As we recently
blogged, the Financial Crimes Enforcement Network (“FinCEN”) issued an advance notice of proposed rulemaking (“ANPRM”) on April 5, 2021 to solicit public comment on the implementation of the Corporate Transparency Act (“CTA”). In response, FinCEN received over 200 letters from industry stakeholders. This post will focus on one such letter, from the American Bankers Association (“ABA”), which highlights the industry perspective of large financial institutions.
The
CTA, passed as part of the Anti-Money Laundering Act of 2020 (“AMLA”), requires certain legal entities to report their beneficial owners to a database accessible by U.S. and foreign law enforcement and regulators, and to U.S. financial institutions seeking to comply with their own Anti-Money Laundering (“AML”) compliance obligations, particularly FinCEN’s existing BO regulation which is part of the
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With the light at the end of the tunnel getting brighter on our pandemic journey, the legal realities are only just beginning. The Department of Justice has prioritized the prosecution of fraud arising from the Paycheck Protection Program (PPP) created by the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
The announcements of prosecutions across the country are increasing in frequency and suggest that big businesses, small businesses, and individuals are all within the scope of potential investigation. The first round of funding in April of 2020 exceeded $300 billion, but the speed of the allocation and the distribution caused limited oversight and eligibility criteria. When the forgiveness provisions are added to the mix, the PPP program created the perfect storm for fraud. As of May 2021, Congress has appropriated more than $800 billion to the program. It is estimated that many billions were fraudulen
The Department of Justice has prioritized the prosecution of fraud arising from the Paycheck Protection Program PPP created by the Coronavirus Aid, Relief, and Economic Security CARES Act.
Online Tech Giants Push Stablecoin Adoption
Posted on 05/13/2021
Jon Cunliffe is the Deputy Governor of the Bank of England. “First and foremost are the financial stability implications of the absence of public money for use by the general public,” Cunliffe said in speech on Thursday. “Ensuring confidence in money as a means of payment and store of value is fundamental to financial stability.”
As online commerce increases usage, stablecoins and other digital currencies could quickly gain support among consumers. Stablecoins are cryptocurrencies that attempt to peg their market value to some external reference. The Bank of England is looking at the potential of creating a central bank digital currency. China and Sweden have explored digital central bank currencies. If approved, the digital currency would exist alongside cash and bank deposits, rather than replacing them.
By Kyle Brasseur2021-05-12T18:01:00+01:00
A Colorado-based broker-dealer will pay $1.5 million as part of a settlement with the Securities and Exchange Commission (SEC) announced Wednesday for lapses in the filing of suspicious activity reports (SARs) related to the threat of cyber-breaches.
GWFS Equities, an affiliate of Great-West Life & Annuity Insurance Company, provides services to employer-sponsored retirement plans. The company was allegedly the victim of multiple attempts by bad actors to access the retirement accounts of individual plan participants. GWFS failed to file approximately 130 SARs related to these incidents as required, according to the SEC.
The details: From September 2015 through October 2018, GWFS was aware of the breach attempts. The bad actors were often in possession of the electronic login information such as usernames, email addresses, and passwords of plan participants in attempting to breach the accounts, according to the SEC’s order.