US (United States) Code. Title 12. Chapter 35: Right to financial privacy

Codificación normativa de EEUU (Estados Unidos). Legislación federal estadounidense # Banks and banking

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-CITE-

12 USC CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

.

-HEAD-

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-MISC1-

Sec.

3401. Definitions.

3402. Access to financial records by Government authorities

prohibited; exceptions.

3403. Confidentiality of financial records.

(a) Release of records by financial institutions

prohibited.

(b) Release of records upon certification of

compliance with chapter.

(c) Notification to Government authority of existence

of relevant information in records.

(d) Release of records as incident to perfection of

security interest, proving a claim in

bankruptcy, collecting a debt, or processing an

application with regard to a Government loan,

loan guarantee, etc.

3404. Customer authorizations.

(a) Statement furnished by customer to financial

institution and Government authority; contents.

(b) Authorization as condition of doing business

prohibited.

(c) Right of customer to access to financial

institution's record of disclosures.

3405. Administrative subpena and summons.

3406. Search warrants.

(a) Applicability of Federal Rules of Criminal

Procedure.

(b) Mailing of copy and notice to customer.

(c) Court-ordered delays in mailing.

3407. Judicial subpena.

3408. Formal written request.

3409. Delayed notice.

(a) Application by Government authority; findings.

(b) Grant of delay order; duration and

specifications; extensions; copy of request and

notice to customer.

(c) Notice requirement respecting emergency access to

financial records.

(d) Preservation of memorandums, affidavits, or other

papers.

3410. Customer challenges.

(a) Filing of motion to quash or application to

enjoin; proper court; contents.

(b) Filing of response; additional proceedings.

(c) Decision of court.

(d) Appeals.

(e) Sole judicial remedy available to customer.

(f) Affect on challenges by financial institutions.

3411. Duty of financial institutions.

3412. Use of information.

(a) Transfer of financial records to other agencies

or departments; certification.

(b) Mailing of copy of certification and notice to

customer.

(c) Court-ordered delays in mailing.

(d) Exchanges of examination reports by supervisory

agencies; transfer of financial records to

defend customer action; withholding of

information.

(e) Exchange of records, reports, or other

information.

(f) Transfer to Attorney General or Secretary of the

Treasury.

3413. Exceptions.

(a) Disclosure of financial records not identified

with particular customers.

(b) Disclosure to, or examination by, supervisory

agency pursuant to exercise of supervisory,

regulatory, or monetary functions with respect

to financial institutions, holding companies,

subsidiaries, institution-affiliated parties,

or other persons.

(c) Disclosure pursuant to title 26.

(d) Disclosure pursuant to Federal statute or rule

promulgated thereunder.

(e) Disclosure pursuant to Federal Rules of Criminal

Procedure or comparable rules of other courts.

(f) Disclosure pursuant to administrative subpena

issued by administrative law judge.

(g) Disclosure pursuant to legitimate law enforcement

inquiry respecting name, address, account

number, and type of account of particular

customers.

(h) Disclosure pursuant to lawful proceeding,

investigation, etc., directed at financial

institution or legal entity or consideration or

administration respecting Government loans,

loan guarantees, etc.

(i) Disclosure pursuant to issuance of subpena or

court order respecting grand jury proceeding.

(j) Disclosure pursuant to proceeding, investigation,

etc., instituted by General Accounting Office

and directed at a government authority.

(k) Disclosure necessary for proper administration of

programs of withholding taxes on nonresident

aliens, Federal Old-Age, Survivors, and

Disability Insurance Benefits, and Railroad

Retirement Act Benefits.

(l) Crimes against financial institutions by

insiders.

(m) Disclosure to, or examination by, employees or

agents of Board of Governors of Federal Reserve

System or Federal Reserve Bank.

(n) Disclosure to, or examination by, Resolution

Trust Corporation or its employees or agents.

(o) Disclosure to, or examination by, Federal Housing

Finance Board or Federal home loan banks.

