Historical and Revision Notes
Oct. 26, 1970, Pub. L. 91–508, §§ 221–223, 84 Stat. 1122.
In subsection (a), the words “coins or” are added, and the words “prescribe” and “prescribes” are substituted for “specify” in 31:1081, and “require”, for consistency. The words “other parties thereto or” in 31:1082 are omitted as surplus. The words “to the Secretary” in 31:1081 are omitted as unnecessary and for clarity. The words “in such detail” are omitted as surplus. The words “A participant acting for another person shall make the report as the agent or bailee of the person and identify the person for whom the transaction is being made” are substituted for 31:1082(last sentence) for clarity and to eliminate unnecessary words.
In subsection (b), the words “in his discretion” and “individually or by class” are omitted as surplus. The word “Government” is added for consistency. The words “or a regulation under this subchapter”, are added because of the restatement. The words “(except a violation of section 5315 of this title or a regulation prescribed under section 5315)” are added because 31:1141–1143 was not enacted as a part of the Currency and Foreign Transactions Reporting Act that is restated in this subchapter.
In subsection (c)(1), clause (A) is substituted for “with respect to a domestic financial institution . . . with that institution” for clarity. Clause (C) is substituted for “any such person may, at his election and in lieu of filing the report in the manner hereinabove prescribed, file the report with the Secretary” to eliminate unnecessary words.
References in Text
Section 411 of the National Housing Act, referred to in subsec. (b), which was classified to section 1730d of Title 12, Banks and Banking, was repealed by Pub. L. 101–73, title IV, § 407, Aug. 9, 1989, 103 Stat. 363.
Section 19(b)(1)(A) and (C) of the Federal Reserve Act, referred to in subsecs. (e)(2)(A) and (g)(1), is classified to section 461(b)(1)(A) and (C) of Title 12.
The date of enactment of the Money Laundering Suppression Act of 1994, referred to in subsec. (e)(6), is the date of enactment of title IV of Pub. L. 103–325, which was approved Sept. 23, 1994.
Section 1(b) of the International Banking Act of 1978, referred to in subsec. (g)(2)(A), is classified to section 3101 of Title 12.
Sections 25 and 25A of the Federal Reserve Act, referred to in subsec. (g)(2)(B), (C), are classified to subchapters I (§§ 601 et seq.) and II (§§ 611 et seq.), respectively, of chapter 6 of Title 12.
1994—Subsecs. (d) to (g). Pub. L. 103–325 added subsecs. (d) to (g).
Statutory Notes and Related Subsidiaries
Currency Transaction Reports and Suspicious Activity Reports Thresholds Review
Pub. L. 116–283, div. F, title LXII, § 6205, Jan. 1, 2021, 134 Stat. 4570, provided that:
“(a) Review of Thresholds for Certain Currency Transaction Reports and Suspicious Activity Reports.—
The Secretary [of the Treasury], in consultation with the Attorney General, the Director of National Intelligence, the Secretary of Homeland Security
, the Federal functional regulators, State bank supervisors, State credit union supervisors, and other relevant stakeholders, shall review and determine whether the dollar thresholds, including aggregate thresholds, under sections 5313
, and 5331
of title 31
, United States
Code, including regulations issued under those sections, should be adjusted.
“(b) Considerations.—In making the determinations required under subsection (a), the Secretary, in consultation with the Attorney General, the Director of National Intelligence, the Secretary of Homeland Security, the Federal functional regulators, State bank supervisors, State credit union supervisors, and other relevant stakeholders, shall—
rely substantially on information obtained through the BSA Data Value Analysis Project conducted by FinCEN [Financial Crimes Enforcement Network of the Department of the Treasury
] and on information obtained through the Currency Transaction Report analyses conducted by the Comptroller General of the United States;
the effects that adjusting the thresholds would have on law enforcement, intelligence, national security, and homeland security agencies;
the costs likely to be incurred or saved by financial institutions
from any adjustment to the thresholds;
whether adjusting the thresholds would better conform the United States
with international norms and standards to counter money laundering and the financing of terrorism;
whether currency transaction report thresholds should be tied to inflation or otherwise be adjusted based on other factors consistent with the purposes of the Bank Secrecy Act
any other matter that the Secretary determines is appropriate.
