BENEFICOWNERTRUSTEEOPERATION

Fact Sheet: Ben efic ial Own ersh ip
Info rma tion Access and Safeguards Noti ce of
Prop ose d Rule mak ing (NPRM)
December 15, 2022
ng
Today, the Financial Crimes Enforcement Network (FinCEN) issued a Notice of Proposed Rulemaki
ss-and(//www.federalregister.gov/public-inspection/2022-27031/beneficial-ownership-information-acce
t the beneficia l
safeguards-and-use-of-fincen-identifiers-for-entities) (NPRM) (the "Access NPRM") to implemen
(CTA). The Access
ownershi p informati on (B01) access and safeguard provisions of the Corporate Transparency Act
FinCEN starting on
NPRM proposes regulations that would establish who may request B01 that will be reported to
informati on, how
January 1, 2024 (https://www.fincen.gov/boi), who may receive it, how recipients may use the
NPRM also discusses
they must secure it, and the penalties for failing to follow applicable requirements. The Access
store B01 and
aspects of the secure, non-publ ic informati on technology (IT) system that FinCEN is building to
report FinCEN
manage disclosures. It also proposes rules specifying when and how reporting companies may
identifier s tied to entities.
The proposed rule reflects FinCEN's commitm ent to creating a highly useful database for authorize
while protectin g this sensitive informati on from unauthorized disclosure.
The following is a general overview of key elements of the Access NPRM. Please refer to the full
details, including importan t definitions.
d B01 recipients
NPRM for further
Authorized Recipients
•
•
•
s of recipients :
The CTA authorizes FinCEN to disclose B01 under specific circumstances to five general categorie
; (2) foreign
(1) U.S. Federal, state, local, and Tribal governme nt agencies requesting B01 for specified purposes
{foreign
law enforcem ent agencies,judges, prosecutors, central authorities, and competen t authoritie s
diligence {COD)
requesters); (3) financial institution s {Fis) using B01 to facilitate compliance with customer due
y agencies
requirem ents under applicable law; (4) Federal functiona l regulators and other appropria te regulator
U.S.
acting in a supervisory capacity assessing Fis for compliance with COD requirements; and (5) the
in the NPRM
Departm ent of the Treasury {Treasury) itself. In accordance with the CTA, the regulations proposed
on about
would impose upon each recipient category unique requirements and restrictions. General informati
the recipient categories follows.
engaged
Under the proposed rule and as authorized by the CTA, FinCEN would disclose B01 to Federal agencies
ce of
in national security, intelligence, or law enforcement activity if the requested B01 is for use in furtheran
beneficia l
such activity. Authorized users from qualifying Federal agencies would be able to log in to the
results returned
ownershi p IT system directly, run queries using multiple search fields, and review one or more
justificat ions
immediat ely. Users would have to submit justificati ons to FinCEN for their searches, and these
both
would be subject to oversight and audit by FinCEN. "Law enforcem ent activity" here would include
actions,
criminal and civil investigations and actions, such as actions to impose civil penalties , civil forfeiture
and civil enforcem ent through administr ative proceedings.
and Tribal law
Consiste nt with the CTA, the proposed rule would allow FinCEN to disclose B01 to state, local,
ent agency to seek
enforcem ent agencies if "a court of compete nt jurisdicti on" has authorize d the law enforcem
be any court with
the informati on in a criminal or civil investiga tion. A "court of compete nt jurisdicti on" would
jurisdiction over the criminal or civil investigation for which the state, local, or Tribal law enforcement agency
requests B01. Authorized users from these agencies would be required to upload a document issued by a court
of competent jurisdiction authorizing the agency to seek B01 from FinCEN. After FinCEN has reviewed the
relevant authorization and approved the request, an agency could then conduct searches within the beneficial
ownership IT system using the same search functionality available to Federal agencies engaged in national
security, intelligence, or law enforcement activity.
• Under the proposed rule, foreign requesters would be required to make their requests for B01 through
intermediary Federal agencies. In addition to meeting other criteria, requests from foreign requesters would
have to be made either (1) under an international treaty, agreement, or convention or (2) via a request made by
law enforcement, judicial, or prosecutorial authorities in a trusted foreign country. Requests made under
international treaties or other agreements would be subject to different requirements and procedures than
requests made in situations when no such agreements apply. FinCEN would look to U.S. interests and priorities
in consultation with other relevant U.S. government agencies when determining whether to disclose B01 to
foreign requesters when no treaty or other agreement applies. In neither case would foreign requesters have
direct access to the beneficial ownership IT system. They would instead rely on the intermediary Federal
agencies through which they route their requests to retrieve and furnish them with requested B01.
