under section 5313A or any regulation prescribed
under such section;
‘‘(2) cause or attempt to cause a nonfinancial
trade or business to file a report required under sec-
tion 5313A or any regulation prescribed under such
section that contains a material omission or
misstatement of fact; or
‘‘(3) structure or assist in structuring, or at-
tempt to structure or assist in structuring, any trans-
action with 1 or more nonfinancial trades or busi-
nesses.’’.
(2) 
TECHNICAL
AND
CONFORMING
AMEND-
MENTS.—
(A) The heading for subsection (a) of section
5324 of title 31, United States Code, is amended
by inserting ‘‘INVOLVING FINANCIAL INSTITU-
TIONS’’ after ‘‘TRANSACTIONS’’.
(B) Section 5317(c) of title 31, United
States Code, is amended by striking ‘‘5324(b)’’
and inserting ‘‘5324(c)’’.
(c) DEFINITION OF NONFINANCIAL TRADE OR BUSI-
NESS.—
(1) IN GENERAL.—Section 5312(a) of title 31,
United States Code, is amended—
(A) by redesignating paragraphs (4) and
(5) as paragraphs (5) and (6), respectively; and
(B) by inserting after paragraph (3) the fol-
lowing new paragraph:
‘‘(4) NONFINANCIAL TRADE OR BUSINESS.—The
term ‘nonfinancial trade or business’ means any
trade or business other than a financial institution
that is subject to the reporting requirements of section
5313 and regulations prescribed under such section.’’.
(2) 
TECHNICAL
AND
CONFORMING
AMEND-
MENTS.—
(A) Section 5312(a)(3)(C) of title 31,
United States Code, is amended by striking ‘‘sec-
tion 5316,’’ and inserting ‘‘sections 5313A and
5316,’’.
(B) Subsections (a) through (f) of section
5318 of title 31, United States Code, and sections
5321, 5326, and 5328 of such title are each
amended—
(i) by inserting ‘‘or nonfinancial trade
or business’’ after ‘‘financial institution’’
each place such term appears; and
(ii) by inserting ‘‘or nonfinancial
trades or businesses’’ after ‘‘financial insti-
tutions’’ each place such term appears.
(C) Section 981(a)(1)(A) of title 18, United
States Code, is amended by striking ‘‘5313(a) or
5324(a) of title 31,’’ and inserting ‘‘5313(a) or
5313A of title 31, or subsection (a) or (b) of sec-
tion 5324 of such title,’’.
(D) Section 982(a)(1) of title 18, United
States Code, is amended by inserting ‘‘5313A,’’
after ‘‘5313(a),’’.
(d) REPEAL
OF
DUPLICATE
PROVISION.—Section
6050I of the Internal Revenue Code of 1986 is repealed.
(e) CLERICAL AMENDMENTS.—
(1) TITLE 31.—The tables of sections for chapter
53 of title 31, United States Code, is amended by in-
serting after the item relating to section 5313 the fol-
lowing new item:
‘‘5313A. Reports relating to coins and currency received in nonfinancial trade or
business.’’.
(2) INTERNAL REVENUE CODE OF 1986.—
(A) The table of sections for subpart B of
part III of subchapter A of chapter 61 of the In-
ternal Revenue Code of 1986 is amended by
striking the item relating to section 6050I.
(B)(i) Subsection (l) of section 6103 of such
Code is amended by striking paragraph (15).
(ii) Subparagraph (A) of section 6103(p)(3)
of such Code is amended by striking ‘‘(15),’’.
(iii) Paragraph (4) of section 6103(p) of
such Code is amended by striking in the mate-
rial preceding subparagraph (A) ‘‘(12)’’ and all
that follows through ‘‘(16)’’ and inserting ‘‘(12),
or (16)’’.
(iv) Clause (ii) of section 6103(p)(4)(F) of
such Code is amended by striking ‘‘(14), or (15)’’
and inserting ‘‘or (14)’’.
(C) Paragraph (2) of section 6721(e) of such
Code is amended—
(i) in subparagraph (A) by striking
‘‘6050I,’’ and by adding ‘‘or’’ at the end,
(ii) by striking ‘‘or’’ at the end of sub-
paragraph (B) and inserting ‘‘and’’, and
(iii) by striking subparagraph (C).
(D) Subparagraph (B) of section 6724(d)(1)
of such Code is amended by striking clause (iv)
and by redesignating the succeeding clauses ac-
cordingly.
(E) Paragraph (2) of section 6724(d) of
such Code is amended by striking subparagraph
(K) and by redesignating the succeeding sub-
paragraphs accordingly.
(F) Section 7203 of such Code is amended
by striking the last sentence.
(f) REGULATIONS; EFFECTIVE DATE.—
(1) REGULATIONS.—Regulations which the Sec-
retary of the Treasury determines are necessary to
implement this section shall be published in final
form before the end of the 6-month period beginning
on the date of the enactment of this Act.
(2) EFFECTIVE DATE.—The amendments made
by this section shall take effect at the end of the 6-
month period beginning on the date the regulations
referred to in paragraph (1) are published in final
form in the Federal Register.
SEC. 9. PROMULGATION OF ‘‘KNOW YOUR CUSTOMER’’ REG-
ULATIONS.
Within 120 days after the date of the enactment of this
Act, the Secretary of the Treasury shall promulgate ‘‘Know
Your Customer’’ regulations for financial institutions. This
section shall not be construed as precluding any supervisory
agency for any financial institution from requiring the fi-
nancial institution to submit any information or report to
the agency or another agency pursuant to any other appli-
cable provision of law.
