PATRIOT Act anti-money laundering rules may be finalized in 30 days

The Jewelers Vigilance Committee has received word from the U.S. Treasury Department’s Financial Crimes Enforcement Network (FINCEN) that final rules that will extend the 2001 USA PATRIOT Act’s anti-money laundering (AML) and terrorist-financing rules to dealers in precious metals, stones, and jewels are expected to be issued in 30 days.

These regulations oblige most businesses or individuals with $50,000 or more a year in gross proceeds to develop a written AML program based on an internal risk assessment. The purpose of this program is to prevent exploitation by those with criminal intent to use our industry to launder illegal funds. There will be a period of six months for companies to come into compliance.

Congress has identified the jewelry industry as a trade susceptible to money laundering. JVC has worked closely with the U.S. Treasury Department and FINCEN to communicate the jewelry industry’s needs and to develop guidelines to help jewelers develop effective AML programs.

“The Act mandates that most jewelry businesses must create a written AML program to increase business vigilance to detect and prevent those trying to launder money through our industry for illegal purposes, ”said Cecilia Gardner, JVC’s executive director and general counsel. “Very soon after the rules are finalized, we will make JVC’s USA PATRIOT Act Compliance Kit available to the jewelry industry. The kit provides guidance and templates for compliance with the requirements of the rules. In addition, the PATRIOT Act section on JVC’s Web site provides important information to help companies determine if they are covered by the rules and develop AML programs to safeguard them from unintentionally becoming involved in illegal activities.”

The final rules and guidelines will be posted on JVC’s website: www.jvclegal.org. To download the final rules and for updates about the USA PATRIOT Act and other programs, products and services, visit www.jvclegal.org. JVC’s USA PATRIOT Act section will contain the latest information available.