Section 1 Short title
This Act may be cited as the “Modernizing Illicit Financial Accountability and Reporting Act”.
Modernizing Illicit Financial Accountability and Reporting Act
A BILL
To direct the Comptroller General of the United States to conduct certain studies, and for other purposes.
Sec. 2 Studies and reports
Beneficial ownership— Not later than 2 years after the date of enactment of this Act, the Comptroller General of the United States shall conduct a study and submit to the Congress a report—
evaluating the effectiveness of the collection of beneficial ownership information under the final rule of the Department of the Treasury entitled “Customer Due Diligence Requirements for Financial Institutions” (“CDD rule”) and published May 11, 2016 (81 Fed. Reg. 29397), including—
whether law enforcement agencies have had timely access to the information;
the utility of such information in law enforcement investigations or prosecutions;
an analysis of the reporting burden placed on financial institutions versus the utility of such information being made available to law enforcement; and
whether further legislation is required to reduce regulatory burdens or increase the utility and timely access of such information to law enforcement;
assessing the effectiveness of incorporation practices implemented under the CDD rule.
Comprehensive cost-Benefit analysis— Not later than 2 years after the date of enactment of this Act, the Comptroller General of the United States shall conduct a study and submit to the Congress a report—
providing a comprehensive quantitative and qualitative estimate of the annualized costs to the private sector to comply with the statutory and regulatory requirements of the Bank Secrecy Act and related anti-money laundering laws and regulations;
providing a comprehensive qualitative and quantitative analysis of the effectiveness of the current anti-money laundering and counter terrorist financing framework in preventing, detecting, and prosecuting terrorist and illicit financing;
providing a comprehensive qualitative and quantitative analysis of the benefits and costs to both the private sector and the Government of the private sector’s compliance with the statutory and regulatory requirements of the Bank Secrecy Act and related anti-money laundering laws and regulations; and
examining the costs borne and effect on access to financial services for consumers and customers as a result of financial institutions compliance with the statutory and regulatory requirements of the Bank Secrecy Act and related anti-money laundering laws and regulations.
Sec. 3 Definitions
For purposes of this Act:
Bank Secrecy Act— The term “Bank Secrecy Act” means—
section 21 of the Federal Deposit Insurance Act;
chapter 2 of title I of Public Law 91–508; and
subchapter II of chapter 53 of title 31, United States Code.
Financial institution— The term “financial institution” has the meaning given that term under section 5312 of title 31, United States Code.