Financial Crimes Enforcement Network; Withdrawal of the Notice of Finding Involving Banco Delta Asia SARL (BDA), 48104-48105 [2020-17144]
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48104
Federal Register / Vol. 85, No. 154 / Monday, August 10, 2020 / Rules and Regulations
the inspection required by paragraph (g) of
this AD, within 25 hours TIS after August 17,
2020 (the effective date of this AD) and
thereafter at intervals not to exceed 200 hours
TIS, do a fluorescent penetrant, dye
penetrant, or open-hole eddy current
inspection of the NLG fork for cracks by
following section 5. Instructions in Quest
Aircraft Field Service Instruction FSI–147,
Revision 00, Release Date January 29, 2018.
(2) If you find any cracks of the NLG fork
during any inspection required by paragraph
(h)(1) of this AD, before further flight, replace
the NLG fork with an NLG fork P/N 100–410–
7013 (type B). Replacement of the NLG fork
with an NLG fork P/N 100–410–7013 (type B)
terminates the repetitive inspections required
by paragraphs (h)(1) and (i)(1) of this AD.
(i) Inspection of the Shimmy Damper
Bracket
(1) If you have not replaced an NLG fork
P/N 100–410–7001 (type A) per the initial
inspection and replacement requirements in
paragraph (h) of this AD, then within 25
hours TIS after August 17, 2020 (the effective
date of this AD) and thereafter at intervals
not to exceed 200 hours TIS (until the NLG
fork is replaced with a P/N 100–410–7013
(type B) fork), inspect the shimmy damper
bracket for looseness, and inspect the
shimmy damper system for damaged (loose,
leaking, corroded, or worn) components, by
following pages 32_110 and 32_111, section
3252, Shimmy Damper, found in Chapter 32,
Landing Gear, of Quest Aircraft Company
Kodiak 100 Maintenance Manual, Revision
No. 21, dated February 15, 2017.
(2) If a loose shimmy damper bracket is
found during any inspection required by
paragraph (i)(1) of this AD, rework the
shimmy damper bracket with interference-fit
bolts by following Quest Aircraft Field
Service Instruction FSI–146, Revision 00,
Release Date April 18, 2017. Reworking the
shimmy damper bracket with the
interference-fit bolts terminates the repetitive
inspections required by paragraph (i)(1) of
this AD.
(3) If any other damaged components are
found in the shimmy damper system during
any inspection required by paragraph (i)(1) of
this AD, before further flight, replace the
damaged components.
(j) Optional Terminating Action
In lieu of the NLG fork and shimmy
damper bracket inspections required by
paragraphs (h)(1) and (i)(1) of this AD, you
may replace the NLG fork P/N 100–410–7001
(type A) with an NLG fork P/N 100–410–7013
(type B). This replacement terminates the
inspection requirements of this AD, and no
further actions are required.
jbell on DSKJLSW7X2PROD with RULES
(k) Restriction of NLG Fork P/N 100–410–
7001 (Type A) Installation
Once an NLG fork P/N 100–410–7013 (type
B) is installed on an airplane, do not install
an NLG fork P/N 100–410–7001 (type A). If
an NLG fork P/N 100–410–7013 (type B) is
removed from the airplane for any reason (for
example, to install floats), you must reinstall
an NLG fork P/N 100–410–7013 (type B)
when operating with wheels.
VerDate Sep<11>2014
15:58 Aug 07, 2020
Jkt 250001
(l) Alternative Methods of Compliance
(AMOCs)
(1) The Manager, Seattle ACO Branch,
FAA, has the authority to approve AMOCs
for this AD, if requested using the procedures
found in 14 CFR 39.19. In accordance with
14 CFR 39.19, send your request to your
principal inspector or local Flight Standards
District Office, as appropriate. If sending
information directly to the manager of the
certification office, send it to the attention of
the person identified in paragraph (m) of this
AD. Information may also be emailed to: 9ANM-Seattle-ACO-AMOC-Requests@faa.gov.
(2) Before using any approved AMOC,
notify your appropriate principal inspector,
or lacking a principal inspector, the manager
of the local flight standards district office/
certificate holding district office.
(m) Related Information
For more information about this AD,
contact Wade Sullivan, Aerospace Engineer,
Aerospace Engineer, Airframe Section, FAA,
Seattle ACO Branch, 2200 South 216th St.,
Des Moines, WA 98198; phone and fax: 206–
231–3530; email: Wade.Sullivan@faa.gov.
