Federal Register / Vol. 79, No. 140 / Tuesday, July 22, 2014 / Proposed Rules 42491 

of information is necessary for the 

proper performance of the mission of 

FinCEN, including whether the 

information would have practical 

utility; (b) the accuracy of FinCEN’s 

estimate of the burden of the proposed 

collection of information; (c) ways to 

enhance the quality, utility, and clarity 

of the information required to be 

maintained; (d) ways to minimize the 

burden of the required collection of 

information, including through the use 

of automated collection techniques or 

other forms of information technology; 

and (e) estimates of capital or start-up 

costs and costs of operation, 

maintenance, and purchase of services 

to report the information. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

unless it displays a valid OMB control 

number. 

VII. Executive Order 12866 

Executive Orders 12866 and 13563 

direct agencies to assess costs and 

benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). Executive Order 13563 

emphasizes the importance of 

quantifying both costs and benefits, of 

reducing costs, of harmonizing rules, 

and of promoting flexibility. It has been 

determined that the proposed rule is not 

a ‘‘significant regulatory action’’ for 

purposes of Executive Order 12866. 

List of Subjects in 31 CFR Part 1010 

Administrative practice and 

procedure, banks and banking, brokers, 

counter-money laundering, counterterrorism, foreign banking. 

Authority and Issuance 

For the reasons set forth in the 

preamble, part 1010, chapter X of title 

31 of the Code of Federal Regulations, 

is proposed to be amended as follows: 

1. The authority citation for part 1010 

is revised to read as follows: 

Authority: 12 U.S.C. 1829b and 1951–1959; 

31 U.S.C. 5311–5314, 5316–5332 Title III, 

secs. 311, 312, 313, 314, 319, 326, 352, Pub. 

L. 107–56, 115 Stat. 307. 

■ 2. Add § 1010.661 to read as follows: 

§ 1010.661 Special measures against 

FBME Bank Ltd. 

(a) Definitions. For purposes of this 

section: 

(1) FBME Bank Ltd. means all 

branches, offices, and subsidiaries of 

FBME Bank Ltd. operating in any 

jurisdiction. 

(2) Correspondent account has the 

same meaning as provided in 

§ 1010.605(c)(1)(ii). 

(3) Covered financial institution has 

the same meaning as provided in 

§ 1010.605(e)(1). 

(4) Subsidiary means a company of 

which more than 50 percent of the 

voting stock or analogous equity interest 

is owned by another company. 

(b) Prohibition on accounts and due 

diligence requirements for covered 

financial institutions—(1) Prohibition 

on use of correspondent accounts. A 

covered financial institution shall 

terminate any correspondent account 

that is established, maintained, 

administered, or managed in the United 

States for, or on behalf of, FBME Bank 

Ltd. 

(2) Special due diligence of 

correspondent accounts to prohibit use. 

(i) A covered financial institution shall 

apply special due diligence to its foreign 

correspondent accounts that is 

reasonably designed to guard against 

their use to process transactions 

involving FBME Bank Ltd. At a 

minimum, that special due diligence 

must include: 

(A) Notifying those foreign 

correspondent account holders that the 

covered financial institution knows or 

has reason to know provide services to 

FBME Bank Ltd. that such 

correspondents may not provide FBME 

Bank Ltd. with access to the 

correspondent account maintained at 

the covered financial institution; and 

(B) Taking reasonable steps to identify 

any use of its foreign correspondent 

accounts by FBME Bank Ltd., to the 

extent that such use can be determined 

from transactional records maintained 

in the covered financial institution’s 

normal course of business. 

(ii) A covered financial institution 

shall take a risk-based approach when 

deciding what, if any, other due 

diligence measures it reasonably must 

adopt to guard against the use of its 

foreign correspondent accounts to 

process transactions involving FBME 

Bank Ltd. 

(iii) A covered financial institution 

that obtains knowledge that a foreign 

correspondent account may be being 

used to process transactions involving 

FBME Bank Ltd. shall take all 

appropriate steps to further investigate 

and prevent such access, including the 

notification of its correspondent account 

holder under paragraph (b)(2)(i)(A) and, 

where necessary, termination of the 

correspondent account. 

(3) Recordkeeping and reporting. (i) A 

covered financial institution is required 

to document its compliance with the 

notice requirement set forth in 

paragraph (b)(2)(i)(A) of this section. 

(ii) Nothing in this paragraph (b) shall 

require a covered financial institution to 

report any information not otherwise 

required to be reported by law or 

regulation. 

Dated: July 15, 2014. 

Jennifer Shasky Calvery, 

Director, Financial Crimes Enforcement 

Network. 

[FR Doc. 2014–17172 Filed 7–21–14; 8:45 am] 

BILLING CODE 4810–02–P 

DEPARTMENT OF DEFENSE 

Defense Acquisition Regulations 

System 

48 CFR Parts 215, 242, and 252 

RIN 0750–AI20 

Defense Federal Acquisition 

Regulation Supplement; Business 

Systems Compliance (DFARS Case 

2012–D042) 

AGENCY: Defense Acquisition 

Regulations System, Department of 

Defense (DoD). 

ACTION: Proposed rule; correction. 

SUMMARY: This document corrects the 

preamble to a proposed rule published 

in the Federal Register on July 15, 2014, 

regarding Business Systems 

Compliance. This correction revises the 

time scheduled for the public meeting to 

be held on August 18, 2014. There are 

no other changes. 

FOR FURTHER INFORMATION CONTACT: Mr. 

Mark Gomersall, telephone 571–372– 

6099. 

Correction 

In the proposed rule published at 79 

FR 41172, dated July 15, 2014, make the 

following correction to the Public 

Meeting Date section. 

Public Meeting Date: The public 

meeting will be held at the Mark Center 

Auditorium, 4800 Mark Center Drive, 

Alexandria, VA 22350–3603, on August 

18, 2014, from 2 p.m. to 5 p.m., local 

time. 

Amy G. Williams, 

Deputy, Defense Acquisition Regulations 

System. 

[FR Doc. 2014–17216 Filed 7–21–14; 8:45 am] 

BILLING CODE 5001–06–P 


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