(p) Access to information necessary for

administration of certain veteran benefits

laws.

(q) Disclosure pursuant to Federal contractor-issued

travel charge card.

3414. Special procedures.

3415. Cost reimbursement.

3416. Jurisdiction.

3417. Civil penalties.

(a) Liability of agencies or departments of United

States or financial institutions.

(b) Disciplinary action for willful or intentional

violation of chapter by agents or employees of

department or agency.

(c) Good faith defense.

(d) Exclusive judicial remedies and sanctions.

3418. Injunctive relief.

3419. Suspension of limitations.

3420. Grand jury information; notification of certain persons

prohibited.

3421. Repealed.

3422. Applicability to Securities and Exchange Commission.

-SECREF-

CHAPTER REFERRED TO IN OTHER SECTIONS

This chapter is referred to in title 15 sections 78u, 78x, 6802;

title 31 section 310; title 38 section 5319; title 42 section 1383;

title 50 section 436.

-CITE-

12 USC Sec. 3401 01/06/03

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TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3401. Definitions

-STATUTE-

For the purpose of this chapter, the term -

(1) ''financial institution'' means any office of a bank,

savings bank, card issuer as defined in section 1602(n) of title

15, industrial loan company, trust company, savings association,

building and loan, or homestead association (including

cooperative banks), credit union, or consumer finance

institution, located in any State or territory of the United

States, the District of Columbia, Puerto Rico, Guam, American

Samoa, or the Virgin Islands;

(2) ''financial record'' means an original of, a copy of, or

information known to have been derived from, any record held by a

financial institution pertaining to a customer's relationship

with the financial institution;

(3) ''Government authority'' means any agency or department of

the United States, or any officer, employee, or agent thereof;

(4) ''person'' means an individual or a partnership of five or

fewer individuals;

(5) ''customer'' means any person or authorized representative

of that person who utilized or is utilizing any service of a

financial institution, or for whom a financial institution is

acting or has acted as a fiduciary, in relation to an account

maintained in the person's name;

(6) ''holding company'' means -

(A) any bank holding company (as defined in section 1841 of

this title);

(B) any company described in section 1843(f)(1) of this

title; and

(C) any savings and loan holding company (as defined in the

Home Owners' Loan Act (12 U.S.C. 1461 et seq.));

(7) ''supervisory agency'' means with respect to any particular

financial institution, holding company, or any subsidiary of a

financial institution or holding company, any of the following

which has statutory authority to examine the financial condition,

business operations, or records or transactions of that

institution, holding company, or subsidiary -

(A) the Federal Deposit Insurance Corporation;

(B) Director, (FOOTNOTE 1) Office of Thrift Supervision;

(FOOTNOTE 1) So in original. Probably should be ''the

Director,''.

(C) the National Credit Union Administration;

(D) the Board of Governors of the Federal Reserve System;

(E) the Comptroller of the Currency;

(F) the Securities and Exchange Commission;

(G) the Commodity Futures Trading Commission;

(H) the Secretary of the Treasury, with respect to the Bank

Secrecy Act (Public Law 91-508, title I) (12 U.S.C. 1951 et

seq.) and subchapter II of chapter 53 of title 31; or

(I) any State banking or securities department or agency; and

(8) ''law enforcement inquiry'' means a lawful investigation or

official proceeding inquiring into a violation of, or failure to

comply with, any criminal or civil statute or any regulation,

rule, or order issued pursuant thereto.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1101, Nov. 10, 1978, 92 Stat. 3697;

Pub. L. 101-73, title VII, Sec. 744(b), title IX, Sec. 941, Aug. 9,

1989, 103 Stat. 438, 496; Pub. L. 101-647, title XXV, Sec. 2596(c),

Nov. 29, 1990, 104 Stat. 4908; Pub. L. 106-102, title VII, Sec.

727(b)(1), Nov. 12, 1999, 113 Stat. 1475.)

