Which aspect of the USA PATRIOT Act impacts foreign financial institutions?

The correct answer is D. Providing authority to impose special measures on institutions that are of primary money-. Section 311 of the USA PATRIOT Act grants the Secretary of the Treasury the authority to designate foreign jurisdictions, financial institutions, classes of transactions, or types of accounts as being of primary money laundering concern, and to impose one or more of five…

Compliance Standards (International AML/CFT Standards and the role of FATF)

Question

Options

ARequiring enhanced due diligence for foreign shell banks
BExpanding sanctions requirements to a U.S. financial institution's foreign branches
CExpanding the anti-money laundering program requirements to all foreign financial institutions
DProviding authority to impose special measures on institutions that are of primary money-

How the community answered

(24 responses)

A
4% (1)
C
13% (3)
D
83% (20)

Explanation

Section 311 of the USA PATRIOT Act grants the Secretary of the Treasury the authority to designate foreign jurisdictions, financial institutions, classes of transactions, or types of accounts as being of primary money laundering concern, and to impose one or more of five special measures on them. These special measures range from requiring enhanced recordkeeping and reporting to prohibiting U.S. financial institutions from opening or maintaining correspondent accounts for the designated entities. The purpose of these special measures is to protect the U.S. financial system from money laundering and terrorist financing risks posed by the designated

Topics

#USA PATRIOT Act#Section 311 special measures#foreign financial institutions#primary money laundering concern

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