Office of Financial Regulation: The State of Florida Office of Financial Regulation requires Money Transmitters to maintain a federal registration as a Money Services Business (MSB) and comply with federal recordkeeping.

The Office of Foreign Asset Control (OFAC), also an agency of the U.S. Department of the Treasury, as part of its enforcement efforts, publishes a list of individuals and companies owned or controlled by, or acting for or on behalf of, targeted countries. It also lists individuals, groups, and entities, such as terrorists and narcotics traffickers designated under programs that are not country-specific. Collectively, such individuals and companies are called “Specially Designated Nationals” or “SDNs.” Their assets are blocked and U.S. persons are generally prohibited from dealing with them. OFAC risk is great at MSBs and must be addressed.

FAQs Archive - AML COMPLIANCE CORPORATION

Q: Which one is the basic regulation for Currency Exchanges of More Than $1,000?

Currency exchangers must keep a record of each exchange totaling more than $1,000 in either domestic or foreign currency.

Q: How to register a foreign exchange / cash?

Keep the following: Record customer information. Record transaction information. Keep the record for 5 years from the date of transaction.

Q: Under who laid the Regulatory responsibility for Financial Institutions?

The Regulatory Responsibility for Financial Institutions laid with FinCEN (The Financial Crimes Enforcement Network), an agency of the U.S. Department of the Treasury. Its mission is to enhance the integrity of the financial systems by facilitating the detection and deterrence of financial crimes. Requirements include business licensing along with monitoring and reporting of risky financial transactions. (31 CFR Chapter X)

Q: What is The Bank Secrecy Act?

The Bank Secrecy Act (BSA) was enacted by Congress in 1970 to fight money laundering and other financial crimes. The BSA requires many financial institutions to create paper trails by keeping records and filing reports on certain transactions. These reports are submitted to the U.S. Department of the Treasury Financial Crimes Enforcement Network (FinCEN). FinCEN collects and analyzes the information to support law enforcement investigative efforts and to provide U.S. policy makers with strategic analyses of domestic worldwide money laundering developments, trends and patterns. The BSA’s reporting and recordkeeping provisions apply to banks, savings and loans, and credit unions as well as other financial institutions, including money services businesses (MSBs).

Q: What minimum parameters should include the money laundering programs established by financial institutions?

The minimum parameters: Internal Policies, Procedures and Controls Risk Assessment Compliance Officer Ongoing Employee Training Programs Independent Audit Function

Q: What is the purpose of the USA PATRIOT Act of 2001 and the Bank Secrecy Act?

Their mission is to strengthen U.S. measures to prevent, detect and prosecute international money laundering and financing of terrorism. Our National Security depends on it.

Which one is the basic regulation for Currency Exchanges of More Than $1,000?

How to register a foreign exchange / cash?

What is the OFR?

What is OFAC?

Under who laid the Regulatory responsibility for Financial Institutions?

What is The Bank Secrecy Act?

What minimum parameters should include the money laundering programs established by financial institutions?

What is the purpose of the USA PATRIOT Act of 2001 and the Bank Secrecy Act?