[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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