SEC. 10. FUNGIBLE PROPERTY IN BANK ACCOUNTS.
Section 984 of title 18, United States Code, is amend-
ed—
(1) so that subsection (a) reads as follows:
‘‘(a) This section applies only if the action for forfeit-
ure was commenced by a seizure or an arrest in rem not
later than 2 years after the offense that is the basis for the
forfeiture.’’;
(2) by striking subsection (c);
(3) by redesignating subsection (d) as subsection
(c), and in such subsection—
(A) by striking ‘‘(1)’’ and all that follows
through the end of paragraph (1) and inserting
the following:
‘‘(1) Subsection (b) does not apply to an action against
funds held by a financial institution in an interbank ac-
count unless the account holder knowingly engaged in the
offense that is the basis for the forfeiture.’’; and
(B) by adding at the end the following new
paragraph:
‘‘(3) As used in this subsection, a ‘financial institu-
tion’ includes a foreign bank, as defined in paragraph (7)
of section 1(b) of the International Banking Act of 1978.’’;
and
(4) by adding at the end the following new sub-
section:
‘‘(d) Nothing in this section is intended to limit the
ability of the Government to obtain the forfeiture of prop-
erty under any statute where the property involved in the
offense giving rise to the forfeiture or property traceable
thereto is available for forfeiture.’’.
SEC. 11. REPORT ON PRIVATE BANKING ACTIVITIES.
(a) IN GENERAL.—Within 1 year after the date of the
enactment of this Act, the Secretary of the Treasury, in con-
sultation with Federal banking agencies, shall submit to the
Committee on Banking and Financial Services of the House
of Representatives and the Committee on Banking, Hous-
ing, and Urban Affairs of the Senate a report on—
(1) the nature and extent of private banking ac-
tivities in the United States;
(2) regulatory efforts to monitor such activities
and ensure that such activities are conducted in com-
pliance with the Bank Secrecy Act; and
(3) policies and procedures of depository institu-
tions that are designed to ensure that such activities
are conducted in compliance with the Bank Secrecy
Act.
(b) PRIVATE BANKING ACTIVITIES.—In subsection (a),
the term ‘‘private banking activities’’, with respect to an
institution, includes, among other things, personalized serv-
ices such as money management, financial advice, and in-
vestment services that are provided to clients with high net
worth and that are not provided generally to all clients of
the institution.
SEC. 12. AVAILABILITY OF CERTAIN ACCOUNT INFORMA-
TION.
Section 5318(h) of title 31, United States Code, is
amended by adding at the end the following new paragraph:
‘‘(3) AVAILABILITY OF CERTAIN ACCOUNT INFOR-
MATION.—The Secretary of the Treasury shall pre-
scribe regulations under this subsection which require
financial institutions to maintain all accounts in
such a way as to ensure that the name of an account
holder and the number of the account are associated
with all account activity of the account holder, and
to ensure that all such information is available for
purposes of account supervision and law enforce-
ment.’’.
SEC. 13. SENSE OF THE CONGRESS.
It is the sense of the Congress that the Secretary of
the Treasury should make available to all Federal, State,
and local law enforcement agencies and financial regu-
latory agencies the full contents of the data base of reports
that have been filed pursuant to subchapter II of chapter
53 of title 31, United States Code.
SEC. 14. DESIGNATION OF FOREIGN HIGH INTENSITY
MONEY LAUNDERING AREAS.
(a) IN GENERAL.—Subchapter II of chapter 53 of title
31, United States Code, is amended by inserting after sec-
tion 5326 the following new section:
‘‘§ 5327. Designation of foreign high intensity money
laundering areas
‘‘(a) CRITERIA.—The Secretary of the Treasury, in
consultation with appropriate Federal law enforcement
agencies, shall develop criteria by which to identify areas
outside the United States in which money laundering ac-
tivities are concentrated.
‘‘(b) DESIGNATION.—The Secretary of the Treasury
shall designate as a foreign high intensity money launder-
ing area any foreign country in which there is an area
which is identified, using the criteria developed under sub-
section (a), as an area in which money laundering activi-
ties are concentrated.
‘‘(c) NOTICE.—On the designation under subsection (b)
of a country as a foreign high intensity money laundering
area, the Secretary of the Treasury shall provide written
notice to each insured depository institution (as defined in
section 3(c)(2) of the Federal Deposit Insurance Act) and
each depository institution holding company (as defined in
section 3(w)(1) of such Act) that has control over an insured
depository institution of the identity of the foreign country
and include with the notice a written warning that there
is a concentration of money laundering activities in the for-
eign country.’’.
(b) CLERICAL AMENDMENT.—The table of sections for
such chapter is amended by inserting after the item relating
to section 5326 the following new item:
‘‘5327. Designation of foreign high intensity money laundering areas.’’.
SEC. 15. DOUBLING OF CRIMINAL PENALTIES FOR VIOLA-
TIONS OF LAWS AIMED AT PREVENTING
MONEY LAUNDERING IN FOREIGN HIGH IN-
TENSITY MONEY LAUNDERING AREAS.
Section 5322 of title 31, United States Code, is amend-
ed by adding at the end the following new subsection:
‘‘(d) The court may double the sentence of fine or im-
prisonment, or both, that would otherwise be imposed on
a person for a violation described in subsection (a) or (b)
if person commits the violation with respect to a trans-
action involving a person in, a relationship maintained for
a person in, or a transport of a monetary instrument in-
volving a foreign country, knowing that the foreign country
is designated under section 5327(b) as a foreign high inten-
sity money laundering area.’’.