What document is typically required to comply with the Patriot Act?

Customer Identification Program
A Customer Identification Program (CIP) is a United States requirement, where financial institutions need to verify the identity of individuals wishing to conduct financial transactions with them and is a provision of the USA Patriot Act.

What is Section 311 of the Patriot Act?

Pursuant to Section 311 of the of the USA Patriot Act, FinCEN is authorized to designate foreign financial institutions as being “of primary money laundering concern” and to take any of five “special measures” against institutions so designated.

Who regulates the USA Patriot Act?

FinCEN
SUMMARY: FinCEN is issuing a proposed regulation to implement section 326 of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT) Act of 2001(the Act) for credit unions and trust companies that do not have a federal functional regulator.

What is 314b request?

USA PATRIOT Act Section 314(b) permits financial institutions, upon providing notice to the United States Department of the Treasury, to share information with one another in order to identify and report to the federal government activities that may involve money laundering or terrorist activity.

What is the CIP rule?

The CIP rule requires that a bank retain the identifying information obtained about the customer at the time of account opening for five years after the date the account is closed or, in the case of 7 Page 8 credit card accounts, five years after the account is closed or becomes dormant.

Does the Patriot Act violate the Constitution?

Section 215 of the Patriot Act violates the Constitution in several ways. It: Violates the Fourth Amendment, which says the government cannot conduct a search without obtaining a warrant and showing probable cause to believe that the person has committed or will commit a crime.

Who can be exempt from CTR reporting?

Under Phase 1, transactions conducted by banks, government departments or agencies, and listed public companies and their subsidiaries are exempt from CTR reporting. Under Phase 2, transactions in currency by businesses that meet specific requirements are exempt from CTR reporting.

Where do I post my CIP notice?

The notice can be provided orally, by posting a notice in the lobby where customers will be likely to see it, on a website, signs on desks, etc. 31 CFR 103.121(b)(5)(ii) states: Adequate notice.

Can a court order be issued under the USA PATRIOT Act?

It must be noted that a Court order issued under the USA Patriot Act may be served upon any American citizen, regardless of actual suspicion of having committed a terrorist act (or of intending to commit one) or of engaging in clandestine intelligence activities.

What are the requirements of the USA PATRIOT Act?

USA PATRIOT Act. Requires financial institutions to establish anti-money laundering programs, which at a minimum must include: the development of internal policies, procedures and controls; designation of a compliance officer; an ongoing employee training program; and an independent audit function to test programs.

What are the effects of the USA PATRIOT Act?

It has been forwarded that the effects of the USA Patriot Act’s application could extend beyond the American borders and infringe upon the right to privacy of thousands of non-American citizens and foreign businesses.

When does Section 312 of the Patriot Act go into effect?

Simultaneously, the Financial Crimes Enforcement Network sent for publication a related notice of proposed rulemaking relating to one key provision of section 312 that requires enhanced due diligence for correspondent accounts maintained for certain foreign banks. The Federal Register will publish both regulations after January 1, 2006.

Who is covered by the USA PATRIOT Act?

USA PATRIOT Act. No officer or employee of federal, state, local, tribal, or territorial governments within the U.S., having knowledge that such report was made may disclose to any person involved in the transaction that it has been reported except as necessary to fulfill the official duties of such officer or employee.

Is there an intelligence exception to the Patriot Act?

Expansion of the intelligence exception in wiretap law Under the Patriot Act, the FBI can secretly conduct a physical search or wiretap on American citizens to obtain evidence of crime without proving probable cause, as the Fourth Amendment explicitly requires.

What is section 326 of the Patriot Act?

Section 326: Verification of Identification. Prescribes regulations establishing minimum standards for financial institutions and their customers regarding the identity of a customer that shall apply with the opening of an account at the financial institution.