-REFTEXT-

REFERENCES IN TEXT

The Home Owners' Loan Act, referred to in par. (6)(C), is act

June 13, 1933, ch. 64, 48 Stat. 128, as amended, which is

classified generally to chapter 12 (Sec. 1461 et seq.) of this

title. For complete classification of this Act to the Code, see

section 1461 of this title and Tables.

The Bank Secrecy Act, referred to in par. (7)(H), is title I of

Pub. L. 91-508, Oct. 26, 1970, 84 Stat. 1114, as amended, which is

classified principally to chapter 21 (Sec. 1951 et seq.) of this

title. For complete classification of this Act to the Code, see

Short Title note set out under section 1951 of this title and

Tables.

-COD-

CODIFICATION

In par. (7)(H), ''the Bank Secrecy Act (Public Law 91-508, title

I) (12 U.S.C. 1951 et seq.) and subchapter II of chapter 53 of

title 31'' substituted for ''the Bank Secrecy Act (12 U.S.C. 1951

et seq.) and the Currency and Foreign Transactions Reporting Act

(31 U.S.C. 1051 et seq.) (Public Law 91-508, title I and II)'', on

authority of Pub. L. 97-258, Sec. 4(b), Sept. 13, 1982, 96 Stat.

1067, the first section of which enacted Title 31, Money and

Finance.

-MISC3-

AMENDMENTS

1999 - Par. (7)(G) to (I). Pub. L. 106-102 added subpar. (G) and

redesignated former subpars. (G) and (H) as (H) and (I),

respectively.

1990 - Par. (6)(B). Pub. L. 101-647 substituted ''section

1843(f)(1)'' for ''section 1842(f)(1)''.

1989 - Par. (1). Pub. L. 101-73, Sec. 744(b)(1), substituted

''savings association'' for ''savings and loan''.

Par. (6). Pub. L. 101-73, Sec. 941(3), added par. (6). Former

par. (6) redesignated (7).

Par. (7). Pub. L. 101-73, Sec. 941(1), (2), redesignated former

par. (6) as (7) and substituted new introductory provisions for

former introductory provisions which read as follows: ''

'supervisory agency' means, with respect to any particular

financial institution any of the following which has statutory

authority to examine the financial condition or business operations

of that institution - ''. Former par. (7) redesignated (8).

Pub. L. 101-73, Sec. 744(b)(2), (3), redesignated subpars. (C) to

(I) as (B) to (H), respectively, substituted ''Director, Office of

Thrift Supervision'' for ''the Federal Home Loan Bank Board'' in

subpar. (B), and struck out former subpar. (B) which read as

follows: ''the Federal Savings and Loan Insurance Corporation;''.

Par. (8). Pub. L. 101-73, Sec. 941(1), redesignated par. (7) as

(8).

EFFECTIVE DATE

Chapter (except for section 3415 of this title) effective upon

the expiration of 120 days after Nov. 10, 1978, see section 2101 of

Pub. L. 95-630, set out as a note under section 375b of this title.

SHORT TITLE

Section 1100 of title XI of Pub. L. 95-630 provided that: ''This

title (enacting this chapter) may be cited as the 'Right to

Financial Privacy Act of 1978'.''

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 3412 of this title; title

7 section 6f; title 15 sections 78o-5, 78q, 1681u; title 42

sections 669a, 1320d-8, 1383; title 50 section 438.

-CITE-

12 USC Sec. 3402 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3402. Access to financial records by Government authorities

prohibited; exceptions

-STATUTE-

Except as provided by section 3403(c) or (d), 3413, or 3414 of

this title, no Government authority may have access to or obtain

copies of, or the information contained in the financial records of

any customer from a financial institution unless the financial

records are reasonably described and -

(1) such customer has authorized such disclosure in accordance

with section 3404 of this title;

(2) such financial records are disclosed in response to an

administrative subpena or summons which meets the requirements of

section 3405 of this title;

(3) such financial records are disclosed in response to a

search warrant which meets the requirements of section 3406 of

this title;

(4) such financial records are disclosed in response to a

judicial subpena which meets the requirements of section 3407 of

this title; or

(5) such financial records are disclosed in response to a

formal written request which meets the requirements of section

3408 of this title.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1102, Nov. 10, 1978, 92 Stat.

