[Federal Register Volume 85, Number 17 (Monday, January 27, 2020)]
[Notices]
[Pages 4796-4798]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-01240]
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DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
Agency Information Collection Activities; Proposed Renewal;
Comment Request; Renewal Without Change of the Registration of Money
Services Businesses Regulation and FinCEN Form 107
AGENCY: Financial Crimes Enforcement Network (``FinCEN''), Treasury.
[[Page 4797]]
ACTION: Notice and request for comments.
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SUMMARY: As part of its continuing effort to reduce paperwork and
respondent burden, FinCEN invites comments on the proposed renewal,
without change, to a currently approved information collection
regarding registration of money services businesses regulations and
FinCEN Form 107--Registration of Money Services Business (``RMSB'').
Money services businesses (``MSBs'') must register with FinCEN using
FinCEN Form 107, renew their registration every two years, and maintain
a list of their agents. This request for comments is made pursuant to
the Paperwork Reduction Act of 1995.
DATES: Written comments are welcome and must be received on or before
March 27, 2020.
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-2019-0008 and the Office of Management and Budget (``OMB'')
control number 1506-0013.
Mail: Policy Division, Financial Crimes Enforcement
Network, P.O. Box 39, Vienna, VA 22183. Refer to Docket Number FINCEN-
2019-0008 and OMB control number 1506-0013.
Please submit comments by one method only. 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: The FinCEN Resource Center at 800-767-
2825 or electronically at [email protected].
SUPPLEMENTARY INFORMATION:
I. Statutory and Regulatory Provisions
FinCEN exercises regulatory functions 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\
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\1\ The BSA, Titles I and II of Public Law 91-508, as amended,
codified at 12 U.S.C. 1829b, 12 U.S.C. 1951-1959, and 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 (Jul. 1, 2014).
\3\ 31 U.S.C. 5311.
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Under 31 U.S.C. 5330 and its implementing regulation (31 CFR
1022.380), MSBs \4\ must file an initial registration form with FinCEN,
renew their registration every two years, re-register under certain
circumstances, and maintain a list of their agents.
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\4\ See 31 CFR 1010.100(ff).
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Registration
Each MSB, with a few exceptions, must register with the FinCEN. The
information required by 31 U.S.C 5330 and any other information
required by FinCEN Form 107 must be reported in the manner and to the
extent required by the form.\5\ The registration form for the initial
registration period must be filed on or before the end of the 180-day
period beginning on the day following the date the business is
established. MSBs must renew their registration every two years, on or
before December 31. MSBs must re-register with FinCEN not later than
180 days after the following: change in ownership, transfer of 10
percent voting or equity interest, or 50 percent increase in agents.\6\
MSBs must maintain a copy of any registration form filed under 31 CFR
1022.380 at a location in the United States for a period of five years.
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\5\ See Registration of Money Services Business (RMSB)
Electronic Filing Instructions. Release Date July 2014--Version 1.0.
https://www.fincen.gov/sites/default/files/shared/FinCENRMSB_ElectronicFilingInstructions.pdf .
\6\ See 31 CFR 1022.380(b)(4).
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Maintenance of an Agent List
A person that is an MSB solely because that person serves as an
agent of another MSB is not required to register.\7\ However, MSBs are
required to prepare and maintain a list of their agents.\8\ The list
must be revised each January 1, for the immediately preceding 12-month
period. The list is not filed with the registration form, but must be
maintained at the location in the United States, reported on the
registration form. Upon request, MSBs must make the list of agents
available to FinCEN, any appropriate law enforcement agency, or the
Internal Revenue Service for its delegated examination authority.
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\7\ See 31 CFR 1022.380(a)(3).
\8\ See 31 CFR 1022.380(d).
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The information collected and retained under the regulations
addressed in this notice assists Federal, state, and local law
enforcement, as well as regulatory authorities, in the identification,
investigation, and prosecution of money laundering and other matters.
The collection of information is mandatory.
II. Paperwork Reduction Act (``PRA'') 9
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\9\ Public Law 104-13, 44 U.S.C. 3506(c)(2)(A).
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Title: Registration of Money Services Businesses (31 CFR 1022.380).
OMB Number: 1506-0013.
Form Number: FinCEN Form 107--Registration of Money Services
Business (RMSB).
Abstract: FinCEN is issuing this notice to renew the OMB control
number for the Registration of Money Services Businesses regulation and
FinCEN Form 107 (RMSB).
Type of Review: Renewal without change of a currently approved
information collection.
Affected public: Business or other for-profit institutions.
Initial Registration
Frequency: As required.