(n) Material Incorporated by Reference
(1) The Director of the Federal Register
approved the incorporation by reference of
the service information listed in this
paragraph under 5 U.S.C. 552(a) and 1 CFR
part 51.
(2) You must use this service information
as applicable to do the actions required by
this AD, unless the AD specifies otherwise.
(3) The following service information was
approved for IBR on August 17, 2020 (85 FR
41906, July 13, 2020).
(i) Pages 32_110 and 32_111, section 3252,
Shimmy Damper, Chapter 32, Landing Gear,
of Quest Aircraft Company Kodiak 100
Maintenance Manual, Revision No. 21, dated
February 15, 2017.
(ii) Quest Aircraft Field Service Instruction
FSI–146, Revision 00, Release Date April 18,
2017.
Note 1 to paragraph (n)(2)(ii) of this AD:
The Release Date is a pen-and-ink addition
that appears only on the Revision Notice
transmitted with FSI–146.
(iii) Quest Aircraft Field Service
Instruction FSI–147, Revision 00, Release
Date January 29, 2018.
Note 2 to paragraph (n)(2)(iii) of this AD:
The Release Date is a pen-and-ink addition
that appears only on the Revision Notice
transmitted with FSI–147.
(4) For service information identified in
this AD, contact Kodiak Aircraft Company,
Inc., 1200 Turbine Drive, Sandpoint, Idaho
83864; phone: (208) 263–1111 or 1 (866) 263–
1112; email: KodiakCare@daher.com;
internet: https://Kodiak.aero/support.
(5) You may view this service information
at the FAA, Airworthiness Products Section,
Operational Safety Branch, 901 Locust,
Kansas City, Missouri 64106. For information
on the availability of this material at the
FAA, call 816–329–4148.
(6) You may view this service information
that is incorporated by reference at the
National Archives and Records
Administration (NARA). For information on
PO 00000
Frm 00030
Fmt 4700
Sfmt 4700
the availability of this material at NARA,
email fedreg.legal@nara.gov, or go to https://
www.archives.gov/federal-register/cfr/
ibrlocations.html.
Issued on August 3, 2020.
Ross Landes,
Deputy Director for Regulatory Operations,
Compliance & Airworthiness Division,
Aircraft Certification Service.
[FR Doc. 2020–17273 Filed 8–7–20; 8:45 am]
BILLING CODE 4910–13–P
DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
31 CFR Part 1010
Financial Crimes Enforcement
Network; Withdrawal of the Notice of
Finding Involving Banco Delta Asia
SARL (BDA)
Financial Crimes Enforcement
Network (FinCEN), Treasury.
ACTION: Withdrawal of finding.
AGENCY:
This document withdraws
FinCEN’s finding that BDA is a financial
institution of primary money laundering
concern, which was issued pursuant to
Section 311 of the USA PATRIOT Act
(Section 311). Subsequent to the
issuance of this withdrawal, FinCEN
will reassess whether BDA is presently
a financial institution of primary money
laundering concern and additional
rulemaking is warranted. Elsewhere in
this issue of the Federal Register,
FinCEN is publishing a repeal of the
related rulemaking, published March
19, 2007, imposing the fifth special
measure against BDA.
DATES: As of August 10, 2020, the
Notice of Finding, published September
20, 2005, at 70 FR 55214, is withdrawn.
FOR FURTHER INFORMATION CONTACT: The
FinCEN Resource Center at frc@
fincen.gov.
SUMMARY:
I. Statutory Background
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,
Public Law 107–56 (USA PATRIOT
Act). Title III of the USA PATRIOT Act
amends the anti-money laundering
provisions of the Bank Secrecy Act
(BSA), codified at 12 U.S.C. 1829b, 12
U.S.C. 1951–1959, and 31 U.S.C. 5311–
5314, 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
E:\FR\FM\10AUR1.SGM
10AUR1
Federal Register / Vol. 85, No. 154 / Monday, August 10, 2020 / Rules and Regulations
Secretary of the Treasury to administer
the BSA and its implementing
regulations has been delegated to the
Director of FinCEN.
Section 311 of the USA PATRIOT Act
grants the Secretary the authority, upon
finding that reasonable grounds exist for
concluding that a foreign jurisdiction,
foreign financial institution, class of
transactions, or type of account is of
‘‘primary money laundering concern,’’
to require domestic financial
institutions and financial agencies to
take certain ‘‘special measures’’ to
address the primary money laundering
concern. The five special measures
enumerated under Section 311 are
prophylactic safeguards that defend the
U.S. financial system from money
laundering and terrorist financing.