3697.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3404, 3405, 3406, 3407,

3408, 3413 of this title; title 42 section 1383.

-CITE-

12 USC Sec. 3403 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3403. Confidentiality of financial records

-STATUTE-

(a) Release of records by financial institutions prohibited

No financial institution, or officer, employees, or agent of a

financial institution, may provide to any Government authority

access to or copies of, or the information contained in, the

financial records of any customer except in accordance with the

provisions of this chapter.

(b) Release of records upon certification of compliance with

chapter

A financial institution shall not release the financial records

of a customer until the Government authority seeking such records

certifies in writing to the financial institution that it has

complied with the applicable provisions of this chapter.

(c) Notification to Government authority of existence of relevant

information in records

Nothing in this chapter shall preclude any financial institution,

or any officer, employee, or agent of a financial institution, from

notifying a Government authority that such institution, or officer,

employee, or agent has information which may be relevant to a

possible violation of any statute or regulation. Such information

may include only the name or other identifying information

concerning any individual, corporation, or account involved in and

the nature of any suspected illegal activity. Such information may

be disclosed notwithstanding any constitution, law, or regulation

of any State or political subdivision thereof to the contrary. Any

financial institution, or officer, employee, or agent thereof,

making a disclosure of information pursuant to this subsection,

shall not be liable to the customer under any law or regulation of

the United States or any constitution, law, or regulation of any

State or political subdivision thereof, for such disclosure or for

any failure to notify the customer of such disclosure.

(d) Release of records as incident to perfection of security

interest, proving a claim in bankruptcy, collecting a debt, or

processing an application with regard to a Government loan,

loan guarantee, etc.

(1) Nothing in this chapter shall preclude a financial

institution, as an incident to perfecting a security interest,

proving a claim in bankruptcy, or otherwise collecting on a debt

owing either to the financial institution itself or in its role as

a fiduciary, from providing copies of any financial record to any

court or Government authority.

(2) Nothing in this chapter shall preclude a financial

institution, as an incident to processing an application for

assistance to a customer in the form of a Government loan, loan

guaranty, or loan insurance agreement, or as an incident to

processing a default on, or administering, a Government guaranteed

or insured loan, from initiating contact with an appropriate

Government authority for the purpose of providing any financial

record necessary to permit such authority to carry out its

responsibilities under a loan, loan guaranty, or loan insurance

agreement.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1103, Nov. 10, 1978, 92 Stat. 3698;

Pub. L. 99-570, title I, Sec. 1353(a), Oct. 27, 1986, 100 Stat.

3207-21; Pub. L. 100-690, title VI, Sec. 6186(a), Nov. 18, 1988,

102 Stat. 4357.)

-MISC1-

AMENDMENTS

1988 - Subsec. (c). Pub. L. 100-690 inserted '', corporation,''

after ''individual''.

1986 - Subsec. (c). Pub. L. 99-570 inserted provisions that the

disclosure of only the name or other identifying information

concerning any individual or account involved in and the nature of

any suspected illegal activity is permitted notwithstanding any

constitution, law, or regulation of any State or political

subdivision thereof to the contrary, and any financial

institutions, officers, agents, or employees thereof making such

disclosure shall not be liable to the customer under any State

constitution or any Federal, State, or local law or regulation for

such disclosure or failure to notify the customer thereof.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3411, 3413, 3414,

3415 of this title; title 42 section 1383.

-CITE-

12 USC Sec. 3404 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3404. Customer authorizations

-STATUTE-

(a) Statement furnished by customer to financial institution and

Government authority; contents

A customer may authorize disclosure under section 3402(1) of this

title if he furnishes to the financial institution and to the

Government authority seeking to obtain such disclosure a signed and

dated statement which -

(1) authorizes such disclosure for a period not in excess of

three months;

(2) states that the customer may revoke such authorization at

any time before the financial records are disclosed;

(3) identifies the financial records which are authorized to be

disclosed;

(4) specifies the purposes for which, and the Government

authority to which, such records may be disclosed; and

(5) states the customer's rights under this chapter.

