31 U.S.C. § 5320 — Injunctions

Page 471 TITLE 31—MONEY AND FINANCE § 5320 ‘‘(a) DETERMINATION.—If the Secretary of the Treas- ury determines that reasonable grounds exist for con- cluding that one or more financial institutions oper- ating outside of the United States, or 1 or more classes of transactions within, or involving, a jurisdiction out- side of the United States, or 1 or more types of ac- counts within, or involving, a jurisdiction outside of the United States is of primary money laundering con- cern in connection with Russian illicit finance, the Secretary of the Treasury may, by order, regulation, or otherwise as permitted by law— ‘‘(1) require domestic financial institutions and do- mestic financial agencies to take 1 or more of the special measures described in section 5318A(b) of title 31, United States Code; or ‘‘(2) prohibit, or impose conditions upon, certain transmittals of funds (to be defined by the Secretary) by any domestic financial institution or domestic fi- nancial agency, if such transmittal of funds involves any such institution, class of transaction, or type of account. ‘‘(b) CLASSIFIED INFORMATION.—In any judicial review of a finding of the existence of a primary money laun- dering concern, or of the requirement for 1 or more spe- cial measures with respect to a primary money laun- dering concern made under this section, if the designa- tion or imposition, or both, were based on classified in- formation (as defined in section 1(a) of the Classified Information Procedures Act (18 U.S.C. App.), such in- formation may be submitted by the Secretary to the reviewing court ex parte and in camera. This sub- section does not confer or imply any right to judicial review of any finding made or any requirement imposed under this section. ‘‘(c) AVAILABILITY OF INFORMATION.—The exemptions from, and prohibitions on, search and disclosure pro- vided in section 5319 of title 31, United States Code, shall apply to any report or record of report filed pur- suant to a requirement imposed under subsection (a) of this section. For purposes of section 552 of title 5, United States Code, this subsection shall be considered a statute described in subsection (b)(3)(B) of that sec- tion. ‘‘(d) PENALTIES.—The penalties provided for in sec- tions 5321 and 5322 of title 31, United States Code, that apply to violations of special measures imposed under section 5318A of title 31, United States Code, shall apply to violations of any order, regulation, special measure, or other requirement imposed under sub- section (a) of this section, in the same manner and to the same extent as described in sections 5321 and 5322. ‘‘(e) INJUNCTIONS.—The Secretary of the Treasury may bring a civil action to enjoin a violation of any order, regulation, special measure, or other require- ment imposed under subsection (a) of this section in the same manner and to the same extent as described in section 5320 of title 31, United States Code.’’ [Section 9714 of Pub. L. 116–283 consists of subsecs. (a) to (g). Subsecs. (a) to (e) are set out above. Subsecs. (f) and (g), formerly (b) and (c), are not classified to the Code.] ‘‘FEDERAL FUNCTIONAL REGULATOR’’ INCLUDES COMMODITY FUTURES TRADING COMMISSION For purposes of Pub. L. 107–56 and any amendment by Pub. L. 107–56, the term ‘‘Federal functional regulator’’ includes the Commodity Futures Trading Commission, see section 321(c) of Pub. L. 107–56, set out as a note under section 5318 of this title. § 5319. Availability of reports The Secretary of the Treasury shall make in- formation in a report filed under this subchapter available to an agency, including any State fi- nancial institutions supervisory agency, United States intelligence agency or self-regulatory or- ganization registered with the Securities and Exchange Commission or the Commodity Fu- tures Trading Commission, upon request of the head of the agency or organization. The report shall be available for a purpose that is con- sistent with this subchapter. The Secretary may only require reports on the use of such informa- tion by any State financial institutions super- visory agency for other than supervisory pur- poses or by United States intelligence agencies. However, a report and records of reports are ex- empt from search and disclosure under section 552 of title 5, and may not be disclosed under any State, local, tribal, or territorial ‘‘freedom of in- formation’’, ‘‘open government’’, or similar law. (Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 999; Pub. L. 102–550, title XV, § 1506, Oct. 28, 1992, 106 Stat. 4055; Pub. L. 107–56, title III, § 358(c), Oct. 26, 2001, 115 Stat. 326; Pub. L. 112–74, div. C, title I, § 119, Dec. 23, 2011, 125 Stat. 891; Pub. L. 116–283, div. F, title LXI, § 6109(b), Jan. 1, 2021, 134 Stat. 4561.) HISTORICAL AND REVISION NOTES Revised Section Source (U.S. Code) Source (Statutes at Large) 5319 ......... 