[Federal Register Volume 84, Number 195 (Tuesday, October 8, 2019)]
[Notices]
[Pages 53829-53830]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-21891]


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 DEPARTMENT OF THE TREASURY

Financial Crimes Enforcement Network


Renewal Without Change of Information Collection Requirements in 
Connection With the Imposition of a Special Measure Concerning Banco 
Delta Asia, Including Its Subsidiaries Delta Asia Credit Limited and 
Delta Asia Insurance Limited, as a Financial Institution of Primary 
Money Laundering Concern

AGENCY: Financial Crimes Enforcement Network (``FinCEN''), Treasury.

ACTION: Notice and request for comments.

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SUMMARY: As part of a continuing effort to reduce paperwork and 
respondent burden, FinCEN invites comment on a renewal, without change, 
to information collection requirements finalized on March 19, 2007, 
imposing a special measure with respect to Banco Delta Asia, including 
its subsidiaries Delta Asia Credit Limited and Delta Asia Insurance 
Limited, as a financial institution of primary money laundering 
concern. This request for comments is being made pursuant to the 
Paperwork Reduction Act of 1995.

DATES: Written comments are welcome and must be received on or before 
December 9, 2019.

ADDRESSES: Comments may be submitted by any of the following methods:
     Federal E-rulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments. Refer to Docket Number 
FINCEN-2019-0004 and the specific Office of Management and Budget (OMB) 
control number 1506-0045.
     Mail: Global Investigation Division, Financial Crimes 
Enforcement Network, P.O. Box 39, Vienna, VA 22183. Refer to Docket 
Number FINCEN-2019-0004 and OMB control number 1506-0045.
    Please submit comments by one method only. Comments will also be 
incorporated to FinCEN's retrospective regulatory review process, as 
mandated by E.O. 12866 and 13563. All comments submitted in response to 
this notice will become a matter of public record. Therefore, you 
should submit only information that you wish to make publicly 
available.

FOR FURTHER INFORMATION CONTACT: FinCEN Resource Center at 1-800-767-
2825 or 1-703-905-3591 (not a toll free number) and select option 3 for 
regulatory questions. Email inquiries can be sent to [email protected].

SUPPLEMENTARY INFORMATION: 

I. Background

a. Statutory Provisions

    On October 26, 2001, the President signed into law the Uniting and 
Strengthening America by Providing Appropriate Tools Required to 
Intercept and Obstruct Terrorism Act of 2001, Public Law 107-56 (the 
USA PATRIOT Act). Title III of the USA PATRIOT Act amended the anti-
money laundering (AML) provisions of the Bank Secrecy Act (BSA), 
codified at 12 U.S.C. 1829b, 12 U.S.C. 1951-1959, and 31 U.S.C. 5311-
5314, 5316-5332, to promote the prevention, detection, and prosecution 
of international money laundering and the financing of terrorism. 
Regulations implementing the BSA appear at 31 CFR Chapter X. The 
authority of the Secretary of the Treasury (the Secretary) to 
administer the BSA and its implementing regulations has been delegated 
to the Director of FinCEN.\1\
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    \1\ Therefore, references to the authority of the Secretary of 
the Treasury under Section 311 of the USA PATRIOT Act apply equally 
to the Director of FinCEN.
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    Section 311 of the USA PATRIOT Act (Section 311), codified at 31 
U.S.C. 5318A, grants FinCEN the authority, upon finding that reasonable 
grounds exist for concluding that a foreign jurisdiction, financial 
institution, class of transactions, or type of account is of ``primary 
money laundering concern,'' to require domestic financial institutions 
and financial agencies to take certain ``special measures'' to address 
the primary money laundering concern.
    FinCEN may impose one or more of these special measures in order to 
protect the U.S. financial system from these threats. Special measures 
one through four, codified at 31 U.S.C. 5318A(b)(1)-(b)(4), impose 
additional recordkeeping, information collection, and reporting 
requirements on covered U.S. financial institutions. The fifth special 
measure, codified at 31 U.S.C. 5318A(b)(5), allows FinCEN to impose 
prohibitions or conditions on the opening or maintenance of certain 
correspondent accounts.

b. Overview of the Current Regulatory Provisions Regarding Special 
Measures Concerning Banco Delta Asia, Including Its Subsidiaries Delta 
Asia Credit Limited and Delta Asia Insurance Limited

