[Federal Register Volume 77, Number 54 (Tuesday, March 20, 2012)]
[Notices]
[Pages 16319-16321]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-6478]
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DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
Proposed Renewal; Comment Request; Anti-Money Laundering Programs
for Various Financial Institutions
AGENCY: Financial Crimes Enforcement Network, Department of the
Treasury.
ACTION: Notice and request for comments.
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SUMMARY: As part of our continuing effort to reduce paperwork and
respondent burden, we invite comment on a proposed renewal, without
change, to information collections found in existing regulations
requiring money services businesses, mutual funds, operators of credit
card systems, dealers in precious metals, stones, or jewels, and
certain insurance companies to develop and implement written anti-money
laundering programs reasonably designed to prevent those financial
institutions from being used to facilitate money laundering and the
financing of terrorist activities. This request for comments is being
made pursuant to the Paperwork Reduction Act of 1995, Pub. L. 104-13,
44 U.S.C. 3506(c)(2)(A).
DATES: Written comments are welcome and must be received on or before
May 21, 2012.
ADDRESSES: Written comments should be submitted to: Financial Crimes
Enforcement Network, P.O. Box 39, Vienna, VA 22183, Attention: Anti-
Money Laundering Program Comments. Comments also may be submitted by
electronic mail to the following Internet address:
[email protected], again with a caption, in the body of the text,
``Attention: Anti-Money Laundering Program Comments.''
Inspection of comments. Comments may be inspected, between 10 a.m.
and 4 p.m., in the FinCEN reading room in Vienna, VA. Persons wishing
to inspect the comments submitted must request an appointment with the
Disclosure Officer by telephoning (703) 905-5034 (Not a toll free
call).
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FOR FURTHER INFORMATION CONTACT: Financial Crimes Enforcement Network,
Regulatory Policy and Programs Division at (800) 949-2732, option 6.
SUPPLEMENTARY INFORMATION:
Abstract: FinCEN exercises regulatory functions primarily under the
Currency and Financial Transactions Reporting Act of 1970, as amended
by the USA PATRIOT Act of 2001 and other legislation. This legislative
framework is commonly referred to as the ``Bank Secrecy Act''
(``BSA'').\1\ The Secretary of the Treasury 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
regulations to maintain procedures to ensure compliance with the BSA
and FinCEN's implementing regulations, or to guard against money
laundering, which includes imposing anti-money laundering (``AML'')
program requirements on financial institutions.\4\
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\1\ The 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).
\2\ Treasury Order 180-01 (Sept. 26, 2002).
\3\ 31 U.S.C. 5311.
\4\ 31 U.S.C. 5318(a) and (h).
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Regulations implementing section 5318(h)(1) of the Act are found in
part at 31 CFR 1022.210, 1024.210, 1025.210, 1027.210, 1028.210, and
1029.210. In general, the regulations require financial institutions,
as defined in 31 U.S.C. 5312(a)(2) and 31 CFR 1010.100 to establish,
document, and maintain anti-money laundering programs as an aid in
protecting and securing the U.S. financial system.
1. Titles: Anti-money laundering programs for money services
businesses (31 CFR 1022.210), Anti-money laundering programs for mutual
funds (31 CFR 1024.210), Anti-money laundering programs for operators
of credit card systems (31 CFR 1028.210).
Office of Management and Budget (OMB) Control Number: 1506-0020.
Abstract: Money services businesses (31 CFR 1022.210), mutual funds
31 CFR 1024.210), and operators of credit card systems (31 CFR
1028.210) are required to develop and implement written anti-money
laundering programs. A copy of the written program must be maintained
for five years.
Current Action: This action incorporates providers of prepaid
access (31 CFR 1022.210(d)(iv)) into existing regulations.
Type of Review: Extension of a currently approved information
collection.
Affected Public: Business and other for-profit institutions.
Burden: Estimated Number of Respondents: 327,206.
