Regulatory Alerts2002-09-26
Added
Anti-Money Laundering Requirements -- Correspondent Accounts for Foreign Shell Banks; Recordkeeping and Termination of Correspondent Accounts for Foreign Banks
The Department of the Treasury, through the Financial Crimes Enforcement Network, issues a final rule implementing provisions of the USA PATRIOT Act that prohibit covered financial institutions from providing correspondent accounts to foreign shell banks. The rule requires these institutions to maintain records of the ownership of foreign banks and their designated U.S. agents for service of legal process, and to terminate accounts if a foreign bank fails to comply with a lawful summons or subpoena issued by the Secretary of the Treasury or the Attorney General. This final rule adopts an interim rule published in 2001 as final, with no changes made due to the absence of public comments, and takes effect on October 28, 2002.
Topics
Share