Post by dracon on Mar 18, 2021 4:41:52 GMT 4
FinCEN provided (i) information to financial institutions on illicit activity associated with trade in antiquities and works of art, and (ii) related instructions for filing suspicious activity reports ("SARs").
FinCEN's Notice reminds financial institutions of obligations under Section 6110(a) of the Anti-Money Laundering Act of 2020, which amends the Bank Secrecy Act's definition of financial institution to include persons "engaged in the trade of antiquities." FinCEN warned that crimes relating to antiquities and works of art may involve financial institutions with existing Bank Secrecy Act obligations.
FinCEN includes instructions for SAR filers to identify whether a suspicious activity relates to antiquities, art or both, and to provide details regarding (i) the objects connected to the financial transactions, (ii) the actual purchasers or sellers of the property, (iii) the volume and dollar amount of the transactions, and (iv) the location of any reported individual's or entity's operations. FinCEN emphasized that, for stolen art or antiquities, filers should describe the stolen item and indicate whether photographs are available.
Commentary
Dealers in antiquities will not become "financial institutions" under the Bank Secrecy Act until FinCEN-implementing regulations enter into force. Section 6110(b) of the Anti-Money Laundering Act of 2020 gives FinCEN until late December 2021 to propose those regulations. As a result, FinCEN's Notice on trade in antiquities and works of art is directed at financial institutions with existing Bank Secrecy Act obligations, such as banks, money services businesses, and broker-dealers. FinCEN expects those financial institutions to file SARs related to illicit trading in antiquities and works of art; FinCEN will likely use the information it learns in those SARs when drafting regulations to implement Section 6110.
Primary Sources
FiinCEN Notice: FinCEN Informs Financial Institutions of Efforts Related to Trade in Antiquities and Art
link
FinCEN's Notice reminds financial institutions of obligations under Section 6110(a) of the Anti-Money Laundering Act of 2020, which amends the Bank Secrecy Act's definition of financial institution to include persons "engaged in the trade of antiquities." FinCEN warned that crimes relating to antiquities and works of art may involve financial institutions with existing Bank Secrecy Act obligations.
FinCEN includes instructions for SAR filers to identify whether a suspicious activity relates to antiquities, art or both, and to provide details regarding (i) the objects connected to the financial transactions, (ii) the actual purchasers or sellers of the property, (iii) the volume and dollar amount of the transactions, and (iv) the location of any reported individual's or entity's operations. FinCEN emphasized that, for stolen art or antiquities, filers should describe the stolen item and indicate whether photographs are available.
Commentary
Dealers in antiquities will not become "financial institutions" under the Bank Secrecy Act until FinCEN-implementing regulations enter into force. Section 6110(b) of the Anti-Money Laundering Act of 2020 gives FinCEN until late December 2021 to propose those regulations. As a result, FinCEN's Notice on trade in antiquities and works of art is directed at financial institutions with existing Bank Secrecy Act obligations, such as banks, money services businesses, and broker-dealers. FinCEN expects those financial institutions to file SARs related to illicit trading in antiquities and works of art; FinCEN will likely use the information it learns in those SARs when drafting regulations to implement Section 6110.
Primary Sources
FiinCEN Notice: FinCEN Informs Financial Institutions of Efforts Related to Trade in Antiquities and Art
link