(b) Authorization as condition of doing business prohibited

No such authorization shall be required as a condition of doing

business with any financial institution.

(c) Right of customer to access to financial institution's record

of disclosures

The customer has the right, unless the Government authority

obtains a court order as provided in section 3409 of this title, to

obtain a copy of the record which the financial institution shall

keep of all instances in which the customer's record is disclosed

to a Government authority pursuant to this section, including the

identity of the Government authority to which such disclosure is

made.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1104, Nov. 10, 1978, 92 Stat. 3698;

Pub. L. 96-3, Mar. 7, 1979, 93 Stat. 5.)

-MISC1-

AMENDMENTS

1979 - Subsec. (d). Pub. L. 96-3 struck out subsec. (d) which had

directed that all financial institutions promptly notify all of

their customers of their rights under this chapter, that the Board

of Governors of the Federal Reserve System prepare a statement of

customers' rights under this chapter, and that the supplying of

such a statement to their customers by the financial institutions

be deemed compliance with the notification requirement.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3409 of this title;

title 42 section 1383.

-CITE-

12 USC Sec. 3405 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3405. Administrative subpena and summons

-STATUTE-

A Government authority may obtain financial records under section

3402(2) of this title pursuant to an administrative subpena or

summons otherwise authorized by law only if -

(1) there is reason to believe that the records sought are

relevant to a legitimate law enforcement inquiry;

(2) a copy of the subpena or summons has been served upon the

customer or mailed to his last known address on or before the

date on which the subpena or summons was served on the financial

institution together with the following notice which shall state

with reasonable specificity the nature of the law enforcement

inquiry:

''Records or information concerning your transactions held by

the financial institution named in the attached subpena or

summons are being sought by this (agency or department) in

accordance with the Right to Financial Privacy Act of 1978 (12

U.S.C. 3401 et seq.) for the following purpose: If you desire

that such records or information not be made available, you must:

''1. Fill out the accompanying motion paper and sworn

statement or write one of your own, stating that you are the

customer whose records are being requested by the Government

and either giving the reasons you believe that the records are

not relevant to the legitimate law enforcement inquiry stated

in this notice or any other legal basis for objecting to the

release of the records.

''2. File the motion and statement by mailing or delivering

them to the clerk of any one of the following United States

district courts:

.

''3. Serve the Government authority requesting the records by

mailing or delivering a copy of your motion and statement to .

''4. Be prepared to come to court and present your position

in further detail.

''5. You do not need to have a lawyer, although you may wish

to employ one to represent you and protect your rights.

If you do not follow the above procedures, upon the expiration of

ten days from the date of service or fourteen days from the date

of mailing of this notice, the records or information requested

therein will be made available. These records may be transferred

to other Government authorities for legitimate law enforcement

inquiries, in which event you will be notified after the

transfer.''; and

(3) ten days have expired from the date of service of the

notice or fourteen days have expired from the date of mailing the

notice to the customer and within such time period the customer

has not filed a sworn statement and motion to quash in an

appropriate court, or the customer challenge provisions of

section 3410 of this title have been complied with.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1105, Nov. 10, 1978, 92 Stat.

3699.)

-REFTEXT-

REFERENCES IN TEXT

The Right to Financial Privacy Act of 1978, referred to in par.

(2), is title XI of Pub. L. 95-630, Nov. 10, 1978, 92 Stat. 3697,

which is classified generally to this chapter (Sec. 3401 et seq.).

For complete classification of this Act to the Code, see Short

Title note set out under section 3401 of this title and Tables.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3409, 3411 of this

title; title 15 section 78u.

