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Federal Reserve Bank
of Dallas

DALLAS, TEXAS
75265-5906

December 6, 2002

Notice 02-64

TO: The Chief Executive Officer of each
financial institution and others concerned
in the Eleventh Federal Reserve District

SUBJECT
Joint Agency Notice Concerning
Moratorium on Section 314(a) Information Requests
DETAILS
The Board of Governors of the Federal Reserve System, along with other federal
financial institutions supervisory agencies, has issued a joint notice that addresses two matters
associated with section 314(a) of the USA PATRIOT Act. The first matter involves a moratorium on new information requests and compliance with existing requests. The second matter
involves an effort to eliminate multiple lists of terrorist financing suspects.
ATTACHMENTS
Copies of the Board’s SR Letter 02-21 and the joint agency notice, both dated
November 26, 2002, are attached.
MORE INFORMATION
For more information, please contact Tom Atkins, Banking Supervision Department,
(214) 922-6238. Paper copies of this notice or previous Federal Reserve Bank notices can be
printed from our web site at http://www.dallasfed.org/banking/notices/index.html.

For additional copies, bankers and others are encouraged to use one of the following toll-free numbers in contacting the Federal
Reserve Bank of Dallas: Dallas Office (800) 333-4460; El Paso Branch Intrastate (800) 592-1631, Interstate (800) 351-1012;
Houston Branch Intrastate (800) 392-4162, Interstate (800) 221-0363; San Antonio Branch Intrastate (800) 292-5810.

BOARD OF GOVERNORS
OF THE
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
DIVISION OF BANKING
SUPERVISION AND REGULATION

SR 02-21
November 26, 2002

TO THE OFFICER IN CHARGE OF SUPERVISION AND APPROPRIATE SUPERVISORY
AND EXAMINATION STAFF AT EACH FEDERAL RESERVE BANK AND TO EACH
DOMESTIC AND FOREIGN BANKING ORGANIZATION SUPERVISED BY THE
FEDERAL RESERVE
SUBJECT:

The U.S. Treasury Issues Moratorium on Section 314(a) Information
Requests

The Board of Governors of the Federal Reserve System and the other federal
financial institutions supervisory agencies today issued the attached Joint Agency Notice that
addresses two matters associated with section 314(a) of the USA PATRIOT Act. This provision
of the law authorizes law enforcement authorities to communicate with banking organizations
and others about suspected money launderers and terrorists.
As described in the attached notice, the U.S. Department of the Treasury's Financial
Crimes Enforcement Network (FinCEN) started using the authority granted by section 314(a) on
November 4, 2002 by soliciting information on suspected money laundering and individuals and
entities possibly associated with terrorist financing activities from financial institutions throughout
the United States. FinCEN has since sent several other requests. There have been some
problems associated with the mass distribution of information requests, and FinCEN is now
working to address them in coordination with law enforcement authorities, banking
organizations, their trade associations, the Federal Reserve, and the other agencies. Until the
logistical problems can be resolved, FinCEN has called a moratorium on new information
requests and compliance with existing requests.
The second matter involves an effort to eliminate multiple lists of terrorist financing
suspects. FinCEN has advised the agencies that the FBI will discontinue the use of the
"Control List" and instead will use the section 314(a) information request process to
communicate with banking organizations and others about individuals and entities who are
suspected of engaging in terrorist financing activities.
In order to ensure the most effective distribution of information requests about matters
related to money laundering and terrorist funding activities, banking organizations are requested
to ensure that FinCEN has the most complete and up-to-date contact information possible. The
attached notice lists the points of contact that can be used by banking organizations to provide
new or updated information.
Reserve Banks are asked to send a copy of this SR letter to the domestic and foreign
banking organizations supervised by the Federal Reserve in their districts and to appropriate
supervisory staff. Any questions with respect to this letter should be directed to
Pamela J. Johnson, Senior Anti-Money Laundering Coordinator, at (202) 728-5829; or
Laurie A. Bender, Senior Special Anti-Money Laundering Examiner, at (202) 452-3794.

