PROVISIONS RELATING TO RECORDKEEPING WITH RESPECT TO CERTAIN FUNDS TRANSFERS.

SEC. 1515. PROVISIONS RELATING TO RECORDKEEPING WITH RESPECT TO CERTAIN FUNDS TRANSFERS. (a) Recordkeeping Regulations Required.—Section 21(b) of the Federal Deposit Insurance Act (12 U.S.C. 1829b(b)) is amended— (1) by striking “(b) Where” and inserting “(b) Record-keeping Regulations.— “(1) In general.—Where”; and (2) by adding at the end the following new paragraphs: “(2) Domestic funds transfers.—Whenever the Secretary and the Board of Governors of the Federal Reserve System (hereafter in this section referred to as the ‘Board’) determine that the maintenance of records, by insured depository institutions, of payment orders which direct transfers of funds over wholesale funds transfer systems has a high degree of usefulness in criminal, tax, or regulatory investigations or proceedings, the Secretary and the Board shall jointly prescribe regulations to carry out the purposes of this section with respect to the maintenance of such records. “(3) International funds transfers.— “(A) In general.— The Secretary and the Board shall jointly prescribe, after consultation with State banking supervisors, final regulations requiring that insured depository institutions, businesses that provide check cashing services, money transmitting businesses, and businesses that issue or redeem money orders, travelers’ checks or other similar instruments maintain such records of payment orders which— “(i) involve international transactions; and “(ii) direct transfers of funds over wholesale funds transfer systems or on the books of any insured depository institution, or on the books of any business that 106 STAT. 4059provides check cashing services, any money transmit-ting business, and any business that issues or redeems money orders, travelers’ checks or similar instruments, that will have a high degree of usefulness in criminal, tax, or regulatory investigations or proceedings. “(B) Factors for consideration.— In prescribing the regulations required under subparagraph (A), the Secretary and the Board shall consider— “(i) the usefulness in criminal, tax, or regulatory investigations or proceedings of any record required to be maintained pursuant to the proposed regulations; and “(ii) the effect the recordkeeping required pursuant to such proposed regulations will have on the cost and efficiency of the payment system. “(C) Availability of records.—Any records required to be maintained pursuant to the regulations prescribed under subparagraph (A) shall be submitted or made available to the Secretary or the Board upon request.”. (b) Technical and Conforming Amendments.—Section 21 of the Federal Deposit Insurance Act (12 U.S.C. 1829b) is amended— (1) in subsection (c), by striking “Each insured” and inserting “Subject to the requirements of any regulations prescribed jointly by the Secretary and the Board under paragraph (2) or (3) of subsection (b), each insured”; (2) in subsection (e), by striking “Whenever any” and inserting “Subject to the requirements of any regulations prescribed jointly by the Secretary and the Board under paragraph (2) or (3) of subsection (b), whenever any”; and (3) in subsection (f), by striking “In addition to” and inserting “Subject to the requirements of any regulations prescribed jointly by the Secretary and the Board under paragraph (2) or (3) of subsection (b) and in addition to”. (c) Effective Date of Regulations.—The initial final regulations prescribed pursuant to section 21(b)(3) of the Federal Deposit Insurance Act (as added by subsection (a)(2) of this section) shall take effect before January 1, 1994.