FinCEN may impose one or more of
these special measures in order to
protect the U.S. financial system from
these threats. To that end, special
measures one through four, codified at
31 U.S.C. 5318A(b)(1)–(b)(4), impose
additional recordkeeping, information
collection, and information reporting
requirements on covered U.S. financial
institutions. The fifth special measure,
codified at 31 U.S.C. 5318A(b)(5),
allows the Secretary to prohibit or
impose conditions on the opening or
maintaining of correspondent or
payable-through accounts by covered
U.S. financial institutions for or on
behalf of a foreign banking institution.
Taken as a whole, Section 311
provides the Secretary with a range of
options that can be adapted to target
specific money laundering and terrorist
financing concerns most effectively.
These options provide the authority to
bring additional and necessary pressure
on those jurisdictions and institutions
that pose money-laundering threats and
the ability to take steps to protect the
U.S. financial system. Through the
imposition of various special measures,
FinCEN can: Gain more information
about the concerned jurisdictions,
financial institutions, transactions, and
accounts; monitor more effectively the
respective jurisdictions, financial
institutions, transactions, and accounts;
and, ultimately, protect U.S. financial
institutions from involvement with
jurisdictions, financial institutions,
transactions, or accounts that pose a
money laundering concern.
jbell on DSKJLSW7X2PROD with RULES
II. Administrative Background
On September 20, 2005 (70 FR 55214),
FinCEN published a finding in the
Federal Register that reasonable
grounds existed to conclude that BDA
was a foreign financial institution of
primary money laundering concern
VerDate Sep<11>2014
15:58 Aug 07, 2020
Jkt 250001
(Notice of Finding).1 Simultaneous with
publication of the Notice of Finding,
FinCEN published a Notice of Proposed
Rulemaking proposing the imposition of
the fifth special measure against BDA.2
On March 19, 2007 (72 FR 12730),
FinCEN published a final rule in the
Federal Register imposing the fifth
special measure against BDA, codified
at 31 CFR 103.193 (subsequently
renumbered as 31 CFR 1010.655) (Final
Rule).3
Shortly after FinCEN concluded its
rulemaking proceedings, in April 2007,
BDA submitted a petition requesting the
immediate rescission of the Final Rule.
The following month, Stanley Au and
Delta Asia Group (Holdings) Ltd., the
owners of BDA, filed a separate petition
for rescission of the Final Rule. FinCEN
denied both petitions on September 21,
2007. On November 16, 2010, BDA
again petitioned FinCEN to repeal the
Final Rule. As part of an ongoing
dialogue between FinCEN and BDA
from 2012 through 2019, BDA agreed to
arrange for two independent reviews of
the bank, the results of which were
subsequently shared with FinCEN.
By letter dated September 26, 2019,
FinCEN ultimately denied BDA’s
November 2010 petition, providing BDA
a memorandum thoroughly explaining
its decision. In its denial, FinCEN
discussed the results of the independent
reviews of BDA and identified the
limitations in these reviews. FinCEN
acknowledged that BDA had taken steps
to address some of the deficiencies
highlighted in the Notice of Finding and
Final Rule, but concluded that BDA had
failed to correct other significant
deficiencies. FinCEN ultimately
determined that BDA’s AML
compliance efforts remained inadequate
to address the risks identified in the
Notice of Finding and Final Rule.
In addition to petitioning FinCEN to
withdraw the Final Rule, BDA filed suit
on March 14, 2013, in the United States
District Court for the District of
Columbia challenging the Notice of
Finding and the Final Rule. This
litigation was stayed for many years so
that the dialogue described above could
continue. Both FinCEN and BDA have
since agreed that there are advantages to
FinCEN’s revisiting the Final Rule and
to settling this litigation. This course of
action allows BDA to submit any
remaining additional comments and
permits FinCEN to take stock of the
present circumstances and, if
appropriate, to avail itself of the
informal rulemaking process (providing
1 70
FR 55214 (Sept. 20, 2005).
at 55217.
3 72 FR 12731 (Mar. 19, 2007).
2 Id.
PO 00000
Frm 00031
Fmt 4700
Sfmt 4700
48105
the public with an opportunity for
notice and comment, in contrast to
action on a petition) if it decides to take
further action. As part of this settlement,
FinCEN has agreed to reassess whether
BDA is presently a financial institution
of primary money laundering concern.
BDA will be permitted to submit
comments to FinCEN regarding the
September 26, 2019 petition denial prior
to FinCEN’s engaging in any additional
Section 311 rulemaking involving BDA.
