12 U.S.C. § 1958 — Compliance

Page 1275 TITLE 12—BANKS AND BANKING § 1958 1 See References in Text note below. 18, 1988, 102 Stat. 4357; Pub. L. 102–550, title XV, § 1535(c)(1), Oct. 28, 1992, 106 Stat. 4067.) Editorial Notes AMENDMENTS 1992—Subsec. (a). Pub. L. 102–550 inserted ‘‘or any per- son willfully causing a violation of the regulation,’’ after ‘‘applies,’’. 1988—Subsec. (a). Pub. L. 100–690 inserted ‘‘or grossly negligent’’ after ‘‘willful’’ and ‘‘or through gross neg- ligence’’ after ‘‘willfully’’ and substituted ‘‘$10,000’’ for ‘‘$1,000’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on first day of seventh calendar month which begins after Oct. 26, 1970, except that the Secretary of the Treasury may, by regulation, provide that this section be effective on any date not earlier than the publication of such regulations in the Federal Register and not later than first day of thirteenth cal- endar month which begins after Oct. 26, 1970, see sec- tion 401(a), (b) of Pub. L. 91–508, set out as a note under section 1951 of this title. § 1956. Criminal penalty Whoever willfully violates any regulation under this chapter shall be fined not more than $1,000 or imprisoned not more than one year, or both. (Pub. L. 91–508, title I, § 126, Oct. 26, 1970, 84 Stat. 1118.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on first day of seventh calendar month which begins after Oct. 26, 1970, except that the Secretary of the Treasury may, by regulation, provide that this section be effective on any date not earlier than the publication of such regulations in the Federal Register and not later than first day of thirteenth cal- endar month which begins after Oct. 26, 1970, see sec- tion 401(a), (b) of Pub. L. 91–508, set out as a note under section 1951 of this title. § 1957. Additional criminal penalty in certain cases Whoever willfully violates, or willfully causes a violation of any regulation under this chapter, section 1829b of this title, or section 1730d 1 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.) Editorial Notes REFERENCES IN TEXT Section 1730d of this title, referred to in text, was re- pealed by Pub. L. 101–73, title IV, § 407, Aug. 9, 1989, 103 Stat. 363. AMENDMENTS 1992—Pub. L. 102–550 inserted ‘‘, or willfully causes a violation of’’ after ‘‘Whoever willfully violates’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on first day of seventh calendar month which begins after Oct. 26, 1970, except that the Secretary of the Treasury may, by regulation, provide that this section be effective on any date not earlier than the publication of such regulations in the Federal Register and not later than first day of thirteenth cal- endar month which begins after Oct. 26, 1970, see sec- tion 401(a), (b) of Pub. L. 91–508, set out as a note under section 1951 of this title. § 1958. Compliance The Secretary shall have the responsibility to assure compliance with the requirements of this chapter and section 1829b of this title and may delegate such responsibility to the appropriate bank supervisory agency, or other supervisory agency. The Secretary may rely on examina- tions conducted by a State supervisory agency of a category of financial institution, if the Sec- retary determines that the category of financial institution is required to comply with this chap- ter and section 1829b of this title (and regula- tions prescribed under this chapter and section 1829b of this title), or the State supervisory agency examines the category of financial insti- tution for compliance with this chapter and sec- tion 1829b of this title (and regulations pre- scribed under this chapter and section 1829b of this title). (Pub. L. 91–508, title I, § 128, Oct. 26, 1970, 84 Stat. 1118; Pub. L. 113–156, § 2(b), Aug. 8, 2014, 128 Stat. 1829.) Editorial Notes AMENDMENTS 2014—Pub. L. 113–156 substituted ‘‘requirements of this chapter and section 1829b of this title’’ for ‘‘re- quirements of this chapter and sections 1730d and 1829b of this title’’ and inserted at end ‘‘The Secretary may rely on examinations conducted by a State supervisory agency of a category of financial institution, if the Sec- retary determines that the category of financial insti- tution is required to comply with this chapter and sec- tion 1829b of this title (and regulations prescribed under this chapter and section 1829b of this title), or the State supervisory agency examines the category of financial institution for compliance with this chapter and section 1829b of this title (and regulations pre- scribed under this chapter and section 1829b of this title).’’ Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on first day of seventh calendar month which begins after Oct. 26, 1970, except that the Secretary of the Treasury may, by regulation, provide that this section be effective on any date not earlier than the publication of such regulations in the Federal Register and not later than first day of thirteenth cal- endar month which begins after Oct. 26, 1970, see sec- tion 401(a), (b) of Pub. L. 91–508, set out as a note under section 1951 of this title. CONSULTATION WITH STATE AGENCIES Pub. L. 113–156, § 2(c), Aug. 8, 2014, 128 Stat. 1830, pro- vided that: ‘‘In issuing rules to carry out section 5318(a)(6) of title 31, United States Code, and section 128 of Public Law 91–508 (12 U.S.C. 1958), the Secretary of the Treasury shall consult with State supervisory agencies.’’ Page 1276 TITLE 12—BANKS AND BANKING § 1959 1 See References in Text note below. § 1959. Administrative procedure The administrative procedure and judicial re- view provisions of subchapter II of chapter 5 and chapter 7 of title 5 shall apply to all proceedings under this chapter, section 1829b of this title, and section 1730d 1 of this title. (Pub. L. 91–508, title I, § 129, Oct. 26, 1970, 84 Stat. 1118.) Editorial Notes REFERENCES IN TEXT Section 1730d of this title, referred to in text, was re- pealed by Pub. L. 101–73, title IV, § 407, Aug. 9, 1989, 103 Stat. 363. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on first day of seventh calendar month which begins after Oct. 26, 1970, except that the Secretary of the Treasury may, by regulation, provide that this section be effective on any date not earlier than the publication of such regulations in the Federal Register and not later than first day of thirteenth cal- endar month which begins after Oct. 26, 1970, see sec- tion 401(a), (b) of Pub. L. 91–508, set out as a note under section 1951 of this title. § 1960. Safe harbor with respect to keep open di- rectives (a) Definition In this section, the term ‘‘financial institu- tion’’ means an entity to which section 1953(b) of this title applies. (b) Safe harbor With respect to a customer account or cus- tomer transaction of a financial institution, if a Federal law enforcement agency, after notifying FinCEN of the intent to submit a written re- quest to the financial institution that the finan- cial institution keep that account or trans- action open (referred to in this section as a ‘‘keep open request’’), or if a State, Tribal, or local law enforcement agency with the concur- rence of FinCEN submits a keep open request— (1) the financial institution shall not be lia- ble under this chapter for maintaining that account or transaction consistent with the pa- rameters and timing of the request; and (2) no Federal or State department or agen- cy may take any adverse supervisory action under this chapter with respect to the finan- cial institution solely for maintaining that ac- count or transaction consistent with the pa- rameters of the request. (c) Rule of construction Nothing in this section may be construed— (1) to prevent a Federal or State department or agency from verifying the validity of a keep open request submitted under subsection (b) with the law enforcement agency submitting that request; (2) to relieve a financial institution from complying with any reporting requirements, including the reporting of suspicious trans- actions under section 5318(g) of title 31; or (3) to extend the safe harbor described in subsection (b) to any actions taken by the fi- nancial institution— (A) before the date of the keep open re- quest to maintain a customer account; or (B) after the termination date stated in the keep open request. (d) Letter termination date For the purposes of this section, any keep open request submitted under subsection (b) shall include a termination date after which that request shall no longer apply. (e) Record keeping Any Federal, State, Tribal, or local law en- forcement agency that submits to a financial in- stitution a keep open request shall, not later than 2 business days after the date on which the request is submitted to the financial institu- tion— (1) submit to FinCEN a copy of the request; and (2) alert FinCEN as to whether the financial institution has implemented the request. (Pub. L. 91–508, title I, § 130, as added Pub. L. 116–283, div. F, title LXIII, § 6306(a)(2), Jan. 1, 2021, 134 Stat. 4588.) CHAPTER 22—TYING ARRANGEMENTS Sec. 1971. Definitions. 1972. Certain tying arrangements prohibited; cor- respondent accounts. 1973. Jurisdiction of courts; duty of United States attorneys; equitable proceedings; petition; expedition of cases; temporary restraining orders; bringing in additional parties; sub- penas. 1974. Actions by United States; subpenas for wit- nesses. 1975. Civil actions by persons injured; jurisdiction and venue; amount of recovery. 1976. Injunctive relief for persons against threat- ened loss or damages; equitable pro- ceedings; preliminary injunctions. 1977. Limitation of actions; suspension of limita- tions. 1978. Actions under other Federal or State laws un- affected; regulations or orders barred as a defense. § 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 per- son, estate, trust, partnership, corporation, as- sociation, 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 engag- ing 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.)