Page:United States Statutes at Large Volume 115 Part 1.djvu/327

 PUBLIC LAW 107-56 —OCT. 26, 2001 115 STAT. 305 of each of the owners of the foreign bank, and the nature and extent of the ownership interest of each such owner; "(ii) to conduct enhanced scrutiny of such account to guard against money laundering and report any suspicious transactions under subsection (g); and "(iii) to ascertain whether such foreign bank provides correspondent accounts to other foreign banks and, if so, the identity of those foreign banks and related due diligence information, as appropriate under paragraph (1). " (3) MINIMUM STANDARDS FOR PRIVATE BANKING ACCOUNTS.— If a private banking account is requested or maintained by, or on behalf of, a non-United States person, then the due diligence policies, procedures, and controls required under paragraph (1) shall, at a minimum, ensure that the financial institution takes reasonable steps— "(A) to ascertain the identity of the nominal and beneficial owners of, and the source of funds deposited into, such account as needed to guard against money laundering and report any suspicious transactions under subsection (g);and "(B) to conduct enhanced scrutiny of any such account that is requested or maintained by, or on behalf of, a senior foreign political figure, or any immediate family member or close associate of a senior foreign political figure that is reasonably designed to detect and report transactions that may involve the proceeds of foreign corruption. "(4) DEFINITION. —For purposes of this subsection, the following definitions shall apply: "(A) OFFSHORE BANKING LICENSE. —The term 'offshore banking license' means a license to conduct banking activities which, as a condition of the license, prohibits the licensed entity from conducting banking activities with the citizens of, or with the local currency of, the country which issued the license. "(B) PRIVATE BANKING ACCOUNT.—The term 'private banking account' means an account (or any combination of accounts) that— "(i) requires a minimum aggregate deposits of funds or other assets of not less than $1,000,000; "(ii) is established on behalf of 1 or more individuals who have a direct or beneficial ownership interest in the account; and "(iii) is assigned to, or is administered or managed by, in whole or in part, an officer, employee, or agent of a financial institution acting as a liaison between the financial institution and the direct or beneficial owner of the account.". (b) REGULATORY AUTHORITY AND EFFECTIVE DATE. — 3i use 5318 (1) REGULATORY AUTHORITY. —Not later than 180 days after note^, the date of enactment of this Act, the Secretary, in consultation with the appropriate Federal functional regulators (as defined in section 509 of the Gramm-Leach-Bliley Act) of the affected financial institutions, shall further delineate, by regulation, the due diligence policies, procedures, and controls required Deadline.

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