[Federal Register: January 22, 1999 (Volume 64, Number 14)] [Notices] [Page 3585-3586] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr22ja99-131] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF THE TREASURY Financial Crimes Enforcement Network Proposed Collection; Comment Request AGENCY: Financial Crimes Enforcement Network, Treasury. ACTION: Notice and request for comments. ----------------------------------------------------------------------- SUMMARY: The Department of the Treasury (``Treasury''), as part of its continuing effort to reduce paperwork and respondent burden, invites the general public and other Federal agencies to take this opportunity to comment on proposed and/or continuing information collections, as required by the Paperwork Reduction Act of 1995, Pub. L. 104-13 (44 U.S.C. 3506(c)(2)(A)). Currently, the Financial Crimes Enforcement Network (``FinCEN'') is soliciting comments concerning a new form, ``Designation of Exempt Person,'' for use by banks and other depository institutions (``banks'') in designating their eligible customers as exempt from the requirement that banks report to Treasury customer transactions in currency in excess of $10,000. DATES: Written comments should be received on or before March 23, 1999 to be assured of consideration. ADDRESSES: Direct all written comments to: Office of Chief Counsel, Financial Crimes Enforcement Network, Department of the Treasury, Suite 200, 2070 Chain Bridge Road, Vienna, VA 22182-2536, Attention: PRA Comments--Designation of Exempt Person. Comments also may be submitted by electronic mail to the following Internet address: ``regcomments@fincen.treas.gov'' with the caption in the body of the text, ``Attention: PRA Comments--Designation of Exempt Person.'' FOR FURTHER INFORMATION CONTACT: Requests for additional information should be directed to Charles Klingman, Financial Institutions Policy Specialist, FinCEN, at (703) 905-3602, or Eileen Dolan, FinCEN, at (703) 905-3618. A copy of the form may be obtained through the Internet at http://www.treas.gov/fincen. SUPPLEMENTARY INFORMATION: Title: Designation of Exempt Person. OMB Number: 1506-0012. Form Number: TD F 90-22.53. Abstract: The Bank Secrecy Act, Titles I and II of Pub. L. 91-508, as amended, codified at 12 U.S.C. 1829b, 12 U.S.C. 1951-1959, and 31 U.S.C. 5311-5330, authorizes the Secretary of the Treasury, inter alia, to issue regulations requiring records and reports that are determined to have a high degree of usefulness in criminal, tax, and regulatory matters. Regulations implementing Title II of the Bank Secrecy Act (codified at 31 U.S.C. 5311-5330) appear at 31 CFR part 103. The authority of the Secretary to administer Title II of the Bank Secrecy Act has been delegated to the Director of FinCEN. The reporting by financial institutions of transactions in currency in excess of $10,000 has long been a major component of the Department of the Treasury's implementation of the Bank Secrecy Act. The reporting requirement is imposed by 31 CFR 103.22, a rule issued under the broad authority granted to the Secretary of the Treasury by 31 U.S.C. 5313(a) to require reports of domestic coins and currency transactions. The Money Laundering Suppression Act of 1994, Title IV of the Riegle Community Development and Regulatory Improvement Act (Pub. L. 103-325) amended 31 U.S.C. 5313. The statutory amendments mandate exemptions from currency transaction reporting in the case of customers that [[Page 3586]] are other banks, certain governmental entities, or businesses for which reporting would serve little or no law enforcement purpose. The amendments also authorize Treasury to exempt certain other businesses. On September 8, 1997, and September 21, 1998, Treasury issued final rules regarding these statutory amendments (62 FR 47141 and 63 FR 50147, respectively). The final rules reform and simplify the process by which banks may exempt eligible customers. Under the simplified procedures of the new rules, a key requirement is a ``designation'' sent to the Treasury indicating that a customer will be treated by the bank as an exempt person, so that no further currency transaction reports will be filed on the customer's cash transactions exceeding $10,000. As part of the simplification process, Treasury is issuing a new form specifically for making that designation. This dedicated-use form will be easier to use than the current procedure, which requires banks to complete certain entries on the currency transaction report itself. The dedicated-use form will also enable Treasury to develop procedures for the magnetic media filing of exemptions. The information collected on the new form, Designation of Exempt Person, TD F 90-22.53 is required to exempt bank customers from currency transaction reporting. The information is used to help determine whether a bank has properly exempted its customers. The collection of information is mandatory. Type of Review: New information collection. Affected Public: Business or other for-profit institutions. Estimated Number of Respondents: 19,000. Estimated Total Annual Responses: 250,000. Estimated Total Annual Burden Hours: Reporting average of 10 minutes per response; recordkeeping average of 1 hour per response. Estimated total annual burden hours: Reporting burden of 41,667 hours; recordkeeping burden of 250,000 hours, for an estimated combined total of 291,667 hours. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless the collection of information displays a valid OMB control number. Records required to be retained under the Bank Secrecy Act must be retained for five years. Generally, information collected pursuant to the Bank Secrecy Act is confidential, but may be shared as provided by law with regulatory and law enforcement authorities. Request for Comments Comments submitted in response to this notice will be summarized and/or included in the request for OMB approval. All comments will become a matter of public record. Comments are invited on: (a) Whether the collection of information is necessary for the proper performance of the functions of the agency, including whether the information shall have practical utility; (b) the accuracy of the agency's estimate of the burden of the collection of information; (c) ways to enhance the quality, utility, and clarity of the information to be collected; (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology; and (e) estimates of capital or start-up costs and costs of operation, maintenance and purchase of services to provide information. Dated: January 13, 1999. William F. Baity, Acting Director, Financial Crimes Enforcement Network. [FR Doc. 99-1485 Filed 1-21-99; 8:45 am] BILLING CODE 4820-03-P