In the event that FinCEN determines
that the imposition of any special
measures may be warranted, it will
undertake a new rulemaking effort
(including the publication of a new
notice of proposed rulemaking). Any
such proposed rule will allow for 30
days of comment, and as part of the
rulemaking proceeding, FinCEN will
make available for comment the
unclassified, non-protected material
relied upon by FinCEN in connection
with any such rulemaking. If FinCEN
determines that a final rule is
appropriate, FinCEN will publish such
a final rule 60 days following the close
of the comment period. If the extent of
submitted comments requires additional
time, or if COVID–19-related issues
hinder the agency’s ability to satisfy the
proposed timeframes, FinCEN will so
announce in the Federal Register.
III. Withdrawal of the Notice of Finding
For the reasons set forth above,
FinCEN hereby withdraws the Notice of
Finding that BDA is of primary money
laundering concern published on
September 20, 2005.
Michael Mosier,
Deputy Director, Financial Crimes
Enforcement Network.
[FR Doc. 2020–17144 Filed 8–7–20; 8:45 am]
BILLING CODE 4810–02–P
DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
31 CFR Part 1010
RIN 1506–AA83
Financial Crimes Enforcement
Network; Repeal of Special Measure
Involving Banco Delta Asia (BDA)
Financial Crimes Enforcement
Network (FinCEN), Treasury.
ACTION: Final rule.
AGENCY:
This rule repeals regulations
concerning Special measures against
Banco Delta Asia, which were issued
pursuant to Section 311 of the USA
PATRIOT Act (Section 311). Subsequent
to the issuance of this rule, FinCEN will
SUMMARY:
E:\FR\FM\10AUR1.SGM
10AUR1
Agencies
[Federal Register Volume 85, Number 154 (Monday, August 10, 2020)]
[Rules and Regulations]
[Pages 48104-48105]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-17144]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
31 CFR Part 1010
Financial Crimes Enforcement Network; Withdrawal of the Notice of
Finding Involving Banco Delta Asia SARL (BDA)
AGENCY: Financial Crimes Enforcement Network (FinCEN), Treasury.
ACTION: Withdrawal of finding.
-----------------------------------------------------------------------
SUMMARY: This document withdraws FinCEN's finding that BDA is a
financial institution of primary money laundering concern, which was
issued pursuant to Section 311 of the USA PATRIOT Act (Section 311).
Subsequent to the issuance of this withdrawal, FinCEN will reassess
whether BDA is presently a financial institution of primary money
laundering concern and additional rulemaking is warranted. Elsewhere in
this issue of the Federal Register, FinCEN is publishing a repeal of
the related rulemaking, published March 19, 2007, imposing the fifth
special measure against BDA.
DATES: As of August 10, 2020, the Notice of Finding, published
September 20, 2005, at 70 FR 55214, is withdrawn.
FOR FURTHER INFORMATION CONTACT: The FinCEN Resource Center at
[email protected].
I. Statutory Background
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, Public Law 107-56 (USA
PATRIOT Act). Title III of the USA PATRIOT Act amends the anti-money
laundering provisions of the Bank Secrecy Act (BSA), codified at 12
U.S.C. 1829b, 12 U.S.C. 1951-1959, and 31 U.S.C. 5311-5314, 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
[[Page 48105]]
Secretary of the Treasury to administer the BSA and its implementing
regulations has been delegated to the Director of FinCEN.
Section 311 of the USA PATRIOT Act grants the Secretary the
authority, upon finding that reasonable grounds exist for concluding
that a foreign jurisdiction, foreign financial institution, class of
transactions, or type of account is of ``primary money laundering
concern,'' to require domestic financial institutions and financial
agencies to take certain ``special measures'' to address the primary
money laundering concern. The five special measures enumerated under
Section 311 are prophylactic safeguards that defend the U.S. financial
system from money laundering and terrorist financing. FinCEN may impose
one or more of these special measures in order to protect the U.S.
financial system from these threats. To that end, special measures one
through four, codified at 31 U.S.C. 5318A(b)(1)-(b)(4), impose
additional recordkeeping, information collection, and information
reporting requirements on covered U.S. financial institutions. The
fifth special measure, codified at 31 U.S.C. 5318A(b)(5), allows the
Secretary to prohibit or impose conditions on the opening or
maintaining of correspondent or payable-through accounts by covered
U.S. financial institutions for or on behalf of a foreign banking
institution.