31 CFR 1022.210(except (d)(iv)) = 252,100.
31 CFR 1022.210(d)(iv) = 72,100
31 CFR 1024.210 = 3,000.
31 CFR 1028.210 = 6.
Estimated Number of Responses: 2,838,406.
31 CFR 1022.210(except (d)(iv)) = 252,100.
31 CFR 1024.210 = 3,000.
31 CFR 1028.210 = 6.
31 CFR 1022.210(d)(iv) = 2,583,300.\5\
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\5\ Reflects the addition of providers of prepaid access renewal
program.
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Estimated Number of Hours: 341,216.
Estimated at one hour per respondent.
31 CFR 1022.210(except (d)(iv)) = 252,100.
31 CFR 1024.210 = 3,000.
31 CFR 1028.210 = 6.
Two minutes per response.
31 CFR 1022.210(d)(iv) = 86,110.
2. Title: Anti-money laundering programs for dealers in precious
metals, precious stones, or jewels (31 CFR 1027.210).
OMB Control Number: 1505-0030.
Abstract: Dealers in precious metals, stones, or jewels are
required to establish and maintain written anti-money laundering
programs. A copy of the written program must be maintained for five
years.
Current Action: There is no change to existing regulations.
Type of Review: Extension of a currently approved information
collection.
Affected Public: Business and other for-profit institutions.
Burden: Estimated Number of Respondents = 20,000.
Estimated Number of Responses = 20,000.
Estimated Number of Hours = 20,000.
3. Title: Anti-money laundering programs for insurance companies
(31 CFR 1025.210) and non-bank residential mortgage lenders and
originators (31 CFR 1029.210).
OMB Control Number: 1506-0035.
Abstract: Insurance companies and non-bank residential mortgage
lenders and originators are required to establish and maintain written
anti-money laundering programs. A copy of the written program must be
maintained for five years.
Current Action: This change incorporates non-bank residential
mortgage lenders and originators to existing regulations.
Type of Review: Extension of a currently approved information
collection.
Affected Public: Business and other for-profit institutions.
Burden: Estimated Number of Respondents = 1,200 (Insurance).
Estimated Number of Respondents = 31,000 (Non-bank residential
mortgage lender and originators).
Estimated Number of Responses = 1,200 (Insurance).
Estimated Number of Responses = 31,000 (Non-bank residential
mortgage lender and originators).
Estimated Number of Hours = 1,200 (Insurance).
Estimated Number of Hours = 93,000 (Non-bank residential mortgage
lender and originators. 3 hours for initial establishment of AML
program).
Total Burden Hours: 94,200.
An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information unless it displays a valid
control number assigned by the Office of Management and Budget. Records
required to be retained under the Bank Secrecy Act must be retained for
five years. Generally, information collected pursuant to the Bank
Secrecy Act is confidential but may be shared as provided by law with
regulatory and law enforcement authorities.
Request for Comments: \6\
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\6\ The listed burden for providers of prepaid access and non-
bank mortgage lenders and originators were recently approved by OMB
and are presented for information only.
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Comments submitted in response to this notice will be summarized
and/or included in the request for Office of Management and Budget
approval. All comments will become a matter of public record. Comments
are invited on: (a) Whether the collection of information is necessary
for the proper performance of the functions of the agency, including
whether the information shall have practical utility; (b) the accuracy
of the agency's estimate of the burden of the collection of
information; (c) ways to enhance the quality, utility, and clarity of
the information to be collected: (d) ways to minimize the burden of the
collection of information on respondents, including through the use of
automated collection
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techniques or other forms of information technology; and (e) estimates
of capital or start-up costs and costs of operation, maintenance and
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purchase of services to provide information.
Dated: February 13, 2012.
James H. Freis, Jr.,
Director, Financial Crimes Enforcement Network.
[FR Doc. 2012-6478 Filed 3-19-12; 8:45 am]
BILLING CODE 4810-02-P