Sec. 6107. ESTABLISHMENT OF FINCEN DOMESTIC LIAISONS
1,161 words·~5 min read·
/statute-compilations/comps-16736/sec-6107A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
## SEC. 6107 ESTABLISHMENT OF FINCEN DOMESTIC LIAISONS Section 310 of title 31, United States Code, as amended by sections 6103 and 6105 of this division, is amended by inserting after subsection
(e)the following: > > ### “(f) FinCEN Domestic Liaisons > > > #### “(1) Establishment of office > > There is established in FinCEN an Office of Domestic Liaison, which shall be headed by the Chief Domestic Liaison. > > > #### “(2) Location > > The Office of the Domestic Liaison shall be located in the District of Columbia. > > > ### “(g) Chief Domestic Liaison > > > #### “(1) In general > > The Chief Domestic Liaison, shall— > > > ##### “(A) > > report directly to the Director; and > > > ##### “(B) > > be appointed by the Director, from among individuals with experience or familiarity with anti-money laundering program examinations, supervision, and enforcement. > > > #### “(2) Compensation > > The annual rate of pay for the Chief Domestic Liaison shall be equal to the highest rate of annual pay for similarly situated senior executives who report to the Director. > > > #### “(3) Staff of office > > The Chief Domestic Liaison, with the concurrence of the Director, may retain or employ counsel, research staff, and service staff, as the Liaison determines necessary to carry out the functions, powers, and duties under this subsection. > > > #### “(4) Domestic liaisons > > The Chief Domestic Liaison, with the concurrence of the Director, shall appoint not fewer than 6 senior FinCEN employees as FinCEN Domestic Liaisons, who shall— > > > ##### “(A) > > report to the Chief Domestic Liaison; > > > ##### “(B) > > each be assigned to focus on a specific region of the United States; and > > > ##### “(C) > > be located at an office in such region or co-located at an office of the Board of Governors of the Federal Reserve System in such region. > > > #### “(5) Functions of the domestic liaisons > > > ##### “(A) In general > > Each Domestic Liaison shall— > > > ###### “(i) > > in coordination with relevant Federal functional regulators, perform outreach to BSA officers at financial institutions, including nonbank financial institutions, and persons that are not financial institutions, especially with respect to actions taken by FinCEN that require specific actions by, or have specific effects on, such institutions or persons, as determined by the Director; > > > ###### “(ii) > > in accordance with applicable agreements, receive feedback from financial institutions and examiners of Federal functional regulators regarding their examinations under the Bank Secrecy Act and communicate that feedback to FinCEN, the Federal functional regulators, and State bank supervisors; > > > ###### “(iii) > > promote coordination and consistency of supervisory guidance from FinCEN, the Federal functional regulators, State bank supervisors, and State credit union supervisors regarding the Bank Secrecy Act; > > > ###### “(iv) > > act as a liaison between financial institutions and their Federal functional regulators, State bank supervisors, and State credit union supervisors with respect to information sharing matters involving the Bank Secrecy Act and regulations promulgated thereunder; > > > ###### “(v) > > establish safeguards to maintain the confidentiality of communications between the persons described in clause
(ii)and the Office of Domestic Liaison; > > > ###### “(vi) > > to the extent practicable, periodically propose to the Director changes in the regulations, guidance, or orders of FinCEN, including any legislative or administrative changes that may be appropriate to ensure improved coordination and expand information sharing under this paragraph; and > > > ###### “(vii) > > perform such other duties as the Director determines to be appropriate. > > > ##### “(B) Rule of construction > > Nothing in this paragraph may be construed to permit the Domestic Liaisons to have authority over supervision, examination, or enforcement processes. > > > #### “(6) Access to documents > > FinCEN, to the extent practicable and consistent with appropriate safeguards for sensitive enforcement-related, pre-decisional, or deliberative information, shall ensure that the Domestic Liaisons have full access to the documents of FinCEN, as necessary to carry out the functions of the Office of Domestic Liaison. > > > #### “(7) Annual reports > > > ##### “(A) In general > > Not later than 1 year after the date of enactment of this subsection and every 2 years thereafter for 5 years, the Director shall submit to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives a report on the objectives of the Office of Domestic Liaison for the following fiscal year and the activities of the Office during the immediately preceding fiscal year. > > > ##### “(B) Contents > > Each report required under subparagraph
(A)shall include— > > > ###### “(i) > > appropriate statistical information and full and substantive analysis; > > > ###### “(ii) > > information on steps that the Office of Domestic Liaison has taken during the reporting period to address feedback received by financial institutions and examiners of Federal functional regulators relating to examinations under the Bank Secrecy Act; > > > ###### “(iii) > > recommendations to the Director for such administrative and legislative actions as may be appropriate to address information sharing and coordination issues encountered by financial institutions or examiners of Federal functional regulators; and > > > ###### “(iv) > > any other information, as determined appropriate by the Director. > > > ##### “(C) Sensitive information > > Notwithstanding subparagraph (D), FinCEN shall review each report required under subparagraph
(A)before the report is submitted to ensure the report does not disclose sensitive information. > > > ##### “(D) Independence > > > ###### “(i) In general > > Each report required under subparagraph
(A)shall be provided directly to the committees listed in that subparagraph, except that a relevant Federal functional regulator, State bank supervisor, Office of Management and Budget, or State credit union supervisor shall have an opportunity for review and comment before the submission of the report. > > > ###### “(ii) Rule of construction > > Nothing in clause
(i)may be construed to preclude FinCEN or any other department or agency from reviewing a report required under subparagraph
(A)for the sole purpose of protecting— > > > ###### “(I) > > sensitive information obtained by a law enforcement agency; and > > > ###### “(II) > > classified information. > > > ##### “(E) Classified information > > No report required under subparagraph
(A)may contain classified information. > > > #### “(8) Definition > > In this subsection, the term ‘Federal functional regulator’ has the meaning given the term in section 6003 of the Anti-Money Laundering Act of 2020.” > .