Taken as a whole, Section 311 provides the Secretary with a range
of options that can be adapted to target specific money laundering and
terrorist financing concerns most effectively. These options provide
the authority to bring additional and necessary pressure on those
jurisdictions and institutions that pose money-laundering threats and
the ability to take steps to protect the U.S. financial system. Through
the imposition of various special measures, FinCEN can: Gain more
information about the concerned jurisdictions, financial institutions,
transactions, and accounts; monitor more effectively the respective
jurisdictions, financial institutions, transactions, and accounts; and,
ultimately, protect U.S. financial institutions from involvement with
jurisdictions, financial institutions, transactions, or accounts that
pose a money laundering concern.
II. Administrative Background
On September 20, 2005 (70 FR 55214), FinCEN published a finding in
the Federal Register that reasonable grounds existed to conclude that
BDA was a foreign financial institution of primary money laundering
concern (Notice of Finding).\1\ Simultaneous with publication of the
Notice of Finding, FinCEN published a Notice of Proposed Rulemaking
proposing the imposition of the fifth special measure against BDA.\2\
On March 19, 2007 (72 FR 12730), FinCEN published a final rule in the
Federal Register imposing the fifth special measure against BDA,
codified at 31 CFR 103.193 (subsequently renumbered as 31 CFR 1010.655)
(Final Rule).\3\
---------------------------------------------------------------------------
\1\ 70 FR 55214 (Sept. 20, 2005).
\2\ Id. at 55217.
\3\ 72 FR 12731 (Mar. 19, 2007).
---------------------------------------------------------------------------
Shortly after FinCEN concluded its rulemaking proceedings, in April
2007, BDA submitted a petition requesting the immediate rescission of
the Final Rule. The following month, Stanley Au and Delta Asia Group
(Holdings) Ltd., the owners of BDA, filed a separate petition for
rescission of the Final Rule. FinCEN denied both petitions on September
21, 2007. On November 16, 2010, BDA again petitioned FinCEN to repeal
the Final Rule. As part of an ongoing dialogue between FinCEN and BDA
from 2012 through 2019, BDA agreed to arrange for two independent
reviews of the bank, the results of which were subsequently shared with
FinCEN.
By letter dated September 26, 2019, FinCEN ultimately denied BDA's
November 2010 petition, providing BDA a memorandum thoroughly
explaining its decision. In its denial, FinCEN discussed the results of
the independent reviews of BDA and identified the limitations in these
reviews. FinCEN acknowledged that BDA had taken steps to address some
of the deficiencies highlighted in the Notice of Finding and Final
Rule, but concluded that BDA had failed to correct other significant
deficiencies. FinCEN ultimately determined that BDA's AML compliance
efforts remained inadequate to address the risks identified in the
Notice of Finding and Final Rule.
In addition to petitioning FinCEN to withdraw the Final Rule, BDA
filed suit on March 14, 2013, in the United States District Court for
the District of Columbia challenging the Notice of Finding and the
Final Rule. This litigation was stayed for many years so that the
dialogue described above could continue. Both FinCEN and BDA have since
agreed that there are advantages to FinCEN's revisiting the Final Rule
and to settling this litigation. This course of action allows BDA to
submit any remaining additional comments and permits FinCEN to take
stock of the present circumstances and, if appropriate, to avail itself
of the informal rulemaking process (providing the public with an
opportunity for notice and comment, in contrast to action on a
petition) if it decides to take further action. As part of this
settlement, FinCEN has agreed to reassess whether BDA is presently a
financial institution of primary money laundering concern. BDA will be
permitted to submit comments to FinCEN regarding the September 26, 2019
petition denial prior to FinCEN's engaging in any additional Section
311 rulemaking involving BDA.
In the event that FinCEN determines that the imposition of any
special measures may be warranted, it will undertake a new rulemaking
effort (including the publication of a new notice of proposed
rulemaking). Any such proposed rule will allow for 30 days of comment,
and as part of the rulemaking proceeding, FinCEN will make available
for comment the unclassified, non-protected material relied upon by
FinCEN in connection with any such rulemaking. If FinCEN determines
that a final rule is appropriate, FinCEN will publish such a final rule
60 days following the close of the comment period. If the extent of
submitted comments requires additional time, or if COVID-19-related
issues hinder the agency's ability to satisfy the proposed timeframes,
FinCEN will so announce in the Federal Register.
III. Withdrawal of the Notice of Finding
For the reasons set forth above, FinCEN hereby withdraws the Notice
of Finding that BDA is of primary money laundering concern published on
September 20, 2005.
Michael Mosier,
Deputy Director, Financial Crimes Enforcement Network.
[FR Doc. 2020-17144 Filed 8-7-20; 8:45 am]
BILLING CODE 4810-02-P