The Acting Director of the Financial Crimes Enforcement Network (FinCEN) of the US Treasury Department Himamauli Das delivered remarks to the American Bankers Association (ABA) Financial Crimes Enforcement Conference on 6 December 2022, addressing additional rule making beyond the initial reporting requirement issued by the US Treasury in September.
Director Das stated that the new rule on beneficial ownership reporting implemented by the US Treasury as part of the Corporate Transparency Act (CTA) was only the first of three rulemakings required by the CTA.
According to Director Das, the second rulemaking is referred to as the "access rule" and will lay out protocols for access to a beneficial ownership databased by law enforcement at the federal, state, local and tribal levels as well as financial institutions.
Additionally, Director Das mentioned the third rulemaking in which the CTA requires a revision of the Customer Due Diligence (CDD) rule in order for it to be in conformity with the CTA. Those revisions must be completed no later that one year after the effective date of the reporting rule. The effective date for the reporting rule was 1 January 2024.
Note: The Treasury established FinCEN in 1990 to provide a government-wide multisource financial intelligence and analysis network. The organization's mission is to enhance US national security, deter and detect criminal activity, and safeguard financial systems from abuse by promoting transparency in the US and international financial systems.