3 1. "(d) Each insured bank shall make, to the extent that 2 the regulations of the Secretary so require, 3 4 5 6 7 8 9 10 11 "(1) a photocopy or other copy of each check, draft, or similar instrument drawn on it and presented to it for payment. "(2) a record of each check, draft, or similar instrument received by it for deposit or collection, together with an identification of the party for whose account it is to be deposited or collected, unless the bank has already made a record of the party's identity pursuant to subsection (c). 12 "(e) Whenever any individual engages (whether as 13 principal, agent, or bailee) in any transaction with an in14 sured bank which is required to be reported or recorded under the Currency and Foreign Transactions Reporting Act, the 15 16 bank shall require and retain such evidence of the identity of 17 that individual as the Secretary may prescribe as appropriate 18 under the circumstances. 19 20 "(f) In addition to or in lieu of the records and evidence otherwise referred to in this section, each insured bank shall 21 maintain such records and evidence as the Secretary may prescribe to carry out the purposes of this section. "(g) Any type of record or evidence required under this section shall be retained for such period as the Secretary 25 may prescribe for the type in question. 4 1 2 3 "(h) The Secretary shall make an annual report to the Congress of his implementation of the authority conferred by this section and any similar authority with respect to 4 recordkeeping or reporting requirements conferred by other 5 6 7 provisions of law. "(i) Notwithstanding any other provisions of this section the recordkeeping requirements referred to in this section 8 shall not apply to domestic financial transactions involving 9 less than $500." 10 11 12 13 15 Sec. 102. Retention of records by insured institutions Title IV of the National Housing Act is amended by adding at the end thereof the following new section: "SEC. 411. The Secretary of the Treasury shall pre14 scribe such regulations as may be appropriate to carry out, with respect to insured institutions, the purposes set forth in section 21 of the Federal Deposit Insurance Act with respect to insured banks." 16 17 20 (a) The Congress finds that adequate records main 21 tained by businesses engaged in the functions described in 5 1 section 123 (b) of this Act have a high degree of usefulness in 2 criminal, tax, and regulatory investigations and proceedings. 3 The Congress further finds that the power to require reports 4 of changes in the ownership, control, and management of 5 types of financial institutions referred to in section 122 of this 6 Act may be necessary for the same purpose. 7 (b) It is the purpose of this chapter to require the main8 tenance of appropriate types of records and the making of 9 appropriate reports by such businesses where such records or 10 reports may have a high degree of usefulness in criminal, tax, 13 The Secretary may by regulation require any type of 14 uninsured bank or uninsured institution to make such reports 15 as the Secretary may require in respect of its ownership, con 16 trol, and management and any changes therein. 17 Sec. 123. Maintenance of records and evidence 18 (a) The Secretary may by regulation require any un19 insured bank or uninsured institution or any person engaging 20 in the business of carrying on any of the functions referred 21 to in subsection (b) of this section 222 22 23 (1) to require, retain, or maintain, with respect to its functions as an uninsured bank or uninsured insti tution or its functions referred to in subsection (b), any records or evidence of any type which the Secretary is 6 1 2 3 4 5 6 7 8 9 10 authorized under section 21 of the Federal deposit Insurance Act to require insured banks to require, retain, or maintain. (2) to maintain procedures to assure compliance with this chapter. For the purposes of any civil or criminal penalty, a separate violation of any requirement under this paragraph occurs with respect to each day and each separate office, branch, or place of business in which the violation occurs or continues. (b) The authority of the Secretary under this section 11 extends to any person engaging in the business of carrying on any of the following functions: (1) Issuing travelers' checks. (2) Issuing or redeeming checks, money orders, travelers' checks, or similar instruments otherwise than as an incident to the conduct of its own nonfinancial business. (3) Transferring or transmitting funds or credits domestically or internationally. (4) Operating a currency exchange or otherwise dealing in foreign currencies or credits. (5) Operating a credit card system. (6) Performing such similar, related, or substitute functions for any of the foregoing or for banking as may be specified by the Secretary in regulations. 1 Sec. 124. Injunctions 2 7 Whenever it appears to the Secretary that any person 3 has engaged, is engaged, or is about to engage in any acts or 4 practices constituting a violation of any regulation under 5 this chapter, he may in his discretion bring an action, in the 6 proper district court of the United States or the proper 7 United States court of any territory or other place subject 8 9 10 11 to the jurisdiction of the United States, to enjoin such acts or practices, and upon a proper showing a permanent or tem porary injunction or restraining order shall be granted with out bond. Upon application of the Secretary, any such court 12 may also issue mandatory injunctions commanding any per 13 son to comply with any regulation of the Secretary under 14 this chapter. 15 Sec. 125. Civil penalties 16 (a) For each willful violation of any regulation under 17 this chapter, the Secretary may assess upon any financial 18 institution to which the regulation applies, and upon any partner, director, officer, or employee thereof who willfully participates in the violation, a civil penalty not exceeding 21 $1,000. 22 23 (b) In the event of the failure of any person to pay any penalty assessed under this section, a civil action for the re covery thereof may, in the discretion of the Secretary, be brought in the name of the United States. |