§597.701. Penalties.
31 C.F.R. § 597.701
Attention is directed to 18 U.S.C. 2339B(a)(1), as added by Public Law 104-132, 110 Stat. 1250-1253, section 303, which provides that whoever, within the United States or subject to the jurisdiction of the United States, knowingly provides material support or resources to a foreign terrorist organization, or attempts or conspires to do so, shall be fined under title 18, United States Code, or imprisoned for not more than 10 years, or both.
Pursuant to 18 U.S.C. 2339B(b), except as authorized by the Secretary of the Treasury, any financial institution that knowingly fails to retain possession of or maintain control over funds in which a foreign terrorist organization or its agent has an interest, or to report the existence of such funds in accordance with these regulations, shall be subject to a civil penalty in an amount that is the greater of the amount set forth in 18 U.S.C. 2339B(b) per violation, or twice the amount of which the financial institution was required to retain possession or control.
The civil penalties provided in 18 U.S.C. 2339B(b) are subject to adjustment pursuant to the Federal Civil Penalties Inflation Adjustment Act of 1990 (Pub. L. 101-410, as amended, 28 U.S.C. 2461 note).
The applicable maximum civil penalty per violation is $99,703 or twice the amount of which a financial institution was required to retain possession or control.
Attention is directed to 18 U.S.C. 1001, which provides that whoever, in any matter within the jurisdiction of the executive, legislative, or judicial branch of the Government of the United States, knowingly and willfully falsifies, conceals or covers up by any trick, scheme, or device a material fact, or makes any materially false, fictitious or fraudulent statement or representation, or makes or uses any false writing or document knowing the same to contain any materially false, fictitious or fraudulent statement or entry, shall be fined under title 18, United States Code, or imprisoned not more than 5 years, or both.
Conduct covered by this part may also be subject to relevant provisions of other applicable laws.
Notes, amendments, and revision history
Amendments
[62 FR 52495, Oct. 8, 1997, as amended at 68 FR 61361, Oct. 28, 2003; 81 FR 43077, July 1, 2016; 82 FR 10439, Feb. 10, 2017; 83 FR 11880, Mar. 19, 2018; 84 FR 27719, June 14, 2019; 85 FR 19888, Apr. 9, 2020; 86 FR 14539, Mar. 17, 2021; 87 FR 7373, Feb. 9, 2022; 88 FR 2234, Jan. 13, 2023; 89 FR 2144, Jan. 12, 2024; 90 FR 3693, Jan. 15, 2025]
Authority
Authority: 8 U.S.C. 1189; 18 U.S.C. 2339B; 31 U.S.C. 321(b); Pub. L. 101-410, 104 Stat. 890, as amended (28 U.S.C. 2461 note).
Source
Source: 62 FR 52495, Oct. 8, 1997, unless otherwise noted.
Amendments
[62 FR 52495, Oct. 8, 1997, as amended at 68 FR 61361, Oct. 28, 2003; 81 FR 43077, July 1, 2016; 82 FR 10439, Feb. 10, 2017; 83 FR 11880, Mar. 19, 2018; 84 FR 27719, June 14, 2019; 85 FR 19888, Apr. 9, 2020; 86 FR 14539, Mar. 17, 2021; 87 FR 7373, Feb. 9, 2022; 88 FR 2234, Jan. 13, 2023; 89 FR 2144, Jan. 12, 2024; 90 FR 3693, Jan. 15, 2025]