Aircraft Ownership Transparency Act of 2017

Summary: Aircraft Ownership Transparency Act of 2017 This bill requires the Federal Aviation Administration to obtain the identity of each beneficial owner of an entity seeking a certificate of registration for an aircraft. &quot;Beneficial owner&quot; is defined as a natural person who exercises control over or has an interest in the entity seeking the aircraft registration.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Aircraft Ownership Transparency Act 
of 2017''.

SEC. 2. CERTIFICATION OF AIRCRAFT REGISTRATION.

    (a) In General.--Before approving a certificate of registration 
issued under section 44103 of title 49, United States Code, with a 
covered entity, the Administrator of the Federal Aviation 
Administration shall require the covered entity to--
            (1) identify each beneficial owner of the covered entity 
        by--
                    (A) name;
                    (B) current residential or business street address;
                    (C) a unique identifying number from a nonexpired 
                passport issued by the United States or a nonexpired 
                drivers license issued by a State or if neither is 
                available, a legible and credible copy of the pages of 
                a nonexpired passport issued by the government of a 
                foreign country bearing a photograph, date of birth, 
                and unique identifying information for the person;
                    (D) nationality; and
                    (E) the make, model, and serial number of the 
                aircraft to be registered;
            (2) in the case of a covered entity that is owned or 
        controlled by more than one entity, identify how each entity 
        relates to every other entity, including the extent to which 
        each entity holds an ownership interest in or exercises control 
        over another entity, and the relationship of each such entity 
        with the beneficial owners who are natural persons; and in 
        addition to each beneficial owner, identify each trust grantor, 
        trustee, trust protector, and beneficiary owner of the covered 
        entity that is a foreign person;
            (3) in the case of a trust or association, identify the 
        chain of control that includes the owner, trustee, and 
        beneficiary; and
            (4) disclose to the Administrator any beneficial owner of 
        the covered entity that is a foreign person.
    (b) Timing.--
            (1) In general.--The Administrator shall require a covered 
        entity to provide the information described in subsections 
        (a)(1) and (a)(2) when submitting an application for aircraft 
        certification.
            (2) Updates.--The Administrator shall require a covered 
        entity to update a submission of the information described in 
        subsections (a)(1) and (a)(2) not later than 60 days after the 
        date of any change in--
                    (A) the list of beneficial owners of the covered 
                entity; or
                    (B) the information required to be provided 
                relating to each such beneficial owner.
    (c) Definitions.--In this section, the following definitions apply:
            (1) Beneficial owner.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the term ``beneficial owner'' means, with respect 
                to a covered entity, each natural person who, directly 
                or indirectly--
                            (i) exercises control over the covered 
                        entity through ownership interests, voting 
                        rights, agreements, or otherwise; or
                            (ii) has an interest in or receives 
                        substantial economic benefits from the assets 
                        of the covered entity.
                    (B) Exceptions.--The term ``beneficial owner'' does 
                not include, with respect to a covered entity--
                            (i) a minor child;
                            (ii) a person acting as a trustee, nominee, 
                        intermediary, custodian, or agent on behalf of 
                        another person;
                            (iii) a person acting solely as an employee 
                        of the covered entity and whose control over or 
                        economic benefits from the covered entity 
                        derives solely from the employment status of 
                        the person;
                            (iv) a person whose only interest in the 
                        covered entity is through a right of 
                        inheritance, unless the person also meets the 
                        requirements of subparagraph (A); or
                            (v) a creditor of the covered entity, 
                        unless the creditor also meets the requirements 
                        of subparagraph (A).
                    (C) Anti-abuse rule.--The exceptions under 
                subparagraph (B) shall not apply if used for the 
                purpose of evading, circumventing, or abusing the 
                requirements of this section.
            (2) Covered entity.--The term ``covered entity'' means a 
        person, trust, association, copartnership, corporation, or 
        other public or private entity.
            (3) Foreign person.--The term ``foreign person'' means an 
        individual who is not a United States person or an alien 
        lawfully admitted for permanent residence into the United 
        States.
            (4) United states person.--The term ``United States 
        person'' means a natural person who is a citizen of the United 
        States or who owes permanent allegiance to the United States.