Compliance Effective Date: August 13, 2012.
Testing Requirement: Testing annually is recommended, but not later than every eighteen months. An audit of the procedures detailed in an RMLO’s policy and procedures must be conducted either internally, in accordance with FinCEN guidelines, or, in accordance with FinCEN guidelines, by an independent, external auditor entirely independent of a company’s Bank
Secrecy Act Officer.
The Bank Secrecy Act authorizes the Treasury to issue regulations requiring financial institutions, including any “loan or finance company” to maintain records and to file reports that the Treasury determines to “have a high degree of usefulness in criminal, tax, or regulatory investigations or proceedings, or in the conduct of intelligence or counterintelligence activities, including analysis, to protect against international terrorism.”
The Anti-Money Laundering Program for RMLOs must include an actionable policy and procedure, training, and testing. FinCEN may impose civil monetary penalties for non-compliance with its regulations for each negligent suspicious activity reporting violation.