Proposed Collection; Comment Request; Suspicious Activity Report by Money Services Businesses, 20204-20212 [05-7611]

Agencies

• DEPARTMENT OF THE TREASURY
• Financial Crimes Enforcement Network
• Department of Treasury

[Federal Register Volume 70, Number 73 (Monday, April 18, 2005)]
[Notices]
[Pages 20204-20212]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-7611]


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DEPARTMENT OF THE TREASURY

Financial Crimes Enforcement Network


Proposed Collection; Comment Request; Suspicious Activity Report 
by Money Services Businesses

AGENCY: Financial Crimes Enforcement Network (``FinCEN''), Treasury.

ACTION: Notice and request for comments.

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SUMMARY: As part of its continuing effort to reduce paperwork and 
respondent burden, FinCEN invites comment on a proposed information 
collection contained in a revised form, Suspicious Activity Report by 
Money Services Businesses, FinCEN Form 109 (formerly Form TD F 90-
22.56). The form will be used by money transmitters, issuers, sellers, 
and redeemers of money orders and traveler's checks, and currency 
dealers and exchangers to report suspicious activity to the Department 
of the Treasury. This request for comments is being made pursuant to 
the Paperwork Reduction Act of 1995, Public Law 104-13, 44 U.S.C. 
3506(c)(2)(A).

DATES: Written comments are welcome and must be received on or before 
June 17, 2005.

ADDRESSES: Written comments should be submitted to: Office of Chief 
Counsel, Financial Crimes Enforcement Network, Department of the 
Treasury, P.O. Box 39, Vienna, Virginia 22183, Attention: PRA 
Comments--SAR-MSB Form. Comments also may be submitted by electronic 
mail to the following Internet address: regcomments@fincen.treas.gov, 
again with a caption, in the body of the text, ``Attention: PRA 
Comments--SAR-MSB Form.
    Inspection of comments. Comments may be inspected, between 10 a.m. 
and 4 p.m., in the FinCEN reading room in Washington, DC. Persons 
wishing to inspect the comments submitted must request an appointment 
by telephoning (202) 354-6400.

FOR FURTHER INFORMATION CONTACT: FinCEN Regulatory Policy and Programs 
Division, Forms Administration at (800) 949-2732.

SUPPLEMENTARY INFORMATION:
    Title: Suspicious Activity Report by Money Services Businesses.

