[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