Customer Identification Programs, Anti-Money Laundering Programs, and Beneficial Ownership Requirements for Banks Lacking a Federal Functional Regulator

1The BSA is codified at 12 U.S.C. 1829b, 12 U.S.C. 1951–1959, 31 U.S.C. 5311–5314 and 5316– 5332, and notes thereto, with implementing regulations at 31 CFR chapter X. See 31 CFR 1010.100(e). 2Treasury Order 180–01 (Jul. 1, 2014). 3 31 U.S.C. 5311. 4 31 U.S.C. 5318(h). www.regulations.gov or http:// arlweb.msha.gov/currentcomments.asp. To read background documents, go to http://www.regulations.gov. Review the docket in person at MSHA, Office of Standards, Regulations, and Variances, 201 12th Street South, Arlington, Virginia, between 9:00 a.m. and 5:00 p.m. Monday through Friday, except Federal Holidays. Sign in at the receptionist’s desk in Suite 4E401. Email Notification: To subscribe to receive an email notification when MSHA publishes rules in the Federal Register, go to http://www.msha.gov. FOR FURTHER INFORMATION CONTACT:
Sheila A. McConnell, Director, Office of Standards, Regulations, and Variances, MSHA, at mcconnell.sheila.a@dol.gov (email), 202–693–9440 (voice); or 202– 693–9441 (facsimile). These are not toll￾free numbers. SUPPLEMENTARY INFORMATION: On June 8, 2016 (81 FR 36826), MSHA published a request for information on Exposure of Underground Miners to Diesel Exhaust. The request for information seeks input from the public that will help MSHA evaluate the Agency’s existing standards and policy guidance on controlling miners’ exposures to diesel exhaust to evaluate the effectiveness of the protection now in place to preserve miners’ health. On June 27, 2016, (81 FR 41486), MSHA published a notice in the Federal Register announcing the dates and locations for four public meetings on the request for information. MSHA held meetings on July 19, 21, and 26 and August 4, 2016. In response to requests from the public, MSHA is providing additional time for interested parties to comment. MSHA is extending the comment period from September 6, 2016, to November 30, 2016. Dated: August 17, 2016. Joseph A. Main, Assistant Secretary of Labor for Mine Safety and Health. [FR Doc. 2016–20396 Filed 8–24–16; 8:45 am] BILLING CODE 4520–43–P DEPARTMENT OF THE TREASURY Financial Crimes Enforcement Network 31 CFR Parts 1010 and 1020 RIN 1506–AB28 Customer Identification Programs, Anti-Money Laundering Programs, and Beneficial Ownership Requirements for Banks Lacking a Federal Functional Regulator AGENCY: Financial Crimes Enforcement Network (‘‘FinCEN’’), Treasury. ACTION: Notice of proposed rulemaking. SUMMARY: FinCEN is issuing this proposed rule to implement section 326 of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 and to remove the anti-money laundering program exemption for banks that lack a Federal functional regulator, including, but not limited to, private banks, non-federally insured credit unions, and certain trust companies. The proposed rule would prescribe minimum standards for anti-money laundering programs for banks without a Federal functional regulator to ensure that all banks, regardless of whether they are subject to Federal regulation and oversight, are required to establish and implement anti-money laundering programs, and would extend customer identification program requirements and beneficial ownership requirements to those banks not already subject to these requirements. DATES: Written comments may be submitted to FinCEN on or before October 24, 2016. ADDRESSES: You may submit comments, identified by Regulatory Identification Number (RIN) 1506–AB28, by any of the following methods:

• Federal E-rulemaking Portal: http://
  www.regulations.gov. Follow the instructions for submitting comments. Include 1506–AB28 in the submission. Refer to Docket Number FINCEN–2014– 0004.
• Mail: Policy Division, Financial
  Crimes Enforcement Network, P.O. Box 39, Vienna, VA 22183. Include 1506– AB28 in the body of the text. Please submit comments by one method only. Comments submitted in response to this notice of proposed rulemaking (‘‘NPRM’’) will become a matter of public record. Therefore, you should submit only information that you wish to make publicly available. Inspection of comments: FinCEN uses the electronic, Internet-accessible dockets at Regulations.gov as their complete, official-record docket; all hard copies of materials that should be in the docket, including public comments, are electronically scanned and placed there. Federal Register notices published by FinCEN are searchable by docket number, RIN, or document title, among other things, and the docket number, RIN, and title may be found at the beginning of the notice. In general, FinCEN will make all comments publicly available by posting them on http://www.regulations.gov. FOR FURTHER INFORMATION CONTACT: The FinCEN Resource Center at (800) 767– 2825 or email frc@fincen.gov. SUPPLEMENTARY INFORMATION:
  I. Background
  A. Statutory Provisions FinCEN exercises regulatory functions primarily under the Currency and Financial Transactions Reporting Act of 1970, as amended by the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (‘‘USA PATRIOT Act’’) (Pub. L. 107–56) and other legislation. This legislative framework is commonly referred to as the ‘‘Bank Secrecy Act’’ (‘‘BSA’’).1 The Secretary of the Treasury (‘‘Secretary’’) has delegated to the Director of FinCEN the authority to implement, administer, and enforce compliance with the BSA and associated regulations.2 Pursuant to this authority, FinCEN may issue regulations requiring financial institutions to keep records and file reports that ‘‘have a high degree of usefulness in criminal, tax, or regulatory investigations or proceedings, or in the conduct of intelligence or counterintelligence activities, including analysis, to protect against international terrorism.’’ 3 Additionally, FinCEN is authorized to impose anti-money laundering (‘‘AML’’) program requirements for financial institutions.4
  Section 352 of the USA PATRIOT Act
  requires financial institutions to establish AML programs that, at a minimum, include: (1) The development of internal policies, procedures, and controls; (2) the designation of a compliance officer; (3) an ongoing employee training program; and (4) an independent audit function