    On March 19, 2007, FinCEN issued a final rule imposing the fifth 
special measure to prohibit covered financial institutions from opening 
or maintaining a correspondent account for, or on behalf of, Banco 
Delta Asia, including its subsidiaries Delta Asia Credit Limited and 
Delta Asia Insurance

[[Page 53830]]

Limited.\2\ The rule further requires covered financial institutions to 
apply due diligence to their correspondent accounts that is reasonably 
designed to guard against their indirect use by Banco Delta Asia. See 
31 CFR 1010.655.
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    \2\ See 72 FR 12730, RIN 1506-AA83
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Information Collection Under the Fifth Special Measure
    The notification requirement in section 1010.655(b)(2)(i)(A) is 
intended to aid cooperation from correspondent account holders in 
denying Banco Delta Asia, including its subsidiaries Delta Asia Credit 
Limited and Delta Asia Insurance Limited, access to the U.S. financial 
system. The information required to be maintained by section 
1010.655(b)(3)(i) will be used by federal agencies and certain self-
regulatory organizations to verify compliance by covered financial 
institutions with the provisions of 31 CFR 1010.655.

II. Paperwork Reduction Act (PRA)

    Title: Renewal of Information Collection Requirements in connection 
with the Imposition of a Special Measure concerning Banco Delta Asia, 
including its subsidiaries Delta Asia Credit Limited and Delta Asia 
Insurance Limited, as a financial institution of Primary Money 
Laundering Concern.
    Office of Management and Budget (OMB) Control Number: 1506-0045.
    Abstract: FinCEN is issuing this notice to renew the OMB control 
number for the imposition of a special measure concerning Banco Delta 
Asia, including its subsidiaries Delta Asia Credit Limited and Delta 
Asia Insurance Limited, as a financial institution of primary money 
laundering concern pursuant to the authority contained in 31 U.S.C. 
5318A. See 31 CFR 1010.655.
    Type of Review: Renewal without change of a currently approved 
collection.
    Affected Public: Businesses and certain not-for-profit 
institutions.
    Frequency: One time notification. See 31 CFR 1010.655(b)(2)(i)(A) 
and 1010.655(b)(3)(i).
    Estimated Number of Respondents: 23,615.\3\
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    \3\ The above Estimated Number of Respondents is based on sum of 
the following numbers:
     5,358 banks [Federal Deposit Insurance Corporation, Key 
Statistics web page, April 25, 2019];
     5,375 federally-insured credit unions [National Credit 
Union Administration, Quarterly Credit Union Data Summary, December 
31, 2018];
     125 privately-insured credit unions [General 
Accountability Office, PRIVATE DEPOSIT INUSRANCE: Credit Unions 
Largely Complied with Disclosure Rules, but Rules Should Be 
Clarified, March 2017];
     1,130 introducing brokers [National Futures Association 
website, March 31, 2019];
     64 futures commission merchants [National Futures 
Association website, March 31, 2019];
     3,607 securities firms [Financial Industry Regulatory 
Authority website, December 31, 2018]; and,
     7,956 U.S. mutual funds [Investment Company Institute, 
2018 Factbook, 2018].
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    Estimated Time per Respondent: 1 hour.
    Estimated Total Annual Burden: 23,615 hours.
    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 
OMB control number. Records required to be retained under the BSA must 
be retained for five years. Generally, information collected pursuant 
to the BSA is confidential, but may be shared as provided by law with 
regulatory and law enforcement authorities.
    When the final rule was published in March 2007, the number of 
financial institutions affected by the rule was estimated at 5,000. 
FinCEN has since revised the estimated number of affected financial 
institutions upward to account for all domestic financial institutions 
that could potentially maintain correspondent accounts for foreign 
banks, and recognizing that, under the final rule, covered financial 
institutions are required to apply due diligence to their correspondent 
accounts that is reasonably designed to guard against their indirect 
use by Banco Delta Asia..
    There are approximately 23,615 such financial institutions doing 
business in the United States. As noted, this revision should not have 
a significant impact on a substantial number of small entities.
    Request for Comments: Comments submitted in response to this notice 
will be summarized and/or included in the request for OMB 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 techniques or other forms of information technology; and (e) 
estimates of capital or start-up costs and costs of operation, 
maintenance and purchase of services to provide information.

    Authority:  Pub. L. 104-13, 44 U.S.C. 3506(c)(2)(A)

Jamal El-Hindi,
Deputy Director, Financial Crimes Enforcement Network.
[FR Doc. 2019-21891 Filed 10-7-19; 8:45 am]
BILLING CODE 4810-02-P