The U.S. Treasury Department has extended a deadline on how long mutual funds have to record personal data for investigators on their clients who send or receive over $3,000. The department's Financial Crimes Enforcement Network (FinCEN) granted the nine-month extension last week as part of finalized rules on the funds. The new requirements, first proposed in June, define mutual funds as "financial institutions" subject to Bank Secrecy Act oversight. The extended deadline will allow mutual funds more time to comply with the so-called "travel rule," according to FinCEN spokesman William Grassano. The rule requires the beneficiary's bank, the recipient's bank...
The U.S. Securities Exchange Commission has released an online research guide to help mutual fund companies better detect money laundering on the heels of a similar reference tool crafted last year to aid broker-dealers.
To meet certain reporting requirements, banks serving as agents to insurance and mutual fund companies often must identify those firms' customers initiating the underlying transactions. That is no easy task, say compliance professionals.
The U.S. Financial Crimes Enforcement Network has issued guidance on the so-called travel rule which forms part of the funds transfer regulations it issued in 1996, which applies to all transmittals at or above $3,000.