FinCEN Comment Deadline for Proposed Changes to Anti-Money Laundering and Countering the Financing of Terrorism Programs

Share on:

October 28, 2024


TO: Indian Gaming Association Member Tribes

FROM: Ernest L. Stevens Jr., ChairmanJason Giles, Executive Director

RE: FinCEN Comment Deadline for Proposed Changes to Anti-Money Laundering and Countering the Financing of Terrorism Programs

Date: October 26, 2024

On July 3, 2024, the Financial Crimes Enforcement Network (“FinCEN”), under the U.S. Department of the Treasury (“Department”), published a notice of proposed rulemaking in the Federal Register, aimed to strengthen and modernize Anti-Money Laundering and countering the Financing of Terrorism (“AML/CFT”) programs for financial institutions pursuant to the Anti-Money Laundering Act of 2020. The general comment submission portal closed on September 3, 2024. Subsequently, the Department invited Tribal Leaders to a virtual consultation on September 13, 2024.  Pursuant to participant requests during the meeting, following the virtual consultation, the Tribal Leaders’ comment deadline was extended to November 1, 2024.
The proposed changes to the rule as it applies to Casinos and Card Clubs, an overview of which is detailed in the original alert, represent a significant update to the AML/CFT regulatory framework for tribal gaming operations. While FinCEN explains that they aim to modernize and strengthen AML/CFT programs, there is still work to be done in the effort to clarify the standards required for the AML/CFT programs that tribal gaming operations must draft to remain in compliance with the current regulatory scheme. 
FinCEN has proposed an effective date of six months from the date that the final rule is issued to allow sufficient time for review and implementation. This timeline is intended to take into account the complexity of the changes contemplated and provide financial institutions with the opportunity to carefully adapt their programs to the regulations.  However, for the purpose of ensuring the most efficient and successful implementation of the final rule, when it is issued, it may be necessary to request more time and greater technical support in drafting and enacting such changes. Nonetheless, this rule is significant in its attempts to protect tribally owned gaming operations from becoming susceptible to illicit financial activities. As such, we urge tribal leaders, regulators, and gaming operators to become involved in the notice and comment process for FinCEN’s proposed rule.
Comments drafted pursuant to the Tribal Consultation period must be submitted on or before November 1, 2024.  For your consideration, a template comment has been attached to this alert for use by any parties seeking to contribute.  The proposed rule, as published in the Federal Register, may be found here:https://www.govinfo.gov/content/pkg/FR-2024-07-03/pdf/2024-14414.pdf
Please contact Danielle Her Many Horses at dhermanyhorses@indiangaming.org with any questions or concerns regarding this Alert.