Money laundering and terrorist financing are serious problems, but there are several troubling aspects in the new rules proposed by the Financial Crimes Enforcement Network (FinCEN). FinCEN, a bureau of the Department of Treasury, proposed that the government should be told your name, address, bank account number, taxpayer ID, and other sensitive financial information if you electronically transfer any amount of money out of or into the country. Depending upon the type of transfer,GHD RARE Styler Limited Set these reports could also include passport numbers or alien ID numbers, the amount and currency of the funds transferred, and the name and address of the recipient.
If you are a bargain hunter or eBay shopping guru and you can find a great deal in another country,GHD Sale does the government really need to know that about you? Under proposed new rules, the government will know about it if you pay via PayPal. They will also know everyone who makes an online donation to the International Red Cross or who sends a Western Union transfer to family members living in another country. What if you donate to WikiLeaks? The proposed rules seem to be too invasive, prying into sensitive financial dealings of American citizens. Perhaps even more troubling is that FinCEN’s proposal [PDF] doesn’t cover how the agency could securely maintain millions upon millions of people’s sensitive information.
The EFF sums up FinCEN proposed rules as, “The government wants reports on all electronic bank-to-bank transfers,GHD 2010 Pink Gift Set regardless of whether the transfer is $1 or $1,000,000. For money transmitters, reports would be filed for transfers at or above $1,000. FinCEN estimates it will receive 750 million reports every year, and the agency wants to keep the data for ten years. Once the reports are filed with FinCEN, other federal law enforcement agencies – the FBI, IRS, ICE, and the DEA – would all have access to the data.”
The EFF opposes FinCEN’s proposal for three reasons:
1. The new reports are unlikely to be effective in preventing terrorism financing – the primary impetus behind the regulations in the first place.
2. While the agency sought the advice of financial institutions, other law enforcement agencies,GHD Colour Collection and even foreign governments when developing the rule, FinCEN never solicited the opinions of privacy advocates during the drafting process.
3. The agency has not provided any evidence that the technological systems are in place to safely receive, transmit,GHD Colours Purple Indulgence and store the vast quantities of highly-sensitive information the rules would require.
Right now, for any transfer of $3,000 or more, current regulations such as the Funds Transfer Rule and Travel Rule require banks and nonbank financial institutions to collect and to make available to federal law enforcement: the name, address and account number of both the sender and the recipient, the transfer amount and any accompanying instructions.GHD Deluxe Midnight The Bank Secrecy Act requires financial institutions to report cash transactions exceeding $10,000 and to file suspicious activity reports (SARs) with FinCEN.