[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 5631 Introduced in Senate (IS)]
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118th CONGRESS
2d Session
S. 5631
To amend title 31, United States Code, to provide for access to certain
beneficial ownership information.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
December 19 (legislative day, December 16), 2024
Mr. Daines (for himself and Mr. Van Hollen) introduced the following
bill; which was read twice and referred to the Committee on Banking,
Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To amend title 31, United States Code, to provide for access to certain
beneficial ownership information.
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 ``Ownership Clarity Act''.
SEC. 2. ACCESS TO BENEFICIAL OWNERSHIP INFORMATION.
Section 5336 of title 31, United States Code, is amended--
(1) by redesignating subsection (j) as subsection (k); and
(2) by inserting after subsection (i) the following:
``(j) Access to Beneficial Ownership Information.--
``(1) Definitions.--In this subsection:
``(A) Access license.--The term `access license'
means a license to access beneficial ownership
information in accordance with this subsection.
``(B) Covered entity.--The term `covered entity'
means a financial institution that provides, or an
entity that assists a financial institution in
providing, screening services.
``(C) Permitted personnel.--The term `permitted
personnel' means personnel of a covered entity who are
permitted to access beneficial ownership information in
accordance with this subsection.
``(D) Permitted purpose.--The term `permitted
purpose' means the use of beneficial ownership
information for screening services.
``(E) Screening services.--The term `screening
services' means the risk management procedures and
activities undertaken by permitted personnel for the
protection of the United States national security from
international illicit actors and corrupt foreign
officials who seek to exploit the financial systems of
the United States by engaging in illicit activity such
as serious tax fraud, human and drug trafficking, money
laundering, financing terrorism.
``(2) Access licenses.--
``(A) In general.--Notwithstanding any other
provision of this section, the Director shall establish
a process by which covered entities may apply to the
Director for an access license.
``(B) Determination.--The Director may not issue an
access license to a covered entity unless the Director
determines that--
``(i) access to beneficial ownership
information under this subsection is predicated
upon a reasonable concern for United States
national security and United States economic
stability, by identifying international illicit
actors and corrupt foreign officials and
preventing international illicit activity such
as--
``(I) international terrorist
financing;
``(II) any activity engaged in by
an agent of the Government of Iran,
North Korea, Syria, or any other
government the Secretary of State has
determined has repeatedly provided
support for acts of international
terrorism for purposes of--
``(aa) section
1754(c)(1)(A)(i) of the Export
Control Reform Act of 2018 (50
U.S.C. 4813(c)(1)(A)(i));
``(bb) section 620A of the
Foreign Assistance Act of 1961
(22 U.S.C. 2371);
``(cc) section 40(d) of the
Arms Export Control Act (22
U.S.C. 2780(d)); or
``(dd) any other provision
of law;
``(III) any activity engaged in by
any individual or entity included on
the list of specially designated
nationals and blocked persons
maintained by the Office of Foreign
Assets Control of the Department of the
Treasury; or
``(IV) any other illicit financial
conduct directly or indirectly
supporting a transnational criminal
organization, transnational drug
trafficking organization, or
transnational money laundering
organization;
``(ii) the covered entity limits access to
and use of the beneficial ownership information
to permitted personnel of the covered entity in
connection with, or to support, screening
services; and
``(iii) the use, disclosure, and retention
of the beneficial ownership information is
strictly limited to a permitted purpose.
``(C) Duration.--
``(i) In general.--An access license issued
under this subsection shall expire on the date
that is 2 years after the date on which the
license is issued.
``(ii) Renewal.--An expired access license
may be renewed for 2-year periods in accordance
with the process established under this
paragraph.
``(3) Regulations.--The Director shall promulgate
regulations governing the use, disclosure, and retention of the
beneficial ownership information accessed pursuant to an access
license issued under this subsection.''.
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