• Consistent with the CTA, the proposed rule would only permit Fis to request B01 from FinCEN for purposes of
complying with COD requirements under applicable law, and only with the consent of the reporting company to
which the B01 pertains. FinCEN thus anticipates that an Fl, instead of being able to run open-ended queries in
the beneficial ownership IT system or to receive multiple search results, would submit identifying information
specific to a reporting company and receive in return an electronic transcript with that entity's B01. This more
limited information-retrieval process would reduce the overall risk of inappropriate use or unauthorized
disclosures of B01.
• The CTA authorizes Federal functional regulators and other appropriate regulatory agencies to request from
FinCEN B01 that the Fis they supervise have already obtained from the bureau for purposes of assessing an Fl's
compliance with COD requirements under applicable law. To the extent regulators also engage in law
· enforcement activity, they would be able to access B01 for this purpose as well. Under the proposed rule, certain
竺lf-regulatory organizations (SROs) would be able to receive B01 to facilitate CDD compliance reviews under
certain circumstances.
• The CTA provides Treasury with a unique degree of acc亟 to B01, making the information available to any
Treasury officer or employee (1) whose official duties require B01 j n印ection or disclosure or (2) for tax
administration. The proposed rule tracks these authorlzations. fr泊$l,Jry components would be permitted to use
B01 for appropriate purposes, such as tax administration, enf吹中心t actions, intelligence and analytical
purposes, use in sanctions designation investigations, and iden廿fyi'ng property blocked pursuant to sanctions,
as well as for administration of the B01 framework, such as for a~cfits, enforcement, and oversight. The Treasury
Department would establish internal policies and procedures governing Treasury officer and employee access
toBOI.
Safeguards and Penalties
• B01 is sensitive information. Protecting it from unauthorized disclosure is a top priority for FlnCEN. The CTA
imposes strict access-control protocols on "requesting agencies," and FinCEN has used statutory authority
delegated to It by the Secretary of the Treasury to propose comparable requirements for Fis, SROs, and others
who may receive B01, Including contractors and other agents acting on an authorized recipient's behalf. Robust
protections are crucial to safeguarding 801 and ensuring that Individuals that access B01 use It consistent with
the requirements of the CTA and protect It from unauthorized disclosure.
• Proposed protocols vary by recipient category, but would generally require B01 recipients to have standards
and procedures for storing the information·in a secure system to which only authorized personnel have access
and only tor authorized purposes. Audit requirements would apply when prudent or mandated by the CTA, as
do requirements to certify compliance with the statute and proposed regulations. In all cases, FinCEN would
require authorized recipients to maintain for review key information about specific beneficial ownership
information searches or requests. Memoranda of Understanding or other agreements with authorized recipients
would describe applicable requirements in detail.
• Penalty provisions support the security and confidentiality requirements in the proposed rule. In general, the
CTA makes it unlawful for any person to knowingly disclose or knowingly use B01 obtained by the person from a
report submitted to, or an authorized disclosure made by, FinCEN, unless such disclosure is authorized under
the CTA. Under the proposed rule, "unauthorized use" would include any unauthorized access of B01 submitted
to FinCEN, including any activity in which an employee, officer, director, contractor, or agent of an authorized
recipient knowingly violates applicable security and confidentiality requirements in connection with accessing
such Information. The CTA provides both civil and criminal penalties, including enhanced criminal penalties of
up to 10 years imprisonment in some instances. Violating applicable requirements could also lead to FinCEN
suspending or debarring a requester from access to the beneficial ownership IT system.
Beneficial Ownership IT System Development
• The beneficial ownership IT system will be cloud-based and will meet the highest Federal Information Security
Management Act (FISMA) level - FISMA High. A FISMA High rating es也blishes standards for baseline information
security controls to reflect that losing the confidentiality. integrity. or availability of system information would
have a severe or catastrophic adverse effect on the organization maintaining the system. including on
organizational assets or individuals.
• FinCEN has gathered requirements and completed initial system engineering, architectures. and program
planning activities for the beneficial ownership IT system. The target date for the system to begin accepting B01
reports is January 1. 2024. the day the reporting rule takes effect.
