Congress must help restore the original scope and intent of the Corporate Transparency Act in light of clear evidence of the risks posed by anonymous shell companies to national security, law enforcement, U.S. consumers, and small businesses.
The Treasury issues an interim final rule that guts the CTA, Law Enforcement and financial transparency experts protest, and a hearing on fraud prevention brought attention to the issue of anonymous shell companies.
Read FACT’s official statement for the record submitted ahead of Tuesday’s HFSC subcommittee hearing on fraud prevention, including comments in opposition to H.R. 425. the Repealing Big Brother Overreach Act, which would fully repeal the Corporate Transparency Act.
“Treasury’s proposal contradicts decades of evidence that sanctions evaders, tax cheats, and fentanyl traffickers rely on anonymous U.S. companies to stash their illicit cash in the U.S. financial system.
Prioritizing small scale, politicized anti-money laundering policies over meaningful structural reforms will do little to protect Americans from the impacts of illegal drug trafficking, writes FACT program director for environmental crime and illicit finance Julia Yansura.
The Treasury suspends ownership reporting requirements for most entities, a House Financial Services Committee Hearing emphasizes the importance of the Corporate Transparency Act, and mass IRS layoffs threaten US revenue collection.
