U.S. Anti-Terrorist Activities: New Anti-Money Laundering Requirements
 
November 30, 2001
 

The Treasury Department has issued interim guidance to financial institutions on how to comply with the anti-money laundering provisions contained in the USA PATRIOT Act of 2001 (P.L. 107-56). The USA PATRIOT Act amends the Bank Secrecy Act to impose new conditions on the relationship between U.S. financial institutions and foreign banking institutions. Among other things, the new law: 1) prohibits certain financial institutions from providing correspondent accounts to foreign "shell banks"; and 2) imposes certain record-keeping requirements on those banks that are permitted to provide correspondent accounts to a foreign bank. The guidance is effective beginning November 27, 2001, and will remain in effect until superseded by regulations or a subsequent notice. For additional information, visit http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=2001_register&docid=01-29468-filed