Proposed Collection; Comment Request; Renewal Without Change of the Requirement for Information Sharing Between Government Agencies and Financial Institutions, 10366-10367 [2016-04275]
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10366
Federal Register / Vol. 81, No. 39 / Monday, February 29, 2016 / Notices
(c) Ways to enhance the quality,
utility, and clarity of the information to
be collected;
(d) Ways to minimize the burden of
information collections 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 the
services necessary to provide the
required information.
Dated: February 23, 2016.
Mary Hoyle Gottlieb,
Regulatory Specialist, Legislative and
Regulatory Activities Division.
[FR Doc. 2016–04255 Filed 2–26–16; 8:45 am]
BILLING CODE 4810–33–P
DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
Proposed Collection; Comment
Request; Renewal Without Change of
the Requirement for Information
Sharing Between Government
Agencies and Financial Institutions
Financial Crimes Enforcement
Network (‘‘FinCEN’’), Treasury.
ACTION: Notice and request for
comments.
AGENCY:
The Department of the
Treasury, as part of its continuing effort
to reduce paperwork and respondent
burden, invites the general public and
other Federal agencies to take this
opportunity to comment on proposed
and/or continuing information
collections, as required by the
Paperwork Reduction Act of 1995,
Public Law 104–13 (44 U.S.C.
3506(c)(2)(A)). Currently, FinCEN is
soliciting comments concerning the
renewal without change of the
‘‘Information sharing between
government agencies and financial
institutions’’ under 31 CFR 1010.520,
generally referred to as the 314(a)
program.
SUMMARY:
Written comments are welcome
and must be received on or before April
29, 2016.
ADDRESSES: Written comments SHOULD
BE SUBMITTED to: Office of Regulatory
Policy, Financial Crimes Enforcement
Network, Department of the Treasury,
P.O. Box 39, Vienna, Virginia 22183.
Attention: PRA Comments—314(a)
program.
• Comments also may be submitted
by electronic mail to the following
Internet address: regcomments@
fincen.gov with the caption in the body
asabaliauskas on DSK5VPTVN1PROD with NOTICES
DATES:
VerDate Sep<11>2014
19:23 Feb 26, 2016
Jkt 238001
of the text, ‘‘Attention: PRA
Comments—314(a) program.’’
• Please submit by one method only.
All comments submitted by either
method in response to this notice will
become a matter of public record.
Therefore, you should submit only
information that you wish to make
publicly available.
Inspection of comments. Comments
will be posted on the FinCEN public
Web site. Persons wishing to review the
comments submitted may access the
posted comments by going to
https://www.fincen.gov/statutes_regs/
frn/https://www.fincen.gov/statutes_
regs/frn/ and select the appropriate
listing.
FOR FURTHER INFORMATION CONTACT:
FinCEN Resource Center at 1–800–767–
2825 or 1–703–905–3591 (not a toll free
number) and select option 3 for
regulatory questions. Email inquiries
can be sent to FRC@fincen.gov.
SUPPLEMENTARY INFORMATION:
I. Background
A. Statutory Provisions
On October 26, 2001, the President
signed into law the Uniting and
Strengthening America by Providing
Appropriate Tools Required to Intercept
and Obstruct Terrorism Act of 2001
(‘‘USA PATRIOT Act’’ or ‘‘Act’’), Public
Law 107–56. Title III of the Act amends
the anti-money laundering provisions of
the Bank Secrecy Act (‘‘BSA’’), codified
at 12 U.S.C. 1829b and 1951–1959 and
31 U.S.C. 5311–5314 and 5316–5332, to
promote the prevention, detection, and
prosecution of international money
laundering and the financing of
terrorism. Regulations implementing the
BSA appear at 31 CFR Chapter X. The
authority of the Secretary of the
Treasury to administer the BSA has
been delegated to the Director of
FinCEN.
Of the Act’s many goals, the
facilitation of information sharing
among governmental entities and
financial institutions for the purpose of
combating terrorism and money
laundering, is of paramount importance.
As with many other provisions of the
Act, Congress has charged the U.S.
Department of the Treasury with
developing regulations to implement
these information-sharing provisions.