31:1052(j). Oct. 26, 1970, Pub. L. 91–508, §§ 203(j), 212, 84 Stat. 1120, 1121. 31:1061. The words ‘‘upon such conditions and pursuant to such procedures as he may by regulation prescribe’’ and ‘‘set forth’’ in 31:1061, and the word ‘‘specifically’’ in 31:1052(j), are omitted as surplus. Editorial Notes AMENDMENTS 2021—Pub. L. 116–283 inserted ‘‘search and’’ before ‘‘disclosure’’. 2011—Pub. L. 112–74 inserted ‘‘, and may not be dis- closed under any State, local, tribal, or territorial ‘freedom of information’, ‘open government’, or similar law’’ after ‘‘section 552 of title 5’’. 2001—Pub. L. 107–56 reenacted section catchline with- out change and amended text generally. Prior to amendment, text read as follows: ‘‘The Secretary of the Treasury shall make information in a report filed under section 5313, 5314, or 5316 of this title available to an agency, including any State financial institutions supervisory agency, on request of the head of the agen- cy. The report shall be available for a purpose con- sistent with those sections or a regulation prescribed under those sections. The Secretary may only require reports on the use of such information by any State fi- nancial institutions supervisory agency for other than supervisory purposes. However, a report and records of reports are exempt from disclosure under section 552 of title 5.’’ 1992—Pub. L. 102–550 substituted ‘‘to an agency, in- cluding any State financial institutions supervisory agency,’’ for ‘‘to an agency’’ in first sentence and in- serted after second sentence ‘‘The Secretary may only require reports on the use of such information by any State financial institutions supervisory agency for other than supervisory purposes.’’ Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2001 AMENDMENT Amendment by Pub. L. 107–56 applicable with respect to reports filed or records maintained on, before, or after Oct. 26, 2001, see section 358(h) of Pub. L. 107–56, set out as a note under section 1829b of Title 12, Banks and Banking. § 5320. Injunctions When the Secretary of the Treasury believes a person has violated, is violating, or will violate Page 472 TITLE 31—MONEY AND FINANCE § 5321 this subchapter or a regulation prescribed or order issued under this subchapter, the Sec- retary may bring a civil action in the appro- priate district court of the United States or ap- propriate United States court of a territory or possession of the United States to enjoin the violation or to enforce compliance with the sub- chapter, regulation, or order. An injunction or temporary restraining order shall be issued without bond. (Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 999.) HISTORICAL AND REVISION NOTES Revised Section Source (U.S. Code) Source (Statutes at Large) 5320 ......... 31:1057. Oct. 26, 1970, Pub. L. 91–508, § 208, 84 Stat. 1120. 31:1143(b)(words be- fore last comma). Sept. 21, 1973, Pub. L. 93–110, § 203(b)(words before last comma), 87 Stat. 353. The words ‘‘has violated, is violating, or will violate this subchapter’’ are substituted for ‘‘has engaged, is engaged, or is about to engage in any acts or practices constituting a violation of the provisions of this chap- ter’’ in 31:1057 and ‘‘failed to submit a report required under any rule or regulation issued under this sub- chapter or has violated any rule or regulation issued hereunder’’ in 31:1143(b)(words before last comma) to eliminate unnecessary words. The words ‘‘or a regula- tion prescribed’’ are added because of the restatement. The words ‘‘in his discretion’’ are omitted as surplus. The word ‘‘civil’’ is added because of rule 2 of the Fed- eral Rules of Civil Procedure (28 App. U.S.C.). The word ‘‘possession’’ is substituted for ‘‘other place subject to the jurisdiction’’ for consistency in the revised title and with other titles of the United States