On December 2nd the Federal Financial Institutions Examination Council (FFIEC) released the much anticipated revised Bank Secrecy Act/Anti-Money Laundering (BSA/AML) Examination Manual. An update for this manual had not been released since 2010. The revisions clarify supervisory expectations and incorporate regulatory changes since the last update.
Numerous revisions have been made throughout the manual. Sections with significant revisions made include the following sections:
- Suspicious Activity Reporting: Incorporation of new SAR E-filing requirements; guidance on the extension of SAR filing for continuing activity; clarification of prohibitions on disclosing a SAR; and guidance on sharing SARs with affiliates.
- Currency Transaction Reporting: revised to incorporate new CTR E-filing requirements and new FinCEN guidance issued since 2010 related to currency transaction aggregation for businesses and exemptions.
- Foreign Correspondent Account Recordkeeping, Reporting, and Due Diligence: regulations have been included related to the Comprehensive Iran Sanctions, Accountability, and Divestment Act.
- Foreign Bank and Financial Accounts Reporting (FBAR): Incorporated new FBAR filing requirements
- International Transportation of Currency or Monetary Instruments Reporting (CMIR): Monitoring and reporting obligations are clarified under the BSA for international transportation of currency
- Correspondent Accounts (Foreign): Additional guidance is included in the section on risk mitigation
- Bulk Shipments of Currency: Revisions made to incorporate FinCEN’s CMIR guidance for common carriers of currency, including armored car services (August 1, 2014), and clarification regarding monitoring and reporting obligations under the BSA.
- Automated Clearing House Transactions (ACH): Incorporate National Automated Clearing House Association (NACHA)-The Electronic Payments Associations modifications related to international ACH transactions and further defined third-party service providers.
- Prepaid Access: Electronic Cash section replaced and included a prolonged discussion of risk factors and risk mitigation related to prepaid access.
- Third-Party Payment Processors: updated to reflect interagency guidance issued since 2010
- Embassy, Foreign Consulate, and Foreign Mission Accounts: updated to incorporate the interagency guidance on accepting accounts from foreign embassies, consulates, and missions.
- Nonbank Financial Institutions: new FinCEN regulations incorporated for Money Services Businesses (MSBs) related to certain foreign-located persons engaged in MSB activities; new regulations related to prepaid access programs; and guidance regarding virtual currency administrators and exchanges.
- Appendix T – BSA E-Filing System: added to provide examiners with information on the FinCEN BSA E-filing System.
The manual is available on FFIEC BSA/AML InfoBase .
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