Subsection 314(a) of the Act states in
part that:
[t]he Secretary shall . . . adopt regulations to
encourage further cooperation among
financial institutions, their regulatory
authorities, and law enforcement authorities,
with the specific purpose of encouraging
regulatory authorities and law enforcement
authorities to share with financial
PO 00000
Frm 00162
Fmt 4703
Sfmt 4703
institutions information regarding
individuals, entities, and organizations
engaged in or reasonably suspected based on
credible evidence of engaging in terrorist acts
or money laundering activities.1
B. Overview of the Current Regulatory
Provisions Regarding the 314(a)
Program
On September 26, 2002, FinCEN
published a final rule implementing the
authority contained in section 314(a) of
the Act.2 That rule (‘‘the 314(a) rule’’)
required U.S. financial institutions upon
FinCEN’s request, to search their
records to determine whether they have
maintained an account or conducted a
transaction with a person that a Federal
law enforcement agency has certified is
engaging in or suspected, based on
credible evidence, of engaging in
terrorist activity or money laundering.3
The rule was expanded on February 10,
2010, to enable certain entities other
than Federal law enforcement agencies
to benefit from 314(a) requests to
industry. As amended, the rule now also
enables certain foreign law enforcement
agencies, state and local law
enforcement agencies, as well as
FinCEN, on its own behalf and on behalf
of appropriate components of the
Department of the Treasury, to initiate
314(a) queries.4 Before processing a
request, FinCEN requires the requesting
agency to certify that, in the case of
money laundering, the matter is
significant, and that the requesting
agency has been unable to locate the
information sought through traditional
methods of investigation and analysis
before attempting to use the 314(a)
program.5
Since its inception, the 314(a)
program has yielded significant
investigative benefits for law
enforcement in terrorist financing and
significant money laundering cases.
Feedback from the requesters and
illustrations from sample case studies
consistently demonstrate that the
program is extremely valuable to
furthering terrorist financing and
significant money laundering
investigations. In view of the proven
success of the 314(a) program, FinCEN
seeks to renew without change the
314(a) program.
1 See
31 U.S.C. 5311–5314.
Information Sharing Procedures to Deter
Money Laundering and Terrorist Activity, 67 FR
60,579 (Sept. 26, 2002).
3 31 CFR 1010.520.
4 Expansion of Special Information Sharing
Procedures To Deter Money Laundering and
Terrorist Activity, 75 FR 6560 (Feb. 10, 2010).
5 FinCEN’s 314(a) Fact Sheet (https://
www.fincen.gov/statutes_regs/patriot/pdf/
314afactsheet.pdf)
2 Special
E:\FR\FM\29FEN1.SGM
29FEN1
Federal Register / Vol. 81, No. 39 / Monday, February 29, 2016 / Notices
asabaliauskas on DSK5VPTVN1PROD with NOTICES
II. Paperwork Reduction Act (‘‘PRA’’): 6
Title: Information sharing between
government agencies and financial
institutions.
Office of Management and Budget
(‘‘OMB’’) Number: 1506–0049.
Form Number: Not Applicable.
Abstract: 31 CFR Chapter X,
Information sharing between
government agencies and financial
institutions (31 CFR 1010.520) details
the requirements of section 314(a) of the
USA PATRIOT Act. Each financial
institution (as defined in 31 U.S.C.
5312(a)(2) or (c)(1)) should refer to its
Chapter X part for any additional
special information sharing procedures.
Type of Review: Extension without
change of a currently approved
collection.
Affected Public: Businesses or other
for-profit and non-profit organizations,
and the Federal, state, and local
government.
Frequency: As required.
Estimated Number of Respondents:
20,134.7
Estimated Time per Respondent: 54
hours annually.8
Estimated Total Annual Burden
Hours: 1,087,236.9
The following paragraph applies to all
of the collections of information covered
by this notice:
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 OMB control number.
In accordance with 31 CFR
1010.330(e)(3), a person required to
make a report under this section must
keep a copy of each report filed for five
years from the date of filing.
Request for Comments: Comments
submitted in response to this notice will
6 The PRA does not apply to the requirement in
section 1010.520(b)(2) concerning reports by
financial institutions in response to a request from
FinCEN on behalf of a Federal law enforcement
agency. See 5 CFR 1320.4(a)(2). Therefore, this
renewal applies only to the use of the 314(a)
program with respect to queries initiated by nonfederal law enforcement entities.
7 On an annual basis, there are approximately
20,134 covered financial institutions, consisting of
certain commercial banks, savings associations, and
credit unions, securities broker-dealers, future
commission merchants, certain trust companies, life
insurance companies, mutual funds and money
services businesses.
