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Can you summarize 31 CFR 1010.610?
Special Due Diligence for Correspondent Accounts and Private Banking Accounts > Due diligence programs for correspondent accounts for foreign financial institutions.
Short Summary
This document outlines the requirements for due diligence programs for correspondent accounts for foreign financial institutions. It applies to covered financial institutions and mandates the establishment of a due diligence program that includes appropriate policies, procedures, and controls to detect and report money laundering activities. The program should assess the money laundering risk presented by each correspondent account and apply risk-based procedures and controls to detect and report suspicious activity. Enhanced due diligence procedures are required for correspondent accounts established for certain foreign banks. The document also specifies special procedures to be followed when due diligence or enhanced due diligence cannot be performed. The provisions of this document apply to correspondent accounts established on or after specific dates. Exemptions are provided for certain financial institutions. Overall, the document aims to ensure that covered financial institutions have effective due diligence programs in place to prevent money laundering through correspondent accounts.
Whom does it apply to?
Covered financial institutions
What does it govern?
Due diligence programs for correspondent accounts for foreign financial institutions
What are exemptions?
Financial institutions defined in 31 U.S.C. 5312(a)(2) or (c)(1), or 1010.100(t)
What are the Penalties?
Not specified in the document.
Jurisdiction
U.S. Federal Government