The Constant Diligence of the US Patriot Act
The US Patriot Act was conceived in the months following the terrorist attacks in New York City, and one of the missions of the Act is to banish any means of the funding of terrorist cells, through the money laundering activities funneled through the financial institutions of the United States. They serve to cooperate with and to inform the companies and the banking systems of the rules and the regulations, the policies and the procedures, and the laws that serve not only to stop cases of corruption and the laundering of money, but to protect the institutions themselves from being unknowingly taken advantage of.
Shell banks are usually foreign banks which have remained apart from and regulations, and the risk that these institutions pose, as far as the occurrences of terrorist financing and money laundering, on the rest of the world is great. The US Patriot Act works to prevent these banks from having any contact or transactions with the American banking system, at all. It is against the law for brokers and banks to deal with any business that does not have a presence that is a physical entity.
The American banks must take every precaution that they can to ensure that accounts held at their offices are not connecting to those that service and do business with these shell banks. Law enforcement agencies have been given more authority over the methods and the means in which to ensure this as well. They are focused on the identification and disruption of money laundering rings, in and effort to prevent such activities, and those surrounding the funding of terrorism. The regulators, the institutions themselves and the various enforcement agencies have come together to cooperate and to share any information with regards to the people and/or the organizations that are committing these crimes.
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