Page 62 - BILLS-107hr3162enr

H. R. 3162—61
‘‘(C) how information about activities or relationships
which involve or are closely associated with the exercise
of constitutional rights is to be screened out of the data
maintenance system.
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated for FinCEN such sums as may be necessary
for fiscal years 2002, 2003, 2004, and 2005.’’.
(b) COMPLIANCE WITH REPORTING REQUIREMENTS.—The Sec-
retary of the Treasury shall study methods for improving compliance
with the reporting requirements established in section 5314 of
title 31, United States Code, and shall submit a report on such
study to the Congress by the end of the 6-month period beginning
on the date of enactment of this Act and each 1-year period there-
after. The initial report shall include historical data on compliance
with such reporting requirements.
(c) CLERICAL AMENDMENT.—The table of sections for subchapter
I of chapter 3 of title 31, United States Code, is amended—
(1) by redesignating the item relating to section 310 as
section 311; and
(2) by inserting after the item relating to section 309 the
following new item:
‘‘310. Financial Crimes Enforcement Network.’’.
SEC. 362. ESTABLISHMENT OF HIGHLY SECURE NETWORK.
(a) IN GENERAL.—The Secretary shall establish a highly secure
network in the Financial Crimes Enforcement Network that—
(1) allows financial institutions to file reports required
under subchapter II or III of chapter 53 of title 31, United
States Code, chapter 2 of Public Law 91–508, or section 21
of the Federal Deposit Insurance Act through the secure net-
work; and
(2) provides financial institutions with alerts and other
information regarding suspicious activities that warrant imme-
diate and enhanced scrutiny.
(b) EXPEDITED DEVELOPMENT.—The Secretary shall take such
action as may be necessary to ensure that the secure network
required under subsection (a) is fully operational before the end
of the 9-month period beginning on the date of enactment of this
Act.
SEC. 363. INCREASE IN CIVIL AND CRIMINAL PENALTIES FOR MONEY
LAUNDERING.
(a) CIVIL PENALTIES.—Section 5321(a) of title 31, United States
Code, is amended by adding at the end the following:
‘‘(7) PENALTIES FOR INTERNATIONAL COUNTER MONEY LAUN-
DERING VIOLATIONS.—The Secretary may impose a civil money
penalty in an amount equal to not less than 2 times the
amount of the transaction, but not more than $1,000,000, on
any financial institution or agency that violates any provision
of subsection (i) or (j) of section 5318 or any special measures
imposed under section 5318A.’’.
(b) CRIMINAL PENALTIES.—Section 5322 of title 31, United
States Code, is amended by adding at the end the following:
‘‘(d) A financial institution or agency that violates any provision
of subsection (i) or (j) of section 5318, or any special measures
imposed under section 5318A, or any regulation prescribed under
subsection (i) or (j) of section 5318 or section 5318A, shall be