Final identification requirements established

Northwestern Financial Review, Jun 1-Jun 14, 2003

The Department of the Treasury, the Financial Crimes Enforcement Network, and the seven federal financial regulators have issued final rules that require certain financial institutions to establish procedures to verify the identity of new accountholders. These final regulations require financial institutions to implement reasonable procedures to verify the identity of any person opening an account, maintain records of the information used to verify the person's identity, and determine whether the person appears on any list of known or suspected terrorists or terrorist organizations.

The regulations apply to banks and trust companies, savings associations, credit unions, securities brokers and dealers, mutual funds, and others.