---
kind: "section"
citation: "31 C.F.R. § 1010.205"
title: "31"
number: "1010.205"
heading: "Exempted anti-money laundering programs for certain financial institutions."
url: "https://uscodex.org/cfr/31/1010.205"
---

# §1010.205. Exempted anti-money laundering programs for certain financial institutions.

- (a) **Exempt financial institutions.** Subject to the provisions of paragraphs [(c)](#c) and [(d)](#d) of this section, the following financial institutions (as defined in 31 U.S.C. [5312(a)(2)](/usc/31/5312.md?p=a-2) or [(c)(1)](/usc/31/5312.md?p=c-1)) are exempt from the requirement in [31 U.S.C. 5318(h)(1)](/usc/31/5318.md?p=h-1) concerning the establishment of anti-money laundering programs:
  - (1) An agency of the United States Government, or of a State or local government, carrying out a duty or power of a business described in [31 U.S.C. 5312(a)(2)](/usc/31/5312.md?p=a-2); and
  - (2) [Reserved]
- (b) **Temporary exemption for certain financial institutions.**
  - (1) Subject to the provisions of paragraphs [(c)](#c) and [(d)](#d) of this section, the following financial institutions (as defined in 31 U.S.C. [5312(a)(2)](/usc/31/5312.md?p=a-2) or [(c)(1)](/usc/31/5312.md?p=c-1)) are exempt from the requirement in [31 U.S.C. 5318(h)(1)](/usc/31/5318.md?p=h-1) concerning the establishment of anti-money laundering programs:
    - (i) Pawnbroker;
    - (ii) Travel agency;
    - (iii) Telegraph company;
    - (iv) Seller of vehicles, including automobiles, airplanes, and boats;
    - (v) Person involved in real estate closings and settlements;
    - (vi) Commodity pool operator;
    - (vii) Commodity trading advisor; or
    - (viii) **Investment company.**
  - (2) —(3) [Reserved]
- (c) **Limitation on exemption.** The exemptions described in [paragraph (b)](#b) of this section shall not apply to any financial institution that is otherwise required to establish an anti-money laundering program by this chapter.
- (d) **Compliance obligations of deferred financial institutions.** Nothing in this section shall be deemed to relieve an exempt financial institution from its responsibility to comply with any other applicable requirement of law or regulation, including [title 31](/cfr/31.md) of the U.S.C. and this chapter.

## Notes

### Amendments

[75 FR 65812, Oct. 26, 2010, as amended at 77 FR 8157, Feb. 14, 2012; 85 FR 57137, Sept. 15, 2020]

### Authority

Authority: 12 U.S.C. 1829b and 1951-1959; 31 U.S.C. 5311-5314, 5316-5336; title III, sec. 314 Pub. L. 107-56, 115 Stat. 307; sec. 2006, Pub. L. 114-41, 129 Stat. 457; sec. 701 Pub. L. 114-74, 129 Stat. 599; sec. 6403, Pub. L. 116-283, 134 Stat. 3388.

### Source

Source: 75 FR 65812, Oct. 26, 2010, unless otherwise noted.

### Amendments

[75 FR 65812, Oct. 26, 2010, as amended at 77 FR 8157, Feb. 14, 2012; 85 FR 57137, Sept. 15, 2020]