Estimated Burden per Respondent: FinCEN estimates that the hourly
burden of filing and maintaining a copy of the initial RMSB form is 1
hour and 10 minutes. (1 hour to fill out the form and file it, and 10
minutes to save the form electronically and print out a copy to
maintain). FinCEN stipulates that the information required to be
included on the form is basic information MSBs need to maintain to
conduct business. The e-filing system prompts MSBs to save the
registration form after submission.
Estimated Number of Respondents: 3,478 MSBs.\10\
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\10\ FinCEN looked at the number of initial RMSBs filed in each
of the calendar years 2015 through 2019. The average number of
initial filings for the period of five years is 3,478.
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Estimated Total Annual Burden Hours: 4,058 hours.\11\
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\11\ 3,478 MSBs multiplied by 70 minutes and converted to hours
is 4,058 hours.
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Registration Renewal
Frequency: Every two years.
Estimated Burden per Respondent: FinCEN estimates that the hourly
burden of filing and maintaining a copy of the renewal of the RMSB form
is 40 minutes (30 minutes to revise the form and file it, and 10
minutes to save the form electronically and print out a copy to
maintain). FinCEN stipulates that the information required to be
included on
[[Page 4798]]
the form is basic information MSBs need to maintain to conduct
business. In addition, FinCEN's e-filing system allows MSBs to open a
previously filed RMSB form and the electronic form is pre-populated
with the information from the prior filing. MSBs can amend Part I by
selecting item 1b (renewal) and submit the form. MSBs can update any
information required on the form prior to submitting the form
electronically. The e-filing system prompts MSBs to save the
registration form after submission.
Estimated Number of Respondents: 8,678 MSBs.\12\
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\12\ FinCEN looked at the number of RMSB renewals filed in each
of the calendar years 2015 through 2019. The average number of
renewals for the period of five years is 8,678.
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Estimated Total Annual Burden Hours: 5,785 hours.\13\
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\13\ 8,678 MSBs multiplied by 40 minutes and converted to hours
equals 5,785 hours.
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Re-Registration
Frequency: As required.
Estimated Burden per Respondent: FinCEN estimates that the hourly
burden of filing and maintaining a copy of the re-registration of the
RMSB form is 40 minutes (30 minutes to revise the form and file it, and
10 minutes to save the form electronically and print out a copy to
maintain). FinCEN stipulates that the information required to be
included on the form is basic information MSBs need to maintain to
conduct business. In addition, FinCEN's e-filing system allows MSBs to
open a previously filed RMSB form and the electronic form is pre-
populated with the information from the prior filing. MSBs can amend
Part I by selecting item 1d (re-registration) and selecting the
appropriate response in item 2. MSBs can amend the applicable
information required on the form and submit it electronically. The e-
filing system prompts MSBs to save the registration form after
submission.
Estimated Number of Respondents: 225 MSBs.\14\
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\14\ FinCEN looked at the number of RMSBs re-registered in each
of the calendar years 2015 through 2019. The average number of re-
registrations for the period of five years is 225.
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Estimated Total Annual Burden Hours: 150 hours.\15\
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\15\ 225 MSBs multiplied by 40 minutes and converted to hours is
150 hours.
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Maintenance of Agent List
Frequency: Annually.
Estimated Burden: FinCEN estimates that the hourly burden of
drafting an agent list and revising it annually is 30 minutes per MSB.
FinCEN stipulates that the information required to be included on an
agent list is basic information MSBs need to maintain to conduct
business. FinCEN does not require the MSB to maintain the list in any
particular format; therefore, the MSB can leverage its business records
to create and revise the list.
Estimated Number of Respondents: 24,027.\16\
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\16\ FinCEN looked at the total number of active MSB
registration forms as of December 1 for each of the calendar years
2015 through 2019. This includes active registration forms for
initial filings, renewals, and re-registrations. The average number
of MSBs registered on December 1 for the period of five years is
24,027.
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Estimated Total Annual Burden Hours: 12,014 hours.\17\
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\17\ 24,027 MSBs multiplied by 30 minutes and converted to hours
is 12,014 hours.
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Grand Total Annual Burden Hours for this Information Collection:
22,007 hours.\18\
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\18\ The grand total annual burden hours for this information
collection represents the total annual burden hours to file initial
RMSBs, renewals, and re-registrations, and to maintain agent lists
(4,058 + 5,785 + 150 + 12,014 = 22,007).
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An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information unless the collection of
information 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.
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.
Jamal El-Hindi,
Deputy Director, Financial Crimes Enforcement Network.
[FR Doc. 2020-01240 Filed 1-24-20; 8:45 am]
BILLING CODE 4810-02-P