| For as long as we have had currency to exchange, | | | | criminal transportation and use of U.S. currency both |
| there have been those who produce, obtain and | | | | here and abroad. Through the FinCEN network, the |
| distribute that currency for unlawful purposes. In the | | | | U.S. government has built relationships worldwide by |
| past few decades, with the prevalence of online | | | | sharing financial intelligence and keeping domestic |
| business (e-commerce) and the increasing anonymity | | | | businesses at a consistent level of financial security. |
| of customers across the globe, these practices have | | | | What is the Bank Secrecy Act? |
| adapted to become more dangerous and more | | | | The Bank Secrecy Act (BSA) is comprised of the |
| difficult to investigate. For these reasons, the United | | | | first federal laws specifically written to fight against |
| States federal government has instated a system of | | | | criminal money laundering by putting forth a set of |
| regulations designed to standardize the way U.S. | | | | security requirements with which all U.S. businesses |
| businesses communicate with consumers and move | | | | must comply. Placed under the administration of |
| currency between hands and around the world. | | | | FinCEN in 1994, the BSA includes both the original |
| Among the agencies that see to the organization and | | | | anti-money laundering initiatives and those added |
| enforcement of these transactional regulations is the | | | | following the creation of the USA PATRIOT Act of |
| Financial Crimes Enforcement Network (FinCEN). | | | | 2001, which broadened the BSA to encompass |
| Compliance with FinCEN, most notably the Bank | | | | anti-American funding and pro-terrorism trafficking of |
| Secrecy Act, is an essential component of running a | | | | American currency. |
| secure and federally sound business, both online and | | | | What Businesses Must Comply? |
| in brick-and-mortar locations. In this article, we'll | | | | As a matter of national security, all American |
| discuss the basics of FinCEN, the Bank Secrecy Act | | | | businesses have a responsibility to verify the |
| and how to determine if your business must comply. | | | | identities of all persons with whom they do business. |
| What is FinCEN? | | | | However, those who will be the most impacted by |
| FinCEN was established as a division of the United | | | | FinCEN and the BSA are financial institutions. These |
| States Department of the Treasury in 1990 in order | | | | include, but may not be limited to: depository |
| to provide a network of financial intelligence and | | | | institutions, security brokers and dealers and financial |
| analysis resources to the government as a whole. | | | | service providers. Contact your local government |
| FinCEN operates toward the efforts of business | | | | branch if you need clarification as to your level of |
| transparency in order to detect, mitigate and prevent | | | | obligation to FinCEN regulations. |