Whoever willfully violates, or willfully causes a violation of any regulation under this chapter, section 1829b of this title, or section 1730d1 of this title, where the violation is committed in furtherance of the commission of any violation of Federal law punishable by imprisonment for more than one year, shall be fined not more than $10,000 or imprisoned not more than five years, or both.

(Pub. L. 91-508, title I, § 127, Oct. 26, 1970, 84 Stat. 1118; Pub. L. 102-550, title XV, §1535(c)(2), Oct. 28, 1992, 106 Stat. 4067.)

1976.

1977.

1978.

Injunctive relief for persons against threatened loss or damages; equitable proceedings; preliminary injunctions.

Limitation of actions; suspension of limitations.

Actions under other Federal or State laws unaffected; regulations or orders barred as a defense.

CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 1843, 1850, 3106 of this title; title 15 section 6701.

§1971. Definitions

As used in this chapter, the terms “bank”, "bank holding company", "subsidiary", and "Board" have the meaning ascribed to such terms in section 1841 of this title. For purposes of this chapter only, the term "company", as used in section 1841 of this title, means any person, estate, trust, partnership, corporation, association, or similar organization, but does not include any corporation the majority of the shares of which are owned by the United States or by any State. The term "trust service" means any service customarily performed by a bank trust department. For purposes of this chapter, a financial subsidiary of a national bank engaging in activities pursuant to section 24a(a) of this title shall be deemed to be a subsidiary of a bank holding company, and not a subsidiary of a bank.

(Pub. L. 91-607, title I, 106(a), Dec. 31, 1970, 84 Stat. 1766; Pub. L. 106-102, title I, §121(c), Nov. 12, 1999, 113 Stat. 1380.)

AMENDMENTS

1999-Pub. L. 106-102 inserted at end "For purposes of this chapter, a financial subsidiary of a national bank engaging in activities pursuant to section 24a(a) of this title shall be deemed to be a subsidiary of a bank holding company, and not a subsidiary of a bank."

EFFECTIVE DATE OF 1999 AMENDMENT Amendment by Pub. L. 106-102 effective 120 days after Nov. 12, 1999, see section 161 of Pub. L. 106-102, set out as a note under section 24 of this title.

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 7 section 2016.

§1972. Certain tying arrangements prohibited; correspondent accounts

(1) A bank shall not in any manner extend credit, lease or sell property of any kind, or furnish any service, or fix or vary the consideration for any of the foregoing, on the condition or requirement

(A) that the customer shall obtain some additional credit, property, or service from such bank other than a loan, discount, deposit, or trust service;

(B) that the customer shall obtain some additional credit, property, or service from a bank holding company of such bank, or from any other subsidiary of such bank holding company;

(C) that the customer provide some addi

Before clause (1), the words "prescribe regulations” are substituted for "make and promulgate rules and regulations in 31:822 and "issue... such rules and regulations" in 31:822b for consistency. In clause (1), the words "to carry out" are substituted for "covering any action taken or to be taken by the President under in 91:822 to eliminate unnecessary words. In clause (2), the words "or proper" in 31:822b and the purposes of" are omitted as surplus Reference to 31.821 is omitted as obsolete because silver is no longer coined. Reference to 31:824 is omitted as obsolete because 31:824 is executed and is not part of the revised title.

SUBCHAPTER REFERRED TO IN OTHER SECTIONS

This subchapter is referred to in title 12 sections 1464, 1786, 1817, 1818, 1829b, 3401, 3418; title 15 sections 789. 6802: title 18 sections 1952, 1956, 1961; title 22 section 2714.

$5311. Declaration of purpose

It is the purpose of this subchapter (except section 5315) to require certain reports or records where they have a high degree of usefulness in criminal, tax, or regulatory investigations or proceedings.

(Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 995.)

UNIFORM STATE LICENSING AND REGULATION OF CHECK CASHING, CURRENCY EXCHANGE, AND MONEY TRANSMITTING BUSINESSES

Pub. L. 103-325, title IV, §407, Sept. 23, 1994, 108 Stat. 2247, provided that:

"(a) UNIFORM LAWS AND ENFORCEMENT-For purposes of preventing money laundering and protecting the payment system from fraud and abuse, it is the sense of the Congress that the several States should

"(1) establish uniform laws for licensing and regulating businesses which

"(A) provide check cashing, currency exchange, or money transmitting or remittance services, or issue or redeem money orders, travelers' checks, and other similar instruments; and

(B) are not depository institutions (as defined in section 5313(g) of title 31, United States Code); and "(2) provide sufficient resources to the appropriate State agency to enforce such laws and regulations prescribed pursuant to such laws.

"(b) MODEL STATUTE.-It is the sense of the Congress that the several States should develop, through the auspices of the National Conference of Commissioners on Uniform State Laws, the American Law Institute,

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appropriate, a model statute to carry out the goals described in subsection (a) which would include the following:

"(1) LICENSING REQUIREMENTS.-A requirement that any business described in subsection (a)(1) be licensed and regulated by an appropriate State agency in order to engage in any such activity within the State.

**(2) LICENSING STANDARDS.-A requirement that

"(A) in order for any business described in subsection (a)(1) to be licensed in the State, the appropriate State agency shall review and approve

"(I) the business record and the capital adequacy of the business seeking the license; and "(ii) the competence, experience, integrity, and financial ability of any individual who

"I) is a director, officer, or supervisory amployee of such business; or

"(II) owns or controls such business; and (B) any record, on the part of any business seeking the license or any person referred to in subparagraph (AXii), of

"(i) any criminal activity:

"(ii) any fraud or other act of personal dishonesty;

(ii) any act, omission, or practice which constitutes a breach of a fiduciary duty; or

(iv) any suspension or removal, by any agency cr department of the United States or any State, from participation in the conduct of any federally or State licensed or regulated business,

may be grounds for the denial of any such license by the appropriate State agency.

"(3) REPORTING REQUIREMENTS.-A requirement that any business described in subsection (a)(1)

"(A) disclose to the appropriate State agency the fees charged to consumers for services described in subsection (a)(1)(A); and

"(B) conspicuously disclose to the public, at each location of such business, the fees charged to consumers for such services.

(4) PROCEDURES TO ENSURE COMPLIANCE WITH FEDERAL CASH TRANSACTION REPORTING REQUIREMENTS.--A civil or criminal penalty for operating any business referred to in paragraph (1) without establishing and complying with appropriate procedures to ensure compliance with subchapter II of chapter 53 of title 31, United States Code (relating to records end reports on monetary instruments transactions).

"(5) CRIMINAL PENALTIES FOR OPERATION OF BUSINESS WITHOUT A LICENSE.-A criminal penalty for operating any business referred to in paragraph (1) without a license within the State after the end of an appropriate transition period beginning on the date of enactment of such model statute by the State. "(c) STUDY REQUIRED.-The Secretary of the Treasury shall conduct a study of

(1) the progress made by the several States in developing and enacting a model statute which"(A) meets the requirements of subsection (b): and

"(B) furthers the goals of

"(i) preventing money laundering by businesses which are required to be licensed under any such statute: and

(11) protecting the payment system, including the receipt, payment, collection, and clearing of checks, from fraud and abuse by such businesses: and

(2) the adequacy of

(A) the activity of the several States in enforc ing the requirements of such statute; and

"(B) the resources made available to the appropriate State agencies for such erforcement activ. ity.

"(d) REPORT REQUIRED.-Not later than the end of the 3-year period beginning on the date of enactment of this Act (Sept. 23, 1994) and not later than the end of each of the first two 1-year periods beginning after the