SEC. 326. VERIFICATION OF IDENTIFICATION.
(a) I
N
G
ENERAL
.
—
Section 5318 of title 31, United States Code,
as amended by this title, is amended by adding at the end the
following:
‘‘
(l) I
DENTIFICATION AND
V
ERIFICATION OF
A
CCOUNTHOLDERS
.
—
‘‘
(1) I
N GENERAL
.
—
Subject to the requirements of this sub-
section, the Secretary of the Treasury shall prescribe regula-
tions setting forth the minimum standards for financial institu-
tions and their customers regarding the identity of the customer
that shall apply in connection with the opening of an account
at a financial institution.
‘‘
(2) M
INIMUM REQUIREMENTS
.
—
The regulations shall, at
a minimum, require financial institutions to implement, and
customers (after being given adequate notice) to comply with,
reasonable procedures for
—
‘‘
(A) verifying the identity of any person seeking to
open an account to the extent reasonable and practicable;
‘‘
(B) maintaining records of the information used to
verify a person
’
s identity, including name, address, and
other identifying information; and
‘‘
(C) consulting lists of known or suspected terrorists
or terrorist organizations provided to the financial institu-
tion by any government agency to determine whether a
person seeking to open an account appears on any such
list.
‘‘
(3) F
ACTORS TO BE CONSIDERED
.
—
In prescribing regula-
tions under this subsection, the Secretary shall take into consid-
eration the various types of accounts maintained by various
types of financial institutions, the various methods of opening
Regulations.
VerDate 11-MAY-2000 19:15 Nov 05, 2001 Jkt 099139 PO 00056 Frm 00047 Fmt 6580 Sfmt 6581 E:\PUBLAW\PUBL056.107 APPS24 PsN: PUBL056
115 STAT. 318
PUBLIC LAW 107
–
56
—
OCT. 26, 2001
accounts, and the various types of identifying information avail-
able.
‘‘
(4) C
ERTAIN FINANCIAL INSTITUTIONS
.
—
In the case of any
financial institution the business of which is engaging in finan-
cial activities described in section 4(k) of the Bank Holding
Company Act of 1956 (including financial activities subject
to the jurisdiction of the Commodity Futures Trading Commis-
sion), the regulations prescribed by the Secretary under para-
graph (1) shall be prescribed jointly with each Federal func-
tional regulator (as defined in section 509 of the Gramm-Leach-
Bliley Act, including the Commodity Futures Trading Commis-
sion) appropriate for such financial institution.
‘‘
(5) E
XEMPTIONS
.
—
The Secretary (and, in the case of any
financial institution described in paragraph (4), any Federal
agency described in such paragraph) may, by regulation or
order, exempt any financial institution or type of account from
the requirements of any regulation prescribed under this sub-
section in accordance with such standards and procedures as
the Secretary may prescribe.
‘‘
(6) E
FFECTIVE DATE
.
—
Final regulations prescribed under
this subsection shall take effect before the end of the 1-year
period beginning on the date of enactment of the International
Money Laundering Abatement and Financial Anti-Terrorism
Act of 2001.
’’
.
(b) S
TUDY AND
R
EPORT
R
EQUIRED
.
—
Within 6 months after the
date of enactment of this Act, the Secretary, in consultation with
the Federal functional regulators (as defined in section 509 of
the Gramm-Leach-Bliley Act) and other appropriate Government
agencies, shall submit a report to the Congress containing rec-
ommendations for
—
(1) determining the most timely and effective way to require
foreign nationals to provide domestic financial institutions and
agencies with appropriate and accurate information, com-
parable to that which is required of United States nationals,
concerning the identity, address, and other related information
about such foreign nationals necessary to enable such institu-
tions and agencies to comply with the requirements of this
section;
(2) requiring foreign nationals to apply for and obtain,
before opening an account with a domestic financial institution,
an identification number which would function similarly to
a Social Security number or tax identification number; and
(3) establishing a system for domestic financial institutions
and agencies to review information maintained by relevant
Government agencies for purposes of verifying the identities
of foreign nationals seeking to open accounts at those institu-
tions and agencies.