(a) Purpose. This part provides DA policies, procedures, and restrictions governing access to and disclosure of financial records maintained by financial institutions during the conduct of Army investigations or inquiries.
(b) Applicability and scope.(1) This part applies to the Active Army, the Army National Guard of the United States (ARNGUS)/Army National Guard (ARNG), and the United States Army Reserve unless otherwise stated.
(2) The provisions of 12 U.S.C. 3401et seq. do not govern obtaining access to financial records maintained by financial institutions located outside of the territories of the United States, Puerto Rico, the District of Columbia, Guam, American Samoa, or the Virgin Islands. The procedures outlined in § 504.2(d)(4) will be followed in seeking access to financial information from these facilities.
(3) This part also applies to financial records maintained by financial institutions as defined in § 504.1(c)(1).
(c) Explanation of terms.(1) For purposes of this part, the following terms apply:
(i) Financial institution. Any office of a—
(B) Savings bank.
(C) Card issuer as defined in section 103 of the Consumers Credit Protection Act (15 U.S.C. 1602(n) ).
(D) Industrial loan company.
(E) Trust company.
(F) Savings association.
(G) Building and loan association.
(H) Homestead association (including cooperative banks).
(I) Credit union.
(J) Consumer finance institution.
(ii) This includes only those offices located in any State or territory of the United States, or in the District of Columbia, Puerto Rico, Guam, American Samoa, or the Virgin Islands.
(2) Financial record. An original record, its copy, or information known to have been derived from the original record held by a financial institution, pertaining to a customer's relationship with the financial institution.
(3) Person. An individual or partnership of five or fewer individuals. (Per DODD 5400.12.)
(4) Customer. Any person or authorized representative of that person—
(i) Who used or is using any service of a financial institution.
(ii) For which a financial institution is acting or has acted as a fiduciary for an account maintained in the name of that person.
(5) Law enforcement inquiry. A lawful investigation or official proceeding inquiring into a violation of, or failure to comply with, a criminal or civil statute or any regulation, rule, or order issued pursuant thereto.
(6) Army law enforcement office. Any army element, agency, or unit authorized to conduct investigations under the Uniform Code of Military Justice or Army regulations. This broad definition of Army law enforcement office includes military police, criminal investigation, inspector general, and military intelligence activities conducting investigations of suspected violations of law or regulation.
(7) Personnel security investigation. An investigation required to determine a person's eligibility for access to classified information, assignment or retention in sensitive duties, or other designated duties requiring such investigation. Personnel security investigation includes investigations of subversive affiliations, suitability information, or hostage situations conducted to make personnel security determinations. It also includes investigations of allegations that—
(i) Arise after adjudicative action, and
(ii) Require resolution to determine a person's current eligibility for access to classified information or assignment or retention in a sensitive position. With DA, the Defense Investigative Service conducts personnel security investigations.
(d) Policy—(1) Customer consent. It is DA policy to seek customer consent to obtain a customer's financial records from a financial institution unless doing so would compromise or harmfully delay a legitimate law enforcement inquiry. If the person declines to consent to disclosure, the alternative means of obtaining the records authorized by this part will be used. (See § 504.2 (c) through (g).)
(2) Access requests. Except as provided in paragraph (d)(3) of this section and §§ 504.1(f)(1), 504.2(g) and 504.2(j), Army investigative elements may not have access to or obtain copies of the information in the financial records of any customer from a financial institution unless the financial records are reasonably described and the—
(i) Customer has authorized such disclosure ( § 504.2(b) );
(ii) Financial records are disclosed in response to a search warrant which meets the requirements of § 504.2(d) ;
(iii) Financial records are disclosed in response to a judicial subpoena which meets the requirements of § 504.2(e); or
(iv) Financial records are disclosed in response to a formal written request which meets the requirements of § 504.2(f).
(3) Voluntary information. Nothing in this part will preclude any financial institution, or any officer, employee, or agent of a financial institution, from notifying an Army investigative element that such institution, or officer, employee or agent has information which may be relevant to a possible violation of any statute or regulation.
(e) Authority.(1) Law enforcement offices are authorized to obtain records of financial institutions per this part, except as provided in § 504.2(e).
(2) The head of a law enforcement office of field grade rank or higher (or an equivalent grade civilian official) is authorized to initiate requests for such records.
(f) Exceptions and waivers.(1) A law enforcement office may issue a formal written request for basic identifying account information to a financial institution as part of a legitimate law enforcement inquiry. The request may be issued for any or all of the following identifying data:
(iii) Account number.
(iv) Type of account of any customer or ascertainable group of customers associated with a financial transaction or class of financial transactions.
(2) A request for disclosure of the above specified basic identifying data on a customer's account may be issued without complying with the customer notice, challenge, or transfer procedures described in § 504.2. However, if access to the financial records themselves is required, the procedures in § 504.2 must be followed. (A sample format for requesting basic identifying account data is in app. A.)
(3) This part will not apply when financial records are sought by the Army under the Federal Rules for Civil Procedure, Criminal Procedure, Rules for Courts-Martial, or other comparable rules of other courts in connection with litigation to which the Government and the customer are parties.
(4) No exceptions or waivers will be granted for those portions of this part required by law. Submit requests for exceptions or waivers of other aspects of this part to HQDA OPMG (DAPM-MPD-LE), Washington, DC 20310-2800.
Title 32 published on 2012-07-01
no entries appear in the Federal Register after this date.
This is a list of United States Code sections, Statutes at Large, Public Laws, and Presidential Documents, which provide rulemaking authority for this CFR Part.