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-er-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."

S 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.

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

in criminal, tax, and regulatory investigations and proceed

ings.*

The-Ɛongress-further-finds-that-the-power-to-require

reports-of-changes-in-the-ownership,-control,-and-management of-types-of-financial-institutions-referred-to-in-section-122

of-this-Aet-may-be-necessary-for-the-same-purpose.

(b) It is the purpose of this chapter to require the maintenance of appropriate types of records and the making of appropriate reports by the United States offices of such businesses where such records or reports 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 or regulations.

*§-122---Awnership-and-control

The-Secretary-may-by-regulation-require-any-type-of

uninsured-bank-or-uninsured-institution-to-make-such-reports as-the-Secretary-may-require-in-respect-of-its-ownership,-een

trol,-and-management-and-any-changes-therein.

(a) The Secretary may by regulation require the United States office of any uninsured bank, trust company, savings bank, savings and loan association, building and loan association, credit union er-uninsured-institution-or and any person engaging in the United States in the business of carrying on

* The authorization to the Secretary to require ownership and control reports of uninsured banks or uninsured institutions is totally unrelated to the purposes of the Bill and should be eliminated.

any of the functions referred to in subsection (b) of this

section (referred to in this chapter as an "uninsured

institution")-

(1) to require, retain, or maintain, with respect to its functions as an uninsured-bank-or uninsured institution or its functions referred to in subsection (b), any records or evidence of any type which the Secretary is authorized under section 21 of the Federal Deposit Insurance Act to require insured banks to require, retain, or maintain; and.

*(2)--to-maintain-procedures-to-assure-compiianee-with-requirements-imposed-under-this-chapter: For the purposes of any civil or criminal penalty, a separate violation of any requirement under this paragraph occurs with respect to each day and each separate office, branch, or place of business in which the violation occurs or continues.

(b) The authority of the Secretary under this section extends to any person engaging in the business of carrying on any of the following functions:

(1) Issuing or redeeming checks or travelers' checks for third parties, except as an incident to

⭑ This sentence would permit the Secretary to require standardization of business practices in any way he might please without regard to efficiency or individual needs.

Whenever it appears to the Secretary that any person has engaged, is engaged, or is about to engage in any acts or practices constituting a violation of any regulation under this chapter, he may in his discretion bring an action, in the proper district court of the United States or the proper United States court of any territory or other place subject to the jurisdiction of the United States, to enjoin such acts or practices, and upon a proper showing a permanent or temporary injunction or restraining order shall be granted without bond. Upon application of the Secretary, any such court may also issue mandatory injunctions commanding any person to comply with any regulation of the Secretary under this chapter.

*5 125. Civil penalties

(a) For each willful violation of any regulation under this chapter, the Secretary may assess upon any person to

+ Sections 125, 126 and 127 together with section 123 (a) (2), constitute an unusually harsh system of penalties.