The Financial Crimes Enforcement Network has updated and reissued its FAQs regarding bank customer due diligence requirements to account for a recent order that eased beneficial ownership reporting requirements. The revised FAQs also consolidate three sets of previously issued FAQs into one document.
FinCEN in February issued an exemptive relief order that narrowed the circumstances under which covered financial institutions must collect beneficial ownership information. The order is meant to support a more efficient, risk-based approach to customer due diligence and to reduce unnecessary regulatory burden, according to the agency.
