Compliance Clarified's second episode of season 9 brings together Rachel Wolcott, senior editor and Brett Wolf, senior anti-money laundering editor for the Americas to discuss the state of the Financial Crimes Enforcement Network's (FINCEN) beneficial ownership register.
The register has been years in the making as the United States has slowly come around to implementing the Financial Action Taskforce's (FATF) recommendations 24 and 25. Those address transparency and beneficial ownership of legal persons and legal arrangements. That includes ensuring that accurate and up-to-date basic and beneficial ownership information is available to competent authorities in a timely fashion.
The U.S., like other countries, has resisted complying with these requirements. Lawmakers and special interest groups have lobbied against the register, but reporting beneficial ownership will become a requirement as 1 January, 2024. Companies formed in 2024 will have a little extra time.
There are still questions to be answered in terms of how compliance will be achieved and what kind of access FINCEN will provide to the register.
Links
U.S. Treasury 'going all out' to inform firms about beneficial ownership reporting requirement -official
Outside paywall: https://regintel-content.thomsonreuters.com/document/IFA40F5D0622411EEA33AE89A432BD9D5
U.S. Treasury proposes extended beneficial ownership reporting deadline for companies formed in 2024: http://go-ri.tr.com/6crkwf
Outside paywall:
https://regintel-content.thomsonreuters.com/document/I432105405D6D11EEA33AE89A432BD9D5
U.S. Treasury bureau releases beneficial ownership reporting guide, industry displeased: http://go-ri.tr.com/RVuobm
U.S. Treasury's 'beneficial ownership' rulemaking harshly criticized during House hearing: http://go-ri.tr.com/GgTKOq
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Rachel.Wolcott@thomsonreuters.com
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Compliance Clarified is a podcast from Thomson Reuters Regulatory Intelligence.
Listen to wide-ranging, insightful discussions on all things compliance for financial services firms. We delve into the hot topics of the day, the challenges faced and offer up practical ideas for emerging good practice. We de-mystify regulation and explore the art, as well as the science, of the ever-expanding role of the compliance officer. Enforcements, digital transformation, regulatory change, governance, culture, conduct risk – anything and everything impacting the compliance function is up for discussion.
