The Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) has released a final rule to implement the security and access provisions of the Corporate Transparency Act.
FinCEN said Thursday the Access Rule specifies the circumstances under which beneficial ownership information, or BOI, may be disclosed to authorized recipients and aims to prevent the unauthorized disclosure of sensitive data.
Under the final rule, authorized recipients include federal agencies involved in intelligence, national security or law enforcement activity; state, local and tribal law enforcement agencies with court authorization; financial institutions using BOI to facilitate compliance with customer due diligence requirements; foreign requesters; federal functional regulators and other appropriate regulatory agencies; and Treasury personnel.
FinCEN noted that each category of authorized recipients is subject to confidentiality and security requirements in line with use and access provisions to ensure the security of BOI.
In October 2022, FinCEN issued a final rule requiring certain organizations to report information about their beneficial owners to the agency to improve transparency in the U.S. financial system.