Waters, Maloney offer bills to beef up BSA
Oct. 25, 2013 – A bill to strengthen law enforcement’s ability to pursue those violating the Bank Secrecy Act and to make financial institution executives – including those at credit unions – personally responsible for violations was introduced Thursday by Rep. Maxine Waters, D-Calif., ranking member of the House Financial Services Committee.
Waters said her “Holding Individuals Accountable and Deterring Money Laundering Act” bill would provide regulators tools to remove or ban bank executives who violate the law from the industry altogether. “The Justice Department and federal agencies have levied a number of record-breaking fines against these banks, but not a single individual has been held accountable,” Waters said in a statement. “And yet thousands of men and women – many non-violent offenders who played no role in drug cartels – remain in prison today for drug offenses far less serious than the banks that allowed hundreds of millions in drug proceeds to flow through the U.S. economy.”
Rep. Carolyn Maloney, D-N.Y., ranking member on the Financial Services Subcommittee on Capital Markets and Government Sponsored Enterprises, also introduced the “Incorporation Transparency and Law Enforcement Assistance Act,” which is intended to complement the other bill. Maloney’s legislation seeks to make it easier to identify the true ownership of legal corporations and deter the use of shell companies for illegal purposes.
“My bill would require that the true ownership of a corporation be identified when papers are filed,” Maloney said. “This will help stop criminal enterprises that are exploiting weaknesses in incorporation law to engage in money-laundering, drug trafficking, securities fraud and terrorist financing. This will give law enforcement officials the tools they need to root out criminal and terrorist organizations.”
HFSC anti-money laundering statement