{"data":{"id":"us/31-cfr-1023.210","jurisdiction":"us","citation":"31 CFR 1023.210","heading":"Anti-money laundering program requirements for brokers or dealers in securities.","body":"A broker or dealer in securities shall be deemed to satisfy the requirements of 31 U.S.C. 5318(h)(1) if the broker-dealer implements and maintains a written anti-money laundering program approved by senior management that:\n(a) Complies with the requirements of §§ 1010.610 and 1010.620 of this chapter and any applicable regulation of its Federal functional regulator governing the establishment and implementation of anti-money laundering programs;\n(b) Includes, at a minimum:\n(1) The establishment and implementation of policies, procedures, and internal controls reasonably designed to achieve compliance with the applicable provisions of the Bank Secrecy Act and the implementing regulations thereunder;\n(2) Independent testing for compliance to be conducted by the broker-dealer's personnel or by a qualified outside party;\n(3) Designation of an individual or individuals responsible for implementing and monitoring the operations and internal controls of the program;\n(4) Ongoing training for appropriate persons; and\n(5) Appropriate risk-based procedures for conducting ongoing customer due diligence, to include, but not be limited to:\n(i) Understanding the nature and purpose of customer relationships for the purpose of developing a customer risk profile; and\n(ii) Conducting ongoing monitoring to identify and report suspicious transactions and, on a risk basis, to maintain and update customer information. For purposes of this paragraph (b)(5)(ii), customer information shall include information regarding the beneficial owners of legal entity customers (as defined in § 1010.230 of this chapter); and\n(c) Complies with the rules, regulations, or requirements of its self-regulatory organization governing such programs; provided that the rules, regulations, or requirements of the self-regulatory organization governing such programs have been made effective under the Securities Exchange Act of 1934 by the appropriate Federal functional regulator in consultation with FinCEN.","path":["Title 31—Money and Finance: Treasury","Subtitle B—Regulations Relating to Money and Finance","CHAPTER X—FINANCIAL CRIMES ENFORCEMENT NETWORK, DEPARTMENT OF THE TREASURY","PART 1023—RULES FOR BROKERS OR DEALERS IN SECURITIES","Subpart B—Programs"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-31.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:25:25Z","sha256":"cd9368b23b13d10533c601e0673b0dd78a6d4507701514bd08433ea9a1ffe7e9","source_id":"us-cfr","stale":true,"prev":"us/31-cfr-1023.200","next":"us/31-cfr-1023.220"},"notice":"GroundRules: Original legal text. Not legal advice."}