Regulatory Alerts2011-03-24
Interagency Guidance on Accepting Accounts from Foreign Embassies, Consulates and Missions
The Board of Governors of the Federal Reserve, FDIC, FinCEN, NCUA, OCC, and OTS issued supplemental guidance to clarify Bank Secrecy Act compliance for financial institutions serving foreign missions. The Agencies confirm that institutions have flexibility to provide these services while managing risks through tailored risk assessments, written agreements, and account monitoring. Supervisory expectations require effective controls and oversight, with regulators evaluating risk-based practices rather than mandating account closures except in extraordinary legal violation circumstances.
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