S.2972 - International Counter-Money Laundering and Foreign Anticorruption Act of 2000106th Congress (1999-2000)
Summary: S.2972 — 106th Congress (1999-2000)
International Counter-Money Laundering Act of 2000 - Title I: International Counter-Money Laundering Measures - Authorizes the Secretary of the Treasury (the Secretary) to require domestic financial institutions and agencies to take special measures (listed below) if the Secretary finds that reasonable grounds exist for concluding that a jurisdiction outside the United States, one or more financial institutions operating outside the United States, or one or more classes of transactions within or involving a jurisdiction outside the United States is of primary money laundering concern.
Introduced in Senate (07/27/2000)
Directs the Secretary to consider: (1) whether similar action has been or is being taken by other nations or multilateral groups; (2) whether the imposition of any particular special measure would create a significant competitive disadvantage for financial institutions organized in the United States; and (3) the extent to which the action would have a significant adverse systemic impact on the international payment, clearance, and settlement system, or on legitimate business activities involving the particular jurisdiction.
Lists the special measures that the Secretary may take: (1) requiring record keeping and reporting of certain financial transactions; (2) requiring the identification of beneficial owners; (3) requiring disclosure of information relating to certain payable-through accounts; (4) requiring disclosure of information relating to certain correspondent accounts; and (5) prohibiting or placing conditions on opening or maintaining certain correspondent or payable-through accounts.
Directs the Secretary to: (1) consult with the Secretary of State and the Attorney General in making a finding that reasonable grounds exist for concluding that a jurisdiction, institution, or transaction is of primary money laundering concern; and (2) consider such information as the Secretary considers to be relevant, such as (in the case of a particular jurisdiction) the extent to which that jurisdiction or financial institutions operating therein offer bank secrecy or special tax or regulatory advantages to nonresidents or non-domiciliaries.
Title II: Currency Transaction Reporting Amendments and Related Improvements - Revises Federal monetary law relating to reporting suspicious activities to provide that financial institutions and certain of their staff and independent public accountants who audit such institutions: (1) shall not be liable under Federal, State, or local law or under any contract for making certain disclosures of possible violations of laws to a government agency; and (2) may not notify any person involved in the transaction that the transaction has been reported. Prohibits any officer or employee of the Government or any State, local, tribal, or territorial government from disclosing to any person involved in the transaction that the transaction has been reported other than to fulfill duties required by law, with an exception involving employment references.
(Sec. 202) Sets civil and criminal penalties for violation of geographic targeting orders and certain record keeping requirements. Lengthens the effective period of such orders.
(Sec. 203) Amends the Federal Deposit Insurance Act to authorize any insured depository institution, and any director, officer, employee, or agent of such institution, to disclose in any written employment reference relating to a current or former institution-affiliated party of such institution which is provided to another insured depository institution in response to a request from such other institution, information concerning the possible involvement of such institution-affiliated party in potentially unlawful activity.
(Sec. 204) Amends the Annunzio-Wylie Anti-Money Laundering Act to: (1) direct that the Bank Secrecy Act Advisory Group include representatives of nongovernmental organizations advocating financial privacy; and (2) make certain provisions of the Bank Secrecy Act applicable to it.
(Sec. 205) Requires the Secretary and the banking agencies, within one year, to each submit their respective reports to Congress containing recommendations on possible legislation to conform the penalties imposed on depository institutions for violations of title 31 (Federal provisions regarding monetary transactions), to the penalties imposed on such institutions under the Federal Deposit Insurance Act.
Title III: Anticorruption Measures - Expresses the sense of Congress that, in deliberations between the U.S. Government and any other country on money laundering and corruptions issues, the Government should: (1) emphasize an approach that addresses not only the laundering of the proceeds of traditional criminal activity but also the increasingly endemic problem of governmental corruption and the corruption of ruling elites; (2) encourage the enactment and enforcement of laws in such country to prevent money laundering and systemic corruption; (3) make clear that the United States will take all steps necessary to identify the proceeds of foreign government corruption which have been deposited in U.S. financial institutions and return such proceeds to the citizens of the country to whom such assets belong; and (4) advance policies and measures to promote good government and to prevent and reduce corruption and money laundering, including through instructions to the U.S. executive director of each international financial institution to advocate such policies as a systemic element of economic reform programs and advice to member governments.
Directs the Secretary to issue guidance to financial institutions operating in the United States on appropriate practices and procedures to reduce the risk that such institutions may become depositories for, or transmitters of, the proceeds of corruption by or on behalf of senior foreign officials and their close associates.
(Sec. 302) Expresses the sense of Congress that the United States should: (1) continue to actively and publicly support the objectives of the Financial Action Task Force on Money Laundering (FATF) with regard to combating international money laundering; (2) identify noncooperative jurisdictions in as expeditious a manner as possible and publicly release a list directly naming those jurisdictions identified; (3) support the public release of the list naming non-cooperative jurisdictions identified by the FATF; (4) encourage necessary international action to encourage compliance by the identified jurisdictions; and (5) take the necessary countermeasures to protect the U.S. economy against money of unlawful origin and encourage other nations to do the same.