8 Estimated requests per annum subject to the
PRA include, 10 from FinCEN, 50 from state and
local law enforcement, and 30 from European
Union countries approved by treaty, for a total of
90 requests per annum, with each request
containing an average of 9 subjects (including
aliases). Each subject requires 4 minutes to
research, resulting in (90 x 9 x 4 ÷ 60) = 54 hours
per year.
9 Burden computation is as follows: 54 hours per
year per respondent times 20,134 respondents (54
x 20,134) = 1,087,236 hours.
VerDate Sep<11>2014
19:23 Feb 26, 2016
Jkt 238001
be summarized and/or included in the
request for OMB 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.
Jamal El-Hindi,
Deputy Director, Financial Crimes
Enforcement Network.
[FR Doc. 2016–04275 Filed 2–26–16; 8:45 am]
BILLING CODE 4810–02–P
DEPARTMENT OF THE TREASURY
Submission for OMB Review;
Comment Request
February 24, 2016.
The Department of the Treasury will
submit the following information
collection requests to the Office of
Management and Budget (OMB) for
review and clearance in accordance
with the Paperwork Reduction Act of
1995, Public Law 104–13, on or after the
date of publication of this notice.
DATES: Comments should be received on
or before March 30, 2016 to be assured
of consideration.
ADDRESSES: Send comments regarding
the burden estimates, or any other
aspect of the information collections,
including suggestions for reducing the
burden, to (1) Office of Information and
Regulatory Affairs, Office of
Management and Budget, Attention:
Desk Officer for Treasury, New
Executive Office Building, Room 10235,
Washington, DC 20503, or email at
OIRA_Submission@OMB.EOP.gov and
(2) Treasury PRA Clearance Officer,
1750 Pennsylvania Ave. NW., Suite
8117, Washington, DC 20220, or email
at PRA@treasury.gov.
FOR FURTHER INFORMATION CONTACT:
Copies of the submissions may be
obtained by emailing PRA@treasury.gov,
calling (202) 622–1295, or viewing the
entire information collection request at
www.reginfo.gov.
SUPPLEMENTARY INFORMATION:
PO 00000
Frm 00163
Fmt 4703
Sfmt 4703
10367
Internal Revenue Service (IRS)
OMB Number: 1545–0192.
Type of Review: Extension of a
currently approved collection.
Title: Tax on Accumulation
Distribution of Trusts.
Abstract: Form 4970 is used by a
beneficiary of a domestic or foreign trust
to compute the tax adjustment
attributable to an accumulation
distribution. The form is used to verify
whether the correct tax has been paid on
the accumulation distribution.
Estimated Total Annual Burden
Hours: 42,900.
OMB Number: 1545–0228.
Type of Review: Extension of a
currently approved collection.
Title: Form 6252—Installment Sale
Income.
Abstract: Information is needed to
figure and report an installment sale for
a casual or incidental sale of personal
property, and a sale of real property by
someone not in the business of selling
real estate. Data is used to determine
whether the installment sale has been
properly reported and the correct
amount of profit is included in income
on the taxpayer’s return.
Estimated Total Annual Burden
Hours: 1,597,008.
OMB Number: 1545–0865.
Type of Review: Extension of a
currently approved collection.
Title: Form 8918—Material Advisor
Disclosure Statement.
Abstract: The American Jobs Creation
Act of 2004, Public Law 108–357, 118
Stat. 1418, (AJCA) was enacted on
October 22, 2004. Section 815 of the
AJCA amended section 6111 to require
each material advisor with respect to
any reportable transaction to make a
return (in such form as the Secretary
may prescribe) setting forth: (1)
Information identifying and describing
the transaction; (2) information
describing any potential tax benefits
expected to result from the transaction;
and (3) such other information as the
Secretary may prescribe.
Estimated Total Annual Burden
Hours: 5,096.
OMB Number: 1545–0940.
Type of Review: Extension of a
currently approved collection.
Title: TD 8086—Election for $10
Million Limitation on Exempt Small
Issues of Industrial Development Bonds;
Supplemental Capital Expenditure
Statements (LR–185–84 Final).