FinCEN Identifiers
• As explained In FlnCEN's Final Beneficial Ownership Information Reporting Rule
(https://www.federalregister.gov/documents/2022/09/30/2022-21020/beneficial-ownership-informationreporting-requirements) promulgated on September 30, 为22, repo,rting companies may in certain instances
report a FinCEN identifier instead of B01 associated with a parti氓~beneficial owner. A FinCEN identifier is a
unique identifying number that FinCEN will issue to individuals 心如titles upon request. The Reporting Rule
provided processes for obtaining, updating, and using FinCEN id础fiers, but reserved for further consideration
certain provisions concerning the use of a FinCEN identifier Issued to an entity. The Access NPRM includes
proposed amendments to the reporting regulations concerning these provisions.
• The proposed amendments would permit a reporting company to report the FinCEN identifier of an entity
through which an individual is a beneficial owner of the reporting company in lieu of the individual's B01 only
when: (1) the intermediate entity has obtained a FinCEN identifier and provided it to the reporting company; (2)
the individual is a beneficial owner by virtue of an interest in the reporting company that the individual holds
through the Intermediate entity; and (3) only the individuals that are beneficial owners of the intermediate
entity are beneficial owners of the reporting company. and vice versa. These requirements are necessary to
prevent over- or under-reporting of beneficial owners. Preventing inaccuracies from entering the beneficial
ownership IT system is critical to make it useful.
Next Steps
• Written comments on this proposed rule may be submitted on or before February 14, 2023. This proposed rule
is the second of three rulemakings Ptanned to implement the CTA. The first rulemaking was the BOI Reporting
Rule finalized on September 30, 2022. The third rulemaking in the trio will revise FinCEN's COD rule no later than
one year after the effective date of the B01 Reporting Rule (January 1, 2024}.
• FinCEN is working diligently to put in place the regulations an d related processes and infrastructure to
implement the CTA. FinCEN is pressing forward to complete as much of the CTA implementation work as
possible with existing resources and staffing.
贰
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一
声
FinCEN Issues Final Rule for Beneficial Ownership Reporting to Sup
port
Law Enforcement Efforts, Counter Illicit Finance, and lncreas.e
Transparency
Contact FinCEN's Office of Strategic Communications at press@finc
en.gov
lmmedla切阳uase:
September 29, 2022
氐al Unlc: Beneficial Ownership Information Reporting Rule
Fact Sheet (https://叩w.fl心,n.gov/如nefic/a归叩ership-informatio 咋portlng-rul~t釭 sheet)
Beneficial Ownership lnfonnatlon Reporting Rule Fact Sheet
WASHINGTON- Today, the U.S. Treasury's Financial Crimes Enforceme
nt Network (FinCEN) took a historic step in support of U.S. government efforts to crack down on'"llicit finance and
enhance transparency by issuing a final rule (https:f/www.federalregister.gov/
public-inspection/2022-21020/beneflcial-ownershiP-information-reporting-requirements) establishi ng a
beneficial ownership information reporting requirement, pursuant to
the bipartisan Corporate Transparency Act (CTA). The rule will require most corporations, limited liability companie:
and other entities created in or registered to do business in the United
States to report information about their beneficial owners一 the persons who ultimately own or control the compa『
to FinCEN. Designed to protect U.S. national security and strengthen
·nal actors, including oligar<
the integrity and transparency of the U.S. financial system, the rule will
help to st0P crimi
kleptocrats , drug traffickers, human traffickers, and those who would
use anonymous shell companies to hide their illicit proceeds.
" For too long, it has been far too easy for criminals, Russian oligarchs,
through anonymous shell companies
and other bad actors to fund their Illicit activity by hiding and moving
money
other corporate structures right here in the United States," said Acting
FinCEN Director Himamauli Oas. "This final rule is a significant step forward in our efforts to support national secur
intelligence, and law enforcement agencies in their work to curb illicit
activities. The final rule will also play an Important role in protecting
American taxpayers an d businesses who play I
the rules, but are repeatedly hurt by criminals that use companies for
Illegal reasons."
