The Federal Reserve Board, Federal Deposit Insurance Corporation, Office of the Comptroller of the Currency, and National Credit Union Association (Federal Banking Agencies or the Agencies), issued a Joint Statement on Enforcement of Bank Secrecy Act/Anti-Money Laundering Requirements (Statement) updating their 2007 Statement. The Agencies note this Statement does not create any new expectations or standards; rather, it clarifies how the Federal Banking Agencies evaluate enforcement actions when financial institutions fail to meet Bank Secrecy […]
Category: BSA
FINCEN ISSUES FAQS ON BSA REQUIREMENTS FOR PPP LOANS
The Small Business Administration’s Paycheck Protection Program, authorized by the CARES Act, became available on April 3 for small businesses and sole proprietorships and on April 10 for independent contractors and self-employed individuals. Lenders participating in the PPP have been overwhelmed by the number of applicants and are working diligently to process the loans expeditiously. One concern for lenders is providing a quick turnaround while still complying with the Bank Secrecy Act requirements. The SBA […]
AGENCIES ISSUE GUIDANCE ON SERVING HEMP RELATED BUSINESSES
The Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Financial Crimes Enforcement Network (FinCEN), and the Office of the Comptroller of the Currency in consultation with the Conference of State Bank Supervisors (the Agencies) have released a joint statement titled Providing Financial Services to Customers Engaged in Hemp-Related Businesses. The Agencies note the following: Hemp may be grown in compliance with one of the following: 1) Valid USDA-issued license; […]
FINCEN UPDATES CTR FILING INSTRUCTIONS
The Financial Crimes Enforcement Network (FinCEN) updated the Currency Transaction Reporting (CTR) Electronic Filing Instructions, FinCEN XML Schema 2.0 User Guide, on October 1, 2019. The version 1.4 update to the instructions includes technical corrections, changes how reporters should complete Part I of the CTR when multiple Item 2 roles apply to the person identified in Part I, and clarify when to complete Item 3 for multiple transactions involving multiple Part I sections with different […]
US HOUSE PASSES SAFE BANKING ACT CANNABIS BILL
Wednesday evening, in a bipartisan vote of 321 to 103, the United States House of Representatives passed the Safe and Fair Enforcement (SAFE) Banking Act of 2019 – H.R. 1595. The banking industry supported SAFE Banking Act, if enacted, would provide a safe harbor for financial institutions serving stated licensed cannabis related businesses (CRB). Although many states have legalized marijuana (cannabis), it remains illegal under federal law, specifically the Controlled Substances Act where it is […]