October 27, 2015
As Proposed, Rules Would Not Apply to Exempt Reporting Advisers or State-Registered Advisers
On September 1, 2015, the Financial Crimes Enforcement Network (“FinCEN”) published a notice of proposed rulemaking in the Federal Register (the “Proposed Rules”) that would require federally registered investment advisers (“RIAs”) to establish and maintain anti-money laundering (“AML”) programs and report suspicious activity to FinCEN pursuant to the Bank Secrecy Act (the “BSA”). The Proposed Rules would amend the regulations implementing the BSA as follows:
The Proposed Rules delegate inspection and enforcement of RIA compliance obligations to the Securities and Exchange Commission (the “SEC”). Although the Proposed Rules by their terms do not apply to investment advisers that are not registered with the SEC (e.g., exempt reporting advisers, state-registered advisers), FinCEN noted that it may seek to impose similar obligations on such advisers in the future.
FinCEN has requested that all comments be submitted on or before November 2, 2015. If you have questions concerning FinCEN’s proposed rulemaking or other compliance or examination matters, or would like more detailed information, please do not hesitate to contact any of the attorneys referenced below.
Erik A. Bergman
(203) 325-5026 or firstname.lastname@example.org
Matthew S. Eisenberg
(203) 325-5084 or email@example.com
Harold B. Finn III
(203) 325-5029 or firstname.lastname@example.org
Richard D. Kilbride
(203) 325-5075 or email@example.com
Reed W. Balmer
(203) 325-5011 or firstname.lastname@example.org
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