Richard Spillenkothen
Director

Board of Governors of the Federal Reserve System
Federal Deposit Insurance Corporation
Office of the Comptroller of the Currency
Office of Thrift Supervision
National Credit Union Administration

November 26, 2002
Joint Agency Notice
Treasury Issues Moratorium
on
Section 314(a) Information Requests
To All Banks, Savings Associations, and Credit Unions:
This Notice addresses two matters associated with section 314 of the USA
PATRIOT Act as described below. Generally, section 314 authorizes law enforcement
authorities to communicate with banking organizations and others about suspected money
launderers and terrorists, and banking organizations to communicate amongst themselves
about such matters.
Moratorium on Section 314(a) Information Requests
On September 18, 2002, the U.S. Department of Treasury’s Financial Crimes
Enforcement Network (FinCEN) issued a Final Rule implementing section 314 of the
USA PATRIOT Act. The Final Rule became effective on September 26, 2002 and is now
part of Treasury’s Bank Secrecy Act regulations, which are found at 31 CFR Part 103.
The Final Rule, among other things, established a mechanism for law enforcement
authorities to communicate names of suspected terrorists and money launderers to
financial institutions in order to promptly locate accounts and transactions involving the
suspects.
On November 4, 2002, FinCEN, based on the authority in section 314(a) and the
Final Rule, sent its first request for information to financial institutions throughout the
United States. FinCEN has since sent several other requests. Significant and useful
information has been provided to law enforcement in response to its requests. This has
included information about various types of transactions and accounts involving persons
suspected of involvement in terrorist financing and money laundering, including those
who used multiple institutions in several different geographic locations.

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Financial institutions and their trade associations have notified the federal
supervisory agencies and FinCEN about a number of logistical issues and questions with
regard to the information request process instituted by FinCEN. In order to address these
concerns and to ensure the most effective government-financial industry coordination
possible, FinCEN, in coordination with relevant law enforcement agencies, has put into
place a brief moratorium on new information requests and compliance with existing
requests. During the moratorium, FinCEN, in consultation with the federal financial
institution supervisory agencies, will develop additional guidance concerning
section 314(a) information requests. You will be advised once this brief moratorium is
lifted. At that time, you will also receive further guidance about the 314(a) information
request process.
Notwithstanding the moratorium, FinCEN has advised the federal financial
institutions supervisory agencies that it reserves the right to take such steps as are
necessary, including the reinstatement of the section 314(a) information request process,
in the event of an immediate threat to national security or other emergency.
The “Control List” and Section 314(a) Information Requests
FinCEN has advised the federal financial supervisory agencies that the FBI will
discontinue the use of the “Control List” and instead will use the section 314(a) process
to communicate with banking organizations and others about individuals and entities who
are suspected of engaging in terrorist financing activities.
It is imperative that your bank, savings association or credit union be included in
the contact list that FinCEN uses to communicate about suspected money launderers and
terrorists. In developing its contact list, FinCEN decided to use the information that was
provided in order to distribute the “Control List” and this information may have to be
updated or enhanced. Accordingly, if your financial institution has not received any
requests from FinCEN via e-mail or facsimile since November 4, 2002 (when FinCEN
distributed its first section 314(a) information request), you should contact your primary
federal supervisory agency to be added to FinCEN’s contact list. The following
information must be provided: financial institution name and charter number or other
identifier; point of contact name and title, mailing (street number, P.O. box, city, state
and zip code) and e-mail addresses; and telephone and facsimile numbers.
You may contact the following representatives from the federal financial
institutions supervisory agencies and FinCEN to provide section 314(a) contact
information or if you have any questions:

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Board of Governors of the Federal Reserve System
Contact information:
e-mail: patriotact@frb.gov
fax: (202) 736-5641
Questions:
telephone: Laurie A. Bender, Senior Special Anti-Money Laundering Examiner at (202)
452-3794, or Pamela J. Johnson, Senior Anti-Money Laundering Coordinator at (202)
728-5829
Federal Deposit Insurance Corporation
Contact information:
e-mail: fdicadvisory@fdic.gov
fax: (202) 898-3627
Questions:
telephone: Special Activities Section at (202) 898-6750
Office of the Comptroller of the Currency
Contact information:
e-mail: nationalbankinfo@occ.treas.gov
fax: (202) 874-5301
Questions:
telephone: Brian C. McCormally, Director, or Robert S. Pasley, Assistant Director,
Enforcement and Compliance Division at (202) 874-4800
Office of Thrift Supervision
Contact information:
e-mail: usap.contact@ots.treas.gov
fax: (202) 906-6326
Questions:
telephone: John J. Davidson, Senior Project Manager at (202) 906-6012
National Credit Union Administration
Contact information:
e-mail: www.ncua.gov/cuaddress
fax: (703) 518-6569
Questions:
telephone: John K. Ianno, Senior Trial Attorney at (703) 518-6540
Financial Crimes Enforcement Network (FinCEN)
Contact information:
e-mail: sys314a@fincen.treas.gov
fax: (703) 905-3660
Questions:
telephone: FinCEN Regulatory Helpline at 1-800-949-2732

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Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102