Scant, uneven efforts by U.S. state authorities to identify the individuals who own or control companies formed within their jurisdictions hobble federal efforts to investigate and prosecute money launderers, an intergovernmental group recently concluded.
U.S. rules against illicit finance are, for the most part, sophisticated and comprehensive, but minimal regulation of attorneys, accountants and other nonbank firms constitute significant, longstanding loopholes that money launderers and terrorist financiers can exploit.
Competing U.S. proposals that would require companies to disclose their beneficial owners have gained unprecedented momentum in recent months, with no signs of a consolidated measure in sight.
The U.S. Treasury Department finalized its long-awaited customer due diligence rule Friday shortly after the introduction by the White House of a bevy of corporate transparency-related measures.