Finding that the Islamic Republic of Iran is a Jurisdiction of Primary Money Laundering Concern

1Therefore, references to the authority and findings of the Secretary in this document apply equally to the Director of FinCEN. 2 31 U.S.C. 5318A was amended by section 501 of the Iran Freedom Support Act of 2006, Public Law 109–293. Interest in Electing Investment Partnership (EIP). Abstract: The American Jobs Creation Act of 2004, Public Law 108–357, 118 Stat. 1418 (the Act), was enacted on October 22, 2004. The Treasury Department and the Internal Revenue Service intend to issue regulations implementing §§ 833 and 834 of the Act, which amended 704, 734, 743, and 6031 of the Internal Revenue Code. This notice provides interim procedures for partnerships and their partners to comply with the mandatory basis provisions of 734 and 743, as amended by the Act. This notice also provides interim procedures for electing investment partnerships (EIPs) and their partners to comply with §§ 743(e) and 6031(f), as provided in § 833(b) of the Act. Respondents: Private Sector:
Businesses or other for-profits.
Estimated Total Burden Hours:
552,100.
OMB Number: 1545–1940.
Type of Review: Extension without change of a currently approved collection. Title: RP–2005–26—Revenue Procedure Regarding Extended Period of Limitations for Listed Transaction Situations. Abstract: This revenue procedure provides procedures that taxpayers and material advisors may use to disclose a listed transaction that the taxpayer previously failed to disclose. Respondents: Individuals and Households. Estimated Total Burden Hours: 430. OMB Number: 1545–2129. Type of Review: Extension without change of a currently approved collection. Title: Exercise of an Incentive Stock Option Under * * *; Transfer of Stock Acquired Through an * * *; REG– 103146–08—Information Reporting Requirements Under Code Sec. 6039. Forms: 3922, 3921. Abstract: Form 3921 is a copy of the information return filed with the IRS which transferred shares of stock to a recipient through exercise of an incentive stock option under section 422(b). Form 3922 is used to record a transfer of the legal title of a share of stock acquired by the employee where the stock was acquired pursuant to the exercise of an option described in
section 423(c). REG–103146–08—
reflects the changes to section 6039 of the Internal Revenue Code made by
section 403 of the Tax Relief and Health
Care Act of 2006.
Respondents: Private Sector:
Businesses or other for-profits.
Estimated Total Burden Hours:
25,205.
Bureau Clearance Officer: Yvette Lawrence, Internal Revenue Service, 1111 Constitution Avenue NW., Washington, DC 20224; (202) 927–4374. OMB Reviewer: Shagufta Ahmed, Office of Management and Budget, New Executive Office Building, Room 10235, Washington, DC 20503; (202) 395–7873. Dawn D. Wolfgang, Treasury PRA Clearance Officer. [FR Doc. 2011–30353 Filed 11–23–11; 8:45 am] BILLING CODE 4830–01–P DEPARTMENT OF THE TREASURY Finding That the Islamic Republic of Iran Is a Jurisdiction of Primary Money Laundering Concern AGENCY: The Financial Crimes Enforcement Network (‘‘FinCEN’’), Treasury. ACTION: Notice of finding. SUMMARY: Pursuant to the authority contained in 31 U.S.C. 5318A, the Secretary of the Treasury, through his delegate, the Director of FinCEN, finds that reasonable grounds exist for concluding that the Islamic Republic of Iran is a jurisdiction of primary money laundering concern. DATES: The finding made in this notice is effective as of November 25, 2011. FOR FURTHER INFORMATION CONTACT:
Regulatory Policy and Programs Division, FinCEN, (800) 949–2732. SUPPLEMENTARY INFORMATION:
I. Background
A. Statutory Provisions
On October 26, 2001, the President signed into law the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (the ‘‘USA PATRIOT Act’’), Public Law 107–
56. Title III of the USA PATRIOT Act
amends the anti-money laundering provisions of the Bank Secrecy Act (‘‘BSA’’), codified at 12 U.S.C. 1829b, 12 U.S.C 1951–1959, and 31 U.S.C. 5311– 5314 and 5316–5332, to promote prevention, detection, and prosecution of international money laundering and the financing of terrorism. Regulations implementing the BSA appear at 31 CFR
Chapter X.
Section 311 of the USA PATRIOT Act
(‘‘section 311’’) added 31 U.S.C. section 5318A to the BSA, granting the Secretary of the Treasury (the ‘‘Secretary’’) the authority, upon finding that reasonable grounds exist for concluding that a foreign jurisdiction, institution, class of transactions, or type of account is of ‘‘primary money laundering concern,’’ to require domestic financial institutions and financial agencies to take certain ‘‘special measures’’ against the primary money laundering concern. Section 311 identifies factors for the Secretary to consider and requires Federal agencies to consult before the Secretary may conclude that a jurisdiction, institution, class of transaction, or type of account is of primary money laundering concern. The statute also provides similar procedures, i.e., factors and consultation requirements, for selecting the specific special measures to be imposed against the primary money laundering concern. For purposes of the finding contained in this notice, the Secretary has delegated his authority under section 311 to the Director of FinCEN.1 Taken as a whole, section 311 provides the Secretary with a range of options that can be adapted to target specific money laundering and terrorist financing concerns most effectively. Through the imposition of various special measures, the Secretary can gain more information about the jurisdictions, institutions, transactions, or accounts of concern; can more effectively monitor the respective jurisdictions, institutions, transactions, or accounts; or can prohibit U.S. financial institutions from involvement with jurisdictions, institutions, transactions, or accounts that pose a money laundering concern. Before making a finding that reasonable grounds exist for concluding that a jurisdiction is of primary money laundering concern, the Secretary is required to consult with both the Secretary of State and the Attorney General. The Secretary is also required by section 311, as amended,2 to consider ‘‘such information as the Secretary determines to be relevant, including the following potentially relevant factors,’’ which extend the Secretary’s consideration beyond traditional money laundering concerns to issues involving, inter alia, terrorist financing and weapons proliferation:

• Evidence that organized criminal
  groups, international terrorists, or entities involved in the proliferation of weapons of mass destruction (‘‘WMD’’) or missiles, have transacted business in that jurisdiction;