“(c) Report and Rulemakings.—Not later than 1 year after the date of enactment of this Act [Jan. 1, 2021], the Secretary, in consultation with the Attorney General, the Director of National Intelligence, the Secretary of Homeland Security, the Federal functional regulators, State bank supervisors, State credit union supervisors, and other relevant stakeholders, shall—
publish a report of the findings from the review required under subsection (a); and
propose rulemakings, as appropriate, to implement the findings and determinations described in paragraph (1).
“(d) Updates.—Not less frequently than once every 5 years during the 10-year period beginning on the date of enactment of this Act, the Secretary shall—
evaluate findings and rulemakings described in subsection (c); and
transmit a written summary of the evaluation to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate; and
propose rulemakings, as appropriate, in response to the evaluation required under paragraph (1).”
[For definitions of terms used in section 6205 of Pub. L. 116–283, set out above, see section 6003 of Pub. L. 116–283, set out as a Definitions note under section 5311 of this title.]
Efficient Use of Currency Transaction Report System
Pub. L. 107–56, title III, § 366, Oct. 26, 2001, 115 Stat. 335, provided that:
“(a) Findings.—The Congress finds the following:
The Congress established the currency transaction reporting requirements in 1970 because the Congress found then that such reports have a high degree of usefulness in criminal, tax, and regulatory investigations and proceedings and the usefulness of such reports has only increased in the years since the requirements were established.
“(2) In 1994, in response to reports and testimony that excess amounts of currency transaction reports were interfering with effective law enforcement, the Congress reformed the currency transaction report exemption requirements to provide—
mandatory exemptions for certain reports that had little usefulness for law enforcement, such as cash transfers between depository institutions and cash deposits from government agencies; and
discretionary authority for the Secretary of the Treasury to provide exemptions, subject to criteria and guidelines established by the Secretary, for financial institutions
with regard to regular business customers that maintain accounts at an institution into which frequent cash deposits are made.
Today there is evidence that some financial institutions
are not utilizing the exemption system, or are filing reports even if there is an exemption in effect, with the result that the volume of currency transaction reports is once again interfering with effective law enforcement.
“(b) Study and Report.—
“(1) Study required.—The Secretary shall conduct a study of—
methods for improving financial institution
utilization of the statutory exemption provisions as a way of reducing the submission of currency transaction reports that have little or no value for law enforcement purposes, including improvements in the systems in effect at financial institutions
for regular review of the exemption procedures used at the institution and the training of personnel in its effective use.
“(2) Report required.—
The Secretary of the Treasury shall submit a report to the Congress before the end of the 1-year period beginning on the date of enactment of this Act [Oct. 26, 2001] containing the findings and conclusions of the Secretary with regard to the study required under subsection (a), and such recommendations for legislative or administrative action as the Secretary determines to be appropriate.”
Report Reduction Goal; Streamlined Currency Transaction Reports
Pub. L. 103–325, title IV, § 402(b), (c), Sept. 23, 1994, 108 Stat. 2245, provided that:
“(b) Report Reduction Goal; Reports.—
“(1) In general.—
In implementing the amendment made by subsection (a) [amending this section], the Secretary of the Treasury shall seek to reduce, within a reasonable period of time, the number of reports required to be filed in the aggregate by depository institutions pursuant to section 5313(a) of title 31
, United States
Code, by at least 30 percent of the number filed during the year preceding the date of enactment of this Act [Sept. 23, 1994
“(2) Interim report.—
The Secretary of the Treasury shall submit a report to the Congress not later than the end of the 180-day period beginning on the date of enactment of this Act on the progress made by the Secretary in implementing the amendment made by subsection (a).
“(3) Annual report.—
The Secretary of the Treasury shall submit an annual report to the Congress
after the end of each of the first 5 calendar years which begin after the date of enactment of this Act on the extent to which the Secretary has reduced the overall number of currency transaction reports filed with the Secretary pursuant to section 5313(a) of title 31
, United States
Code, consistent with the purposes of such section and effective law enforcement.
“(c) Streamlined Currency Transaction Reports.—The Secretary of the Treasury shall take such action as may be appropriate to—
reduce the time and effort required to prepare such report for filing by any such financial institution
under such section.”