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Can you summarize 31 CFR 1022.380?
Reports Required To Be Made By Money Services Businesses > Registration of money services businesses.
Short Summary
This legal document outlines the registration requirements for money services businesses (MSBs) in the United States. It states that all MSBs, regardless of whether they are licensed by a state, must register with the Financial Crimes Enforcement Network (FinCEN). Providers of prepaid access must also identify each prepaid program they offer. Foreign-located persons doing business as an MSB in the United States must designate a person residing in the United States as an agent for legal process and provide an address for record-keeping. The document specifies that certain entities, such as the United States Postal Service and government agencies, are exempt from the registration requirement. The consequences for non-compliance include civil penalties and potential criminal penalties. MSBs are also required to maintain a list of their agents and provide information about their services, transaction volumes, and banking relationships. The document sets deadlines for initial registration and renewals, as well as requirements for re-registration in case of ownership changes or increases in the number of agents. Overall, this document establishes the framework for the registration and regulation of MSBs in the United States.
Whom does it apply to?
Money services businesses (whether or not licensed as a money services business by any State), providers of prepaid access, and foreign-located persons doing business in the United States as a money services business
What does it govern?
Registration of money services businesses
What are exemptions?
The United States Postal Service, agencies of the United States, agencies of any State, or agencies of any political subdivision of a State are exempt from this registration requirement. Additionally, a person that serves as an agent of another money services business is not required to register under this section.
What are the Penalties?
Failure to comply with the requirements of 31 U.S.C. 5330 or this section may result in a civil penalty of $5,000 for each violation. Each day a violation continues constitutes a separate violation. Criminal penalties may also apply.
Jurisdiction
U.S. Federal Government