Code. The words ‘‘or to enforce compliance with the subchapter, regulation, or order’’ are substituted for 31:1057(last sentence) and the words ‘‘a mandatory injunction com- manding such person to comply with such rule or regu- lation’’ in 31:1143(b)(words before last comma) to elimi- nate unnecessary words. The words ‘‘and upon a proper showing . . . permanent or’’ are omitted as surplus. § 5321. Civil penalties (a)(1) A domestic financial institution or non- financial trade or business, and a partner, direc- tor, officer, or employee of a domestic financial institution or nonfinancial trade or business, willfully violating this subchapter or a regula- tion prescribed or order issued under this sub- chapter (except sections 5314, 5315, and 5336 of this title or a regulation prescribed under sec- tions 5314, 5315, and 5336), or willfully violating a regulation prescribed under section 21 of the Federal Deposit Insurance Act or section 123 of Public Law 91–508, is liable to the United States Government for a civil penalty of not more than the greater of the amount (not to exceed $100,000) involved in the transaction (if any) or $25,000. For a violation of section 5318(a)(2) of this title or a regulation prescribed under sec- tion 5318(a)(2), a separate violation occurs for each day the violation continues and at each of- fice, branch, or place of business at which a vio- lation occurs or continues. (2) The Secretary of the Treasury may impose an additional civil penalty on a person not filing a report, or filing a report containing a material omission or misstatement, under section 5316 of this title or a regulation prescribed under sec- tion 5316. A civil penalty under this paragraph may not be more than the amount of the mone- tary instrument for which the report was re- quired. A civil penalty under this paragraph is reduced by an amount forfeited under section 5317(b) of this title. (3) A person not filing a report under a regula- tion prescribed under section 5315 of this title or not complying with an injunction under section 5320 of this title enjoining a violation of, or en- forcing compliance with, section 5315 or a regu- lation prescribed under section 5315, is liable to the Government for a civil penalty of not more than $10,000. (4) STRUCTURED TRANSACTION VIOLATION.— (A) PENALTY AUTHORIZED.—The Secretary of the Treasury may impose a civil money pen- alty on any person who violates any provision of section 5324. (B) MAXIMUM AMOUNT LIMITATION.—The amount of any civil money penalty imposed under subparagraph (A) shall not exceed the amount of the coins and currency (or such other monetary instruments as the Secretary may prescribe) involved in the transaction with respect to which such penalty is imposed. (C) COORDINATION WITH FORFEITURE PROVI- SION.—The amount of any civil money penalty imposed by the Secretary under subparagraph (A) shall be reduced by the amount of any for- feiture to the United States in connection with the transaction with respect to which such penalty is imposed. (5) FOREIGN FINANCIAL AGENCY TRANSACTION VIOLATION.— (A) PENALTY AUTHORIZED.—The Secretary of the Treasury may impose a civil money pen- alty on any person who violates, or causes any violation of, any provision of section 5314. (B) AMOUNT OF PENALTY.— (i) IN GENERAL.—Except as provided in sub- paragraph (C), the amount of any civil pen- alty imposed under subparagraph (A) shall not exceed $10,000. (ii) REASONABLE CAUSE EXCEPTION.—No penalty shall be imposed under subpara- graph (A) with respect to any violation if— (I) such violation was due to reasonable cause, and (II) the amount of the transaction or the balance in the account at the time of the transaction was properly reported. (C) WILLFUL VIOLATIONS.—In the case of any person willfully violating, or willfully causing any violation of, any provision of section 5314— (i) the maximum penalty under subpara- graph (B)(i) shall be increased to the greater of— (I) $100,000, or (II) 50 percent of the amount determined under subparagraph (D), and (ii) subparagraph (B)(ii) shall not apply. (D) AMOUNT.—The amount determined under this subparagraph is— (i) in the case of a violation involving a transaction, the amount of the transaction, or (ii) in the case of a violation involving a failure to report the existence of an account or any identifying information required to