[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5525 Introduced in House (IH)]

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117th CONGRESS
  1st Session
                                H. R. 5525

 To amend the Bank Secrecy Act to expand the scope and authorities of 
    anti-money laundering safeguards under such Act, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 8, 2021

  Mr. Malinowski (for himself, Ms. Salazar, Mr. Cohen, Mr. Wilson of 
    South Carolina, Ms. Spanberger, and Mr. Hudson) introduced the 
   following bill; which was referred to the Committee on Financial 
                                Services

_______________________________________________________________________

                                 A BILL


 
 To amend the Bank Secrecy Act to expand the scope and authorities of 
    anti-money laundering safeguards under such Act, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Establishing New Authorities for 
Businesses Laundering and Enabling Risks to Security Act'' or the 
``ENABLERS Act''.

SEC. 2. FINANCIAL INSTITUTION DEFINITION.

    (a) In General.--Section 5312(a)(2) of title 31, United States 
Code, as amended by the William M. (Mac) Thornberry National Defense 
Authorization Act for Fiscal Year 2021, is amended--
            (1) by redesignating subparagraphs (Z) and (AA) as 
        subparagraphs (GG) and (HH), respectively; and
            (2) by inserting after subparagraph (Y) the following:
                    ``(Z) a person engaged in the business of providing 
                investment advice for compensation;
                    ``(AA) a person engaged in the trade in works of 
                art, antiques, or collectibles, including a dealer, 
                advisor, consultant, custodian, gallery, auction house, 
                museum, or any other person who engages as a business 
                in the solicitation or the sale of works of art, 
                antiques, or collectibles;
                    ``(BB) an attorney, law firm, or notary involved in 
                financial activity or related administrative activity 
                on behalf of another person;
                    ``(CC) a trust or company service provider, 
                including--
                            ``(i) a person involved in forming a 
                        corporation, limited liability company, trust, 
                        foundation, partnership, or other similar 
                        entity or arrangement;
                            ``(ii) a person involved in acting as, or 
                        arranging for another person to act as, a 
                        registered agent, trustee, or nominee to be a 
                        shareholder, officer, director, secretary, 
                        partner, signatory, or other similar position 
                        in relation to a person or arrangement;
                            ``(iii) a person involved in providing a 
                        registered office, address, or other similar 
                        service for a person or arrangement; or
                            ``(iv) any other person providing trust or 
                        company services, as defined by the Secretary 
                        of the Treasury;
                    ``(DD) a certified public accountant or public 
                accounting firm;
                    ``(EE) a person engaged in the business of public 
                relations, marketing, communications, or other similar 
                services in such a manner as to provide another person 
                anonymity or deniability;
                    ``(FF) a person engaged in the business of 
                providing third-party payment services, including 
                payment processing, check consolidation, cash vault 
                services, or other similar services designated by the 
                Secretary of the Treasury;''.
    (b) Rulemaking.--
            (1) In general.--Not later than December 31, 2023--
                    (A) the Secretary of the Treasury shall repeal 
                section 103.170 of title 31, Code of Federal 
                Regulations (relating to exemptions for certain 
                financial institutions);
                    (B) the Secretary of the Treasury shall issue one 
                or more rules to require all financial institutions (as 
                defined in section 5312(a)(2) of title 31, United 
                States Code) that have not already done so to--
                            (i) report suspicious transactions under 
                        section 5318(g) of title 31, United States 
                        Code;
                            (ii) establish anti-money laundering 
                        programs under section 5318(h) of title 31, 
                        United States Code;
                            (iii) establish due diligence policies, 
                        procedures, and controls under section 5318(i) 
                        of title 31, United States Code; and
                            (iv) identify and verify their account 
                        holders under section 5318(l) of title 31, 
                        United States Code.
            (2) Trust or company service provider.--In promulgating a 
        rule under paragraph (1)(B) to implement subparagraph (CC) of 
        section 5312(a)(2) of title 31, United States Code, as added by 
        subsection (a), the Secretary of Treasury shall exclude from 
        the category of covered persons--
                    (A) any government agency; and
                    (B) any attorney or law firm that uses a paid trust 
                or company service provider, including any paid entity 
                formation agent, operating within the United States.
    (c) Effective Date.--
            (1) In general.--Subparagraphs (Z) through (FF) of section 
        5312(a)(2) of title 31, United States Code, as added by 
        subsection (a), shall take effect on December 31, 2023.
            (2) Limitation on exemptions.--With respect to a person 
        described under subparagraphs (Z) through (FF) of section 
        5312(a)(2) of title 31, United States Code, as added by 
        subsection (a), the Secretary of the Treasury may not exempt 
        such person from any requirement under subchapter II of chapter 
        53 of title 31, United States Code, including any delay in such 
        application.
            (3) Application of certain provisions.--Any financial 
        institution (as defined in section 5312(a)(2) of title 31, 
        United States Code) that is not already required to comply with 
        subsections (g), (h), (i), and (l) of section 5318 of title 31, 
        United States Code, shall do so on and after June 30, 2024, 
        whether or not a rule has been issued under subsection 
        (b)(1)(B).

SEC. 3. TREASURY TASK FORCE AND STRATEGY.

    (a) In General.--The Secretary of the Treasury, acting through the 
Director of the Financial Crimes Enforcement Network, shall establish a 
task force to--
            (1) develop an ambitious, comprehensive, and multi-year 
        United States Government strategy to impose anti-money 
        laundering safeguards on all necessary gatekeeper professions;
            (2) designate and authorize a Federal or State agency to 
        enforce anti-money laundering requirements for each type of 
        financial institution defined in section 5312(a)(2) of title 
        31, United States Code; and
            (3) advance the regulatory rulemaking required under 
        section 2(b) of this Act.
    (b) Gatekeepers Strategy.--
            (1) In general.--Section 262 of the Countering America's 
        Adversaries Through Sanctions Act (Public Law 115-44), is 
        amended by inserting after paragraph (10) the following:
            ``(11) Gatekeepers strategy.--A description of efforts to 
        impose anti-money laundering safeguards on all necessary 
        gatekeeper professions, including art dealers, investment 
        advisors, real estate professionals, lawyers, accountants, 
        trust or company service providers, public relations 
        professionals, dealers of luxury vehicles, money service 
        businesses, and other similar professions.''.
            (2) Update clarification.--If, before the date of the 
        enactment of this Act, all updates to the national strategy 
        required by section 261(b) of the Countering America's 
        Adversaries Through Sanctions Act (Public Law 115-44) have been 
        completed, the President shall provide an additional update of 
        such national strategy to the Congress containing the contents 
        required under the amendment made by paragraph (1).

SEC. 4. REPORTING BY TITLE INSURANCE COMPANIES.

    (a) In General.--Not later than 90 days after the date of the 
enactment of this Act, the Secretary of the Treasury shall promulgate a 
rule requiring a domestic title insurance company to obtain, maintain, 
and report to the Secretary information on the beneficial owners of 
entities that purchase or sell residential or commercial real estate in 
transactions in which the domestic title insurance company is involved.
    (b) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary such sums as may be necessary to carry 
out this section.
    (c) Definitions.--In this section:
            (1) Beneficial owner.--The term ``beneficial owner'', with 
        respect to an entity, has the meaning as defined in section 
        5336 of subchapter II of chapter 53 of title 31, United States 
        Code.
            (2) Domestic title insurance company.--The term ``domestic 
        title insurance company'' has the meaning given that term in 
        regulations prescribed by the Secretary.
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