To amend the Federal Deposit Insurance Act to require insured banks to maintain certain records, to require that certain transactions in United States currency be reported to the Department of the Treasury, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in 101. 102. Retention of records by insured banks. S 101. Retention of records by insured banks The Federal Deposit Insurance Act is amended (1) by E: New Matter Underscored. Matter to be Deleted is Struck Through redesignating sections 21 and 22 as 22 and 23, respectively, and (2) by inserting the following new section immediately after section 20. "Sec. 21. (a) (1) The Congress finds that adequate records maintained by insured banks have a high degree of usefulness in criminal, tax, and regulatory investigations and proceedings. The Congress further finds that photocopies microfilm or other reproductions made by banks of checks, as well as records kept by banks of the identity of persons maintaining or authorized to act with respect to accounts therein, have been of particular value in this respect. "(2) It is the purpose of this section to require the maintenance of appropriate types of records by the United States offices of insured banks where such records relate to a function performed within the United States and may have a high degree of usefulness in criminal, tax, or regulatory investigations or proceedings relating to United States laws and regulations. ין (b) The Secretary of the Treasury (referred to in this section as the 'Secretary') shall may prescribe such regulations as are appropriate to carry out the purposes of this section. "(c) Each insured bank shall maintain such records and other evidence as the Secretary shall may require of the identity of each person United States citizen or resident having an a deposit type account with any domestic office of the bank and of each individual authorized to sign checks, make-withdrawals,-or-otherwise-act or other payment orders with respect to any such account. " (d) Each insured bank shall make, to the extent that the regulations of the Secretary so require- "(1) a photocopy microfilm or other reproduction or-other-copy of each check, draft, or payment order or similar instrument drawn-on-it-and-presented-to-it-for-payment forwarded to it for collection from outside the United States if it is the first insured bank to receive such check, draft or instrument in the United States for collection; and "(2) a record microfilm or other reproduction of each check, draft, or similar instrument received by it for deposit or collection, together-with-an-identification-of-the party-for-whose-account-it-is-to-be-deposited-or-collected, untess-the-bank-has-already-made-a-record-of-the-party's-identity pursuant-to-subsection-tet if such check, draft, payment order or similar instrument is drawn on a bank or similar institution outside the United States and such insured bank is the last bank in the United States to handle the item. "(e) Whenever any individual engages directly (whether as principal, agent, or bailee) in any transaction with an insured bank which is required to be reported under the Currency and Foreign Transactions Reporting Act, the bank shall require and retain such evidence of the identity of that individual as the Secretary may prescribe as appropriate under the circumstances; provided, however, that no additional records need be made or retained under this subsection, if the required identification is otherwise available in the records of the bank. "(£) In addition-to-or-in lieu of the records and evidence otherwise referred to in this section, each insured bank shall maintain such records and evidence as the Secretary may prescribe to carry out the purposes of this section. " (g) Any type of record or evidence required under this section shall be retained for such period not exceeding six years as the Secretary may prescribe for the type in question. " (h) The Secretary shall make an annual report to the Congress of his implementation of the authority conferred by this section and any similar authority with respect to recordkeeping or reporting requirements conferred by other provisions of law." $ 102. Retention of records by insured institutions Title IV of the National Housing Act is amended by adding at the end thereof the following new section: "Sec. 411. The Secretary of the Treasury shall prescribe such regulations as may be appropriate to carry out, with respect to insured institutions, the purposes set forth in section 21 of the Federal Deposit Insurance Act with respect to insured banks." S 121. Authority of Secretary. Injunctions. Civil penalties. Criminal penalty. Additional criminal penalty in certain cases. Congressional findings and purpose (a) The Congress finds that adequate records maintained by businesses engaged in the functions described in section 123 (b) of this Act have a high degree of usefulness |