Abstract: The regulation liberalizes
the procedure by which the state or
local government issuer of an exempt
small issue of tax-exempt bonds elects
the $10 million limitation upon the size
of such issue and deletes the
E:\FR\FM\29FEN1.SGM
29FEN1
Agencies
[Federal Register Volume 81, Number 39 (Monday, February 29, 2016)]
[Notices]
[Pages 10366-10367]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-04275]
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
Proposed Collection; Comment Request; Renewal Without Change of
the Requirement for Information Sharing Between Government Agencies and
Financial Institutions
AGENCY: Financial Crimes Enforcement Network (``FinCEN''), Treasury.
ACTION: Notice and request for comments.
-----------------------------------------------------------------------
SUMMARY: The Department of the Treasury, as part of its continuing
effort to reduce paperwork and respondent burden, invites the general
public and other Federal agencies to take this opportunity to comment
on proposed and/or continuing information collections, as required by
the Paperwork Reduction Act of 1995, Public Law 104-13 (44 U.S.C.
3506(c)(2)(A)). Currently, FinCEN is soliciting comments concerning the
renewal without change of the ``Information sharing between government
agencies and financial institutions'' under 31 CFR 1010.520, generally
referred to as the 314(a) program.
DATES: Written comments are welcome and must be received on or before
April 29, 2016.
ADDRESSES: Written comments SHOULD BE SUBMITTED to: Office of
Regulatory Policy, Financial Crimes Enforcement Network, Department of
the Treasury, P.O. Box 39, Vienna, Virginia 22183. Attention: PRA
Comments--314(a) program.
Comments also may be submitted by electronic mail to the
following Internet address: regcomments@fincen.gov with the caption in
the body of the text, ``Attention: PRA Comments--314(a) program.''
Please submit by one method only. All comments submitted
by either method in response to this notice will become a matter of
public record. Therefore, you should submit only information that you
wish to make publicly available.
Inspection of comments. Comments will be posted on the FinCEN
public Web site. Persons wishing to review the comments submitted may
access the posted comments by going to https://www.fincen.gov/statutes_regs/frn/https://www.fincen.gov/statutes_regs/frn/ and select
the appropriate listing.
FOR FURTHER INFORMATION CONTACT: FinCEN Resource Center at 1-800-767-
2825 or 1-703-905-3591 (not a toll free number) and select option 3 for
regulatory questions. Email inquiries can be sent to FRC@fincen.gov.
SUPPLEMENTARY INFORMATION:
I. Background
A. Statutory Provisions
On October 26, 2001, the President signed into law the Uniting and
Strengthening America by Providing Appropriate Tools Required to
Intercept and Obstruct Terrorism Act of 2001 (``USA PATRIOT Act'' or
``Act''), Public Law 107-56. Title III of the Act amends the anti-money
laundering provisions of the Bank Secrecy Act (``BSA''), codified at 12
U.S.C. 1829b and 1951-1959 and 31 U.S.C. 5311-5314 and 5316-5332, to
promote the prevention, detection, and prosecution of international
money laundering and the financing of terrorism. Regulations
implementing the BSA appear at 31 CFR Chapter X. The authority of the
Secretary of the Treasury to administer the BSA has been delegated to
the Director of FinCEN.
Of the Act's many goals, the facilitation of information sharing
among governmental entities and financial institutions for the purpose
of combating terrorism and money laundering, is of paramount
importance. As with many other provisions of the Act, Congress has
charged the U.S. Department of the Treasury with developing regulations
to implement these information-sharing provisions.
Subsection 314(a) of the Act states in part that:
[t]he Secretary shall . . . adopt regulations to encourage further
cooperation among financial institutions, their regulatory
authorities, and law enforcement authorities, with the specific
purpose of encouraging regulatory authorities and law enforcement
authorities to share with financial institutions information
regarding individuals, entities, and organizations engaged in or
reasonably suspected based on credible evidence of engaging in
terrorist acts or money laundering activities.\1\
---------------------------------------------------------------------------
\1\ See 31 U.S.C. 5311-5314.