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    OMB Number: 1506-0015.
    Form Number: FinCEN Form 109 (Formerly TD F 90-22.56).
    Abstract: The statute generally referred to as the ``Bank Secrecy 
Act,'' Titles I and II of Public Law 91-508, as amended, codified at 12 
U.S.C. 1829b, 12 U.S.C. 1951-1959, and 31 U.S.C. 5311-5332, authorizes 
the Secretary of the Treasury, inter alia, to require financial 
institutions to keep records and file reports that are determined to 
have a high degree of usefulness in criminal, tax, and regulatory 
matters, or in the conduct of intelligence or counter-intelligence 
activities, to protect against international terrorism, and to 
implement counter-money laundering programs and compliance 
procedures.\1\ Regulations implementing Title II of the Bank Secrecy 
Act appear at 31 CFR part 103. The authority of the Secretary to 
administer the Bank Secrecy Act has been delegated to the Director of 
FinCEN.
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    \1\ Language expanding the scope of the Bank Secrecy Act to 
intelligence or counter-intelligence activities to protect against 
international terrorism was added by Section 358 of the Uniting and 
Strengthening America by Providing Appropriate Tools Required to 
Intercept and Obstruct Terrorism (USA PATRIOT ACT) Act of 2001 (the 
``USA Patriot Act''), Pub. L. 107-56.
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    The Secretary of the Treasury was granted authority in 1992, with 
the enactment of 31 U.S.C. 5318(g), to require financial institutions 
to report suspicious transactions. On March 14, 2000, FinCEN issued a 
final rule requiring certain categories of money services businesses, 
including money transmitters and issuers, sellers, and redeemers of 
money orders and traveler's checks, to report suspicious transactions 
(65 FR 13683). The final rule can be found at 31 CFR 103.20. FinCEN 
amended the suspicious transaction reporting rule for Money Services 
Business' by notice in the Federal Register dated February 10, 2003, 
(68 FR 6613), to also apply to currency dealers and exchangers. 
Currently, Money Services Business' report suspicious activity by 
filing form TD F 90-22.56, which is being revised, as explained below.
    The information collected on the revised form is required to be 
provided pursuant to 31 U.S.C. 5318(g) and 31 CFR 103.20. This 
information will be made available, in accordance with strict 
safeguards, to appropriate criminal law enforcement and regulatory 
personnel for use in official performance of their duties, for 
regulatory purposes, and in investigations and proceedings involving 
terrorist financing, domestic and international money laundering, tax 
violations, fraud, and other financial crimes.
    Suspicious activity reports required to be filed by Money Services 
Businesses under 31 CFR 103.20, and any suspicious activity reports 
filed by Money Services Businesses on a voluntary basis will be subject 
to the protection from liability contained in 31 U.S.C. 5318(g)(3) and 
the provision contained in 31 U.S.C. 5318(g)(2) which prohibits 
notification of any person involved in the transaction that a 
suspicious activity report has been filed.
    The draft revised Suspicious Activity Report-Money Services 
Business is presented only for purposes of soliciting public comment on 
the form. This form should not be used at this time to report 
suspicious activity. A final version of the form will be made available 
at a later date. Current Form TD F 90-22.56 is renumbered as FinCEN 
Form 109. After consulting law enforcement, FinCEN proposes to revise, 
simplify, and shorten the format as follows. This action will enhance 
the industry's ease of completing the form while still obtaining 
critical information for law enforcement. Part I, Subject Information, 
item 17, vehicle license number, item 18 customer number, item 19 
Occupation, item 20 Endorser name, item 21 bank account number of the 
endorser, and item 22 bank of first deposit have been deleted. Part II, 
Suspicious Instrument/Money Transfer Information has been reformatted 
to delete the requirement to record and file with the SAR the serial 
numbers, traveler's checks, and money transfer numbers. The current TD 
F 90-22-56A, the continuation page, is removed from the Suspicious 
Activity Report reporting format. A new item in Part II has been added 
for reporting information about the purchase and redemption of monetary 
instruments. In addition, two new Part II items to record currency 
exchanger information have been included. Part IV, specific Law 
Enforcement Agency Information reporting has been deleted, although the 
information can be included in Part VI, the Narrative. Finally, the 
instructions for completing the form have been revised and included as 
part of the draft.
    Type of Review: Revision of currently approved information 
collection.
    Affected public: Business or other for-profit institutions.
    Frequency: As required.
    Estimated Burden: Reporting average of 30 minutes per response.
    Estimated Number of Respondents: 20,000.
    Estimated Total Annual Responses: 200,000.
    Estimated Total Annual Burden Hours: 100,000 hours.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless the collection of 
information displays a valid Office of Management and Budget control 
number. Records required to be retained under the Bank Secrecy Act must 
be retained for five years.
    Request for Comments: Comments submitted in response to this notice 
will be summarized and/or included in the request for Office of 
Management and Budget approval. All comments will become a matter of 
public record. Comments are invited on: (a) Whether the collection of 
information is necessary for the proper performance of the functions of 
the agency, including whether the information shall have practical 
utility; (b) the accuracy of the agency's estimate of the burden of the 
collection of information; (c) ways to enhance the quality, utility, 
and clarity of the information to be collected; (d) ways to minimize 
the burden of the collection of information on respondents, including 
through the use of automated collection techniques or other forms of 
information technology; and (e) estimates of capital or start-up costs 
and costs of operation, maintenance and purchase of services to provide 
information.

    Dated: April 1, 2005.
William J. Fox,
Director, Financial Crimes Enforcement Network.

Attachment: Suspicious Activity Report by Money Services Business

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[FR Doc. 05-7611 Filed 4-15-05; 8:45 am]
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