On July 11, 2016, the House of Representatives passed three bills aimed at combatting terrorist financing.
H.R. 5594, the “National Strategy for Combatting Terrorist, Underground, and Other Illicit Financing Act,” would require the President, acting through the Treasury Secretary, to develop and submit to Congress annually a national strategy to combat money laundering and terrorist financing and related report. The bill requires the Treasury Secretary to consult with various heads of state and the Federal banking agencies to develop and integrate this terrorist financing strategy into the broader counterterrorism strategy of the US.
H.R. 5602 would broaden the types of “Geographic Targeting Orders” that the Department of Treasury may order to include all funds (not just US coins or currency) involved in such transaction. Geographic Targeting Orders are orders that impose recordkeeping and reporting requirements upon financial institutions and nonfinancial trade or business groups regarding transactions for the payment, receipt or transfer of US coins or currency (or other monetary instruments as Treasury may describe in an order).
H.R. 5607, the “Enhancing Treasury’s Anti-Terror Tools Act,” would require the Treasury Secretary to report on certain employees regarding their role in advancing US anti-terrorism and financing interests and adds the Treasury Secretary to the National Security Council. The bill also requires the Treasury to conduct several studies including a study of the implications of transforming the Office of Terrorism and Financial Intelligence into a standalone bureau, the efficacy of requiring banking regulators to establish a pilot technical assistance program for depository institutions and credit unions that provide account services to money services businesses servicing Somali individuals and the potential impact of allowing money services businesses to share their state examinations with depository institutions and credit unions.
H.R. 5594 is available at: http://docs.house.gov/billsthisweek/20160711/HR5594.pdf, H.R. 5602 is available at: http://docs.house.gov/billsthisweek/20160711/HR5602.pdf and H.R. 5607 is available at: http://docs.house.gov/billsthisweek/20160711/HR5607.pdf.