: 1693: 1688: 1671: 1653: 1637: 1612: 1608: 1602:§ 1829b 1593: 1576: 1559: 1518: 1514: 1507:§ 1681v 1493: 1474: 1455: 1438: 1423: 1408: 1390: 1373: 1358: 1341: 1319: 1299: 1295: 1278: 1257: 1240: 1223: 1214: 1207:§ 1829b 1197: 1180: 1171: 1162: 1154: 1133: 1107: 1095: 1078: 1061: 1043: 1026: 1009: 986: 982: 953: 946: 920: 904: 895:section 5313 867: 845: 836: 819: 803: 792: 738: 718: 695: 683: 675: 663: 651: 643: 639: 630: 626: 615: 603: 599: 594: 589: 561: 545:mutual funds 541: 524: 512: 500: 491: 482: 470: 457: 430: 421: 372: 362: 331: 298: 276: 270: 243: 107: 38: 30: 1974:Patriot Act 1849:§ 5324 1775:§ 5322 1417:§ 5319 1367:§ 5311 1271:§ 1828 1190:§ 1953 1157:, issue 29. 891:§ 5324 883:§ 5331 875:§ 5315 810:§ 5314 671:safe harbor 564:hedge funds 357:section 356 258:third title 56:Patriot Act 1832:§ 248 1646:§ 310 1544:fei ch'ien 1432:§ 552 1100:31 CFR 103 799:§ 310 729:World Bank 659:grand jury 596:oversight. 453:Public Law 434:Public Law 342:Republican 172:Title VIII 41:March 2014 1900:31 U.S.C. 1798:31 U.S.C. 1788:31 U.S.C. 1754:31 U.S.C. 1677:31 U.S.C. 1660:31 U.S.C. 1582:31 U.S.C. 1565:31 U.S.C. 1552:hui k'aun 1481:12 U.S.C. 1462:12 U.S.C. 1444:12 U.S.C. 1397:12 U.S.C. 1379:12 U.S.C. 1347:31 U.S.C. 1284:15 U.S.C. 1246:31 U.S.C. 1229:31 U.S.C. 1084:31 U.S.C. 1067:12 U.S.C. 1049:12 U.S.C. 1032:31 U.S.C. 1015:31 U.S.C. 568:liquidity 461:12 U.S.C. 439:31 U.S.C. 383:liability 273:subtitles 266:terrorism 159:Title VII 94:Title III 1968:Category 1944:Archived 1738:Archived 1711:Archived 1622:Archived 1548:hoe kuan 1528:Archived 1331:Archived 1309:Archived 1147:Archived 1126:Archived 1115:Archived 998:Archived 857:felonies 853:firearms 727:and the 455:91-508. 448:U.S. Law 353:Ron Paul 250:Congress 185:Title IX 146:Title VI 120:Title IV 81:Title II 822:network 710:needed. 328:Dissent 311:of the 301:network 198:Title X 133:Title V 68:Title I 31:updated 1952:FinCEN 1902:  1847:  1830:  1809:  1800:  1790:  1773:  1756:  1679:  1662:  1644:  1600:  1584:  1567:  1536:hawala 1505:  1483:  1464:  1446:  1430:  1415:  1399:  1381:  1365:  1349:  1301:FinCEN 1286:  1269:  1248:  1231:  1205:  1188:  1138:& 1135:FinCEN 1121:& 1086:  1069:  1051:  1034:  1017:  987:THOMAS 889:  881:  873:  808:  797:  740:FinCEN 463:  441:  340:) was 309:bureau 305:FinCEN 58:Titles 1540:hundi 777:laws. 381:from 346:Texas 1795:and 1735:2002 846:The 664:The 652:The 579:and 551:and 373:The 290:US$ 244:The 1874:(3) 1867:(2) 1861:(1) 993:), 532:AML 398:or 1970:: 1929:^ 1920:, 1889:.) 1870:or 1698:: 1632:). 1550:, 1546:, 1542:, 1538:, 1304:, 1132:, 885:. 649:. 307:a 268:. 1958:. 1826:( 1813:. 1717:, 1704:, 1509:. 1488:. 1469:. 1265:( 1209:. 1192:. 989:( 936:; 530:( 233:e 226:t 219:v 200:: 187:: 174:: 161:: 148:: 135:: 122:: 96:: 83:: 70:: 43:) 39:( 33:.

Index

Patriot Act
Title I
Enhancing Domestic Security against Terrorism
Title II
Enhanced Surveillance Procedures
Title III
International Money Laundering Abatement and Anti-terrorist Financing Act of 2001
Bank Secrecy Act Amendments and Related Improvements
Title IV
Protecting the border
Title V
Removing obstacles to investigating terrorism
Title VI
Providing for victims of terrorism, public safety officers and their families
Title VII
Increased information sharing for critical infrastructure protection
Title VIII
Strengthening the criminal laws against terrorism
Title IX
Improved intelligence
Title X
Miscellaneous
v
t
e
USA PATRIOT Act
Congress
September 11 attacks
third title
money laundering

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