---------------------------------------------------------------------------
B. Overview of the Current Regulatory Provisions Regarding the 314(a)
Program
On September 26, 2002, FinCEN published a final rule implementing
the authority contained in section 314(a) of the Act.\2\ That rule
(``the 314(a) rule'') required U.S. financial institutions upon
FinCEN's request, to search their records to determine whether they
have maintained an account or conducted a transaction with a person
that a Federal law enforcement agency has certified is engaging in or
suspected, based on credible evidence, of engaging in terrorist
activity or money laundering.\3\ The rule was expanded on February 10,
2010, to enable certain entities other than Federal law enforcement
agencies to benefit from 314(a) requests to industry. As amended, the
rule now also enables certain foreign law enforcement agencies, state
and local law enforcement agencies, as well as FinCEN, on its own
behalf and on behalf of appropriate components of the Department of the
Treasury, to initiate 314(a) queries.\4\ Before processing a request,
FinCEN requires the requesting agency to certify that, in the case of
money laundering, the matter is significant, and that the requesting
agency has been unable to locate the information sought through
traditional methods of investigation and analysis before attempting to
use the 314(a) program.\5\
---------------------------------------------------------------------------
\2\ Special Information Sharing Procedures to Deter Money
Laundering and Terrorist Activity, 67 FR 60,579 (Sept. 26, 2002).
\3\ 31 CFR 1010.520.
\4\ Expansion of Special Information Sharing Procedures To Deter
Money Laundering and Terrorist Activity, 75 FR 6560 (Feb. 10, 2010).
\5\ FinCEN's 314(a) Fact Sheet (https://www.fincen.gov/statutes_regs/patriot/pdf/314afactsheet.pdf)
---------------------------------------------------------------------------
Since its inception, the 314(a) program has yielded significant
investigative benefits for law enforcement in terrorist financing and
significant money laundering cases. Feedback from the requesters and
illustrations from sample case studies consistently demonstrate that
the program is extremely valuable to furthering terrorist financing and
significant money laundering investigations. In view of the proven
success of the 314(a) program, FinCEN seeks to renew without change the
314(a) program.
[[Page 10367]]
II. Paperwork Reduction Act (``PRA''): \6\
---------------------------------------------------------------------------
\6\ The PRA does not apply to the requirement in section
1010.520(b)(2) concerning reports by financial institutions in
response to a request from FinCEN on behalf of a Federal law
enforcement agency. See 5 CFR 1320.4(a)(2). Therefore, this renewal
applies only to the use of the 314(a) program with respect to
queries initiated by non-federal law enforcement entities.
---------------------------------------------------------------------------
Title: Information sharing between government agencies and
financial institutions.
Office of Management and Budget (``OMB'') Number: 1506-0049.
Form Number: Not Applicable.
Abstract: 31 CFR Chapter X, Information sharing between government
agencies and financial institutions (31 CFR 1010.520) details the
requirements of section 314(a) of the USA PATRIOT Act. Each financial
institution (as defined in 31 U.S.C. 5312(a)(2) or (c)(1)) should refer
to its Chapter X part for any additional special information sharing
procedures.
Type of Review: Extension without change of a currently approved
collection.
Affected Public: Businesses or other for-profit and non-profit
organizations, and the Federal, state, and local government.
Frequency: As required.
Estimated Number of Respondents: 20,134.\7\
---------------------------------------------------------------------------
\7\ On an annual basis, there are approximately 20,134 covered
financial institutions, consisting of certain commercial banks,
savings associations, and credit unions, securities broker-dealers,
future commission merchants, certain trust companies, life insurance
companies, mutual funds and money services businesses.
---------------------------------------------------------------------------
Estimated Time per Respondent: 54 hours annually.\8\
---------------------------------------------------------------------------
\8\ Estimated requests per annum subject to the PRA include, 10
from FinCEN, 50 from state and local law enforcement, and 30 from
European Union countries approved by treaty, for a total of 90
requests per annum, with each request containing an average of 9
subjects (including aliases). Each subject requires 4 minutes to
research, resulting in (90 x 9 x 4 / 60) = 54 hours per year.
---------------------------------------------------------------------------
Estimated Total Annual Burden Hours: 1,087,236.\9\
---------------------------------------------------------------------------
\9\ Burden computation is as follows: 54 hours per year per
respondent times 20,134 respondents (54 x 20,134) = 1,087,236 hours.
---------------------------------------------------------------------------
The following paragraph applies to all of the collections of
information covered by this notice:
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 OMB control number. In accordance with 31
CFR 1010.330(e)(3), a person required to make a report under this
section must keep a copy of each report filed for five years from the
date of filing.
Request for Comments: Comments submitted in response to this notice
will be summarized and/or included in the request for OMB 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.
Jamal El-Hindi,
Deputy Director, Financial Crimes Enforcement Network.
[FR Doc. 2016-04275 Filed 2-26-16; 8:45 am]
BILLING CODE 4810-02-P