
Robert A. Marsico
Partner
201-896-7165 rmarsico@sh-law.comFirm Insights
Author: Robert A. Marsico
Date: December 17, 2015
Partner
201-896-7165 rmarsico@sh-law.comAs the government seeks to address the growing threat from ISIS and other terrorist groups, it is also increasing business oversight of financial services organizations which may to be utilized by terrorists as funding mechanisms.
Most recently, New York Governor Andrew Cuomo proposed a new anti-money laundering regulation that would require senior executives to certify the effectiveness of their anti-money laundering (AML) procedures. The new regulation would apply to all banks, trust companies, private bankers, savings banks and savings and loan associations chartered under the New York Banking Law, as well as all branches and agencies of foreign banking corporations licensed under the Banking Law to conduct banking operations in New York.
The goal of the proposed banking regulation is to help stem the flow of funding to terrorists and other criminals. “Money is the fuel that feeds the fire of international terrorism,” Gov. Cuomo said in a statement. “At a time of heightened global security concerns, it is especially vital that banks and regulators do everything they can to stop that flow of illicit funds.”
The Governor also highlighted that investigations conducted by the New York State Department of Financial Services (NYDFS) have revealed “serious shortcomings in the transaction monitoring and filtering programs of these institutions” and “that a lack of robust governance, oversight, and accountability at senior levels of these institutions has contributed to these shortcomings.”
Under the proposed Transaction Monitoring and Filtering Program regulation, New York financial institutions would have a number of new compliance obligations, such as:
Violation of the AML regulations could result in serious legal headaches for New York financial institutions and their compliance officers. If banks fail to deter prohibited transactions, they face financial penalties or could be forced to terminate their chief compliance officers. CCOs could also be subject to criminal penalties for false or inaccurate certifications.
The proposed AML regulations are, in some ways, more strict than those established under federal regulations. Accordingly, they signal that the Cuomo Administration plans to continue its tough stance on money laundering and other practices utilized by terrorist organizations. The rules are now subject to a 45-day notice and comment period.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Since his inauguration two months ago, Donald Trump’s administration and the Congress it controls have indicated important upcoming policy changes. These changes will impact financial services policies and priorities. The changes will particularly affect cryptocurrency, as well as banking rules and regulations. Key Regulatory Changes in Cryptocurrency For example, in the burgeoning cryptocurrency business environment, […]
Author: Dan Brecher
The retail sector has experienced a wave of bankruptcy filings over the last year. Brick-and-mortar businesses in financial distress include big-name brands like Big Lots, Party City, The Container Store, and Vitamin Shoppe. When large retailers seek bankruptcy protection, they are not the only businesses impacted. Landlords can be particularly hard hit. While commercial landlords […]
Author: Brian D. Spector
The bankruptcy legal landscape presents both challenges and opportunities for businesses navigating financial distress. Understanding current bankruptcy trends can help businesses make more informed and strategic decisions. Corporate Bankruptcy Filings Trending Upwards Bankruptcy filings continued to trend upwards in 2024. According to statistics released by the Administrative Office of the U.S. Courts, personal and business […]
Author: Brian D. Spector
In December, the U.S. Securities and Exchange Commission (SEC) announced charges against two privately held companies for failing to file a Form D notice, which is generally utilized for exempt securities offerings. Here, the SEC’s enforcement sends a strong message: compliance with regulatory requirements is not optional and failure to comply can have significant consequences. […]
Author: Kenneth C. Oh
On February 14, 2025, the Office of General Counsel (OGC) of the National Labor Relations Board (NLRB) under Acting General Counsel William B. Cowen issued Memorandum 25-05, “New Process for More Efficient, Effective, Accessible and Transparent Case handling.” The Memorandum rescinds nearly all of the Memoranda issued by his direct predecessor, Jennifer Abruzzo, setting the […]
Author: Matthew F. Mimnaugh
If you purchase real property from a foreign person or entity, you may be required to withhold taxes from your payment to the seller under the Foreign Investment in Real Property Tax Act (FIRPTA). The federal tax law is designed to ensure that foreign sellers pay any applicable capital gains tax on profits realized from […]
Author: Jesse M. Dimitro
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!