FinCEN issues AML standards for unregulated entities
The Financial Crimes Enforcement Network issued a Bank Secrecy Act final rule that requires minimum anti-money-laundering standards for banks without a federal functional regulator.
The rule—originally proposed in August 2016—also extends customer identification program and beneficial ownership requirements to affected institutions. It will apply largely to private banks, credit unions that aren’t federally insured, and certain trust companies.
In an October 2016 comment letter, ICBA said it supports a uniform compliance approach among all applicable financial institutions and agreed with the agency’s goal of eliminating the regulatory gap in AML coverage.
Compliance will be required 180 days after the rule is published in the Federal Register.