This final rule represents the culmination of years of bipartisan efforts
by Congress, the Treasury, national security agencies, law enforceme
nt, and othersta keholders to bolster the Unit1
States' corporate transparency framewo巾 It addresses deficiencies
in the U.S. anti-money laundering regime as Identified by the Financial
Action Task Force-the international standard
setting body for anti-money laundering and countering the financing
of terrorism and proliferation of weapons of mass destruction standards
-and delivers on commitments made by th
United States ahead of the December 2021 Summit for Democracy and
in the first-ever U.S. Strategy on Countering Corruption.
Theru阳s effective January 1, 2024. Reporting companies created or registered
before January 1, 2024, will have one year (until January 1, 2025) to
file their initial reports, while reportir
companies created or registered after January 1, 2024, will have 30 days
aftercreation or registration to file their initial reports. Once the initial
report has b旺n filed, both existing and ne
reporting companies will have to file updates within 30 days of a change
In their beneficial ownership information. FinCEN is committed to implemen
ting these statutory obligations in a
robust manner while minimizing burdens on reporting companies.
The reporting rule is one of three rulemakings planned to implemen
t the CTA. FinCEN will engage in additional rulemakings to: (1) establlsh
rules for who may access beneficial ownershi
information, for what pu巾oses, and what safeguards will be required
to ensure that the information is secured and protected; and (2) revise
FinCEN's customer due diligence rule. In
add巾on, FinCEN continues to develop the infrastructure to
administer these requirements, including the Information technolog
y system that will be used to store beneficial ownership
information in accordance with the strict security and confidentiality
requirements of the CTA.
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Fron,: Global Admin
[email protected]
Subject: Fwd: FinCEN E-File Support - Incident#
459357 has been Resolved
Date: Dec 27, 2019 at 6:59:10 PM
To: [email protected]
Get Outlook tor iOS
From: bsaefilingh刮p@fincen 怼汉 <bsaefilinghelpCPJfincen.g吵
Sent: Thursday, December 26, 2019 11 :12:04 AM
To: Global Admin <ranchosm 309@Ran chodeSM3 09.com>
Subject: FinCEN E-File Support - Incident# 459357 has been
Resolved
伊
Dear Frederic Avila,
Thank you for contacting the BSA E-Filing Help Desk. Your ticket
#459357 has been set to Resolved For reference, please review the
solution description listed below under the Ticket Solution If you are
still experiencing problems, please contact us at 866-346-9478,
703-905-~ 9~9 or via e-mail at \)saefiling皿迎fince归凶 ， before 7
business days have passed and we will continue to troubleshoot the
issue. If that time has lapsed, please contact us and we will open up a
new ticket to address the problem.
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加油d cullorM" with link to 咖 …叩 IO 晌- IWt ICdina bllcha
Thank you
BSA E-Filing Holp D吐
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TRUSTEE
OPERATIONS
Exhibit A, Bank of America as
unauthorized Trustee under the Will of
Fred Avila deceased (July 19, 19的） from
·which estate property distributed under
defective will, written by Peter Andrew
LLP, January 19的， \vhereas the record of
Probate transcripts recorded on dates
ranging from
o引1966
thru 10/1966, as
Bank of America Savings and Trust
. Association, as Executor of the will of
I
, Fred Avila, Coilectively, T'he Piaintiffs, I
proceedings To wit: LES PENDENCE,
、
、
Final Sale and Distribution Of
Decedents Estate Prop erty, violates
trust and estate laws, whereas p roperty
associated with distribution of
decedents assets, derived from the
Equity of Said Property that was
received from Mary Avila (deceased
叩）
as a gift associated with assets
exempt from federal or state tax in
accordance with Treaty tax Based
position, Land Patent Title SNCACAAA103225. Issued Plat of Rancho
San Miguelita,
(#O心9)
Date:02/23/1877.
To: Miguel Avila. Deceased (09叩 874).
Authority: 009 Stat.
06丸
Certification of Acceptance and
Confirmation of Final Field Survey
Notes #335- Dec 19. 2018,
Confirm s Grant of Exclusive title in and
to the place called Rancho San
Migueli ta, vested superior interest in
virtue of Said Act of Congres s and
covenan t of the final decree rendered
from appeal brought by the United
States of America (1 防6) was affirmed in
favor of claiman t Miguel Avila, Heirs
and Assigns Forever.
Decree:
M
~r
Ninth Circuit Suprem e Court ur
Appeals .
NOTICE OF:
Petition for Remissi on and Declarat ion.
Of Takings,
have caused the United States to action
Authoriz ing District Court To