July 2017 Foodman CPAs & Advisors

Law Enforcement can Follow the Money thanks to the Fifth Pillar of the Final CDD Rule

Under the Bank Secrecy Act (BSA), the Financial Crimes Enforcement Network (FinCEN) issued a “Fifth Pillar” of the Final Customer Due Diligence (CDD) Rule on May 2016.  The covered financial institutions (Banks; Brokers or Dealers in securities; Mutual Funds; and Futures Commission Merchants and introducing Brokers in Commodities) must comply with these rules by May 11, 2018.

The fifth pillar of the Final CDD Rule requires legal entities opening new accounts at covered financial institutions to