-CITE-

12 USC Sec. 3406 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3406. Search warrants

-STATUTE-

(a) Applicability of Federal Rules of Criminal Procedure

A Government authority may obtain financial records under section

3402(3) of this title only if it obtains a search warrant pursuant

to the Federal Rules of Criminal Procedure.

(b) Mailing of copy and notice to customer

No later than ninety days after the Government authority serves

the search warrant, it shall mail to the customer's last known

address a copy of the search warrant together with the following

notice:

''Records or information concerning your transactions held by the

financial institution named in the attached search warrant were

obtained by this (agency or department) on (date) for the following

purpose: . You may have rights under the Right to Financial Privacy

Act of 1978 (12 U.S.C. 3401 et seq.).''.

(c) Court-ordered delays in mailing

Upon application of the Government authority, a court may grant a

delay in the mailing of the notice required in subsection (b) of

this section, which delay shall not exceed one hundred and eighty

days following the service of the warrant, if the court makes the

findings required in section 3409(a) of this title. If the court

so finds, it shall enter an ex parte order granting the requested

delay and an order prohibiting the financial institution from

disclosing that records have been obtained or that a search warrant

for such records has been executed. Additional delays of up to

ninety days may be granted by the court upon application, but only

in accordance with this subsection. Upon expiration of the period

of delay of notification of the customer, the following notice

shall be mailed to the customer along with a copy of the search

warrant:

''Records or information concerning your transactions held by the

financial institution named in the attached search warrant were

obtained by this (agency or department) on (date). Notification was

delayed beyond the statutory ninety-day delay period pursuant to a

determination by the court that such notice would seriously

jeopardize an investigation concerning . You may have rights under

the Right to Financial Privacy Act of 1978 (12 U.S.C. 3401 et

seq.).''.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1106, Nov. 10, 1978, 92 Stat.

3700.)

-REFTEXT-

REFERENCES IN TEXT

The Federal Rules of Criminal Procedure, referred to in subsec.

(a), are set out in the Appendix to Title 18, Crimes and Criminal

Procedure.

The Right to Financial Privacy Act of 1978, referred to in

subsecs. (b) and (c), is title XI of Pub. L. 95-630, Nov. 10, 1978,

92 Stat. 3697, which is classified generally to this chapter (Sec.

3401 et seq.). For complete classification of this Act to the

Code, see Short Title note set out under section 3401 of this title

and Tables.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3409 of this title.

-CITE-

12 USC Sec. 3407 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3407. Judicial subpena

-STATUTE-

A Government authority may obtain financial records under section

3402(4) of this title pursuant to judicial subpena only if -

(1) such subpena is authorized by law and there is reason to

believe that the records sought are relevant to a legitimate law

enforcement inquiry;

(2) a copy of the subpena has been served upon the customer or

mailed to his last known address on or before the date on which

the subpena was served on the financial institution together with

the following notice which shall state with reasonable

specificity the nature of the law enforcement inquiry:

''Records or information concerning your transactions which are

held by the financial institution named in the attached subpena

are being sought by this (agency or department or authority) in

accordance with the Right to Financial Privacy Act of 1978 (12

U.S.C. 3401 et seq.) for the following purpose: If you desire

that such records or information not be made available, you must:

''1. Fill out the accompanying motion paper and sworn

statement or write one of your own, stating that you are the

customer whose records are being requested by the Government

and either giving the reasons you believe that the records are

not relevant to the legitimate law enforcement inquiry stated

in this notice or any other legal basis for objecting to the

release of the records.

''2. File the motion and statement by mailing or delivering

them to the clerk of the Court.

''3. Serve the Government authority requesting the records by

mailing or delivering a copy of your motion and statement to .

''4. Be prepared to come to court and present your position

in further detail.

''5. You do not need to have a lawyer, although you may wish

to employ one to represent you and protect your rights.

If you do not follow the above procedures, upon the expiration of

ten days from the date of service or fourteen days from the date

of mailing of this notice, the records or information requested

therein will be made available. These records may be transferred

to other government authorities for legitimate law enforcement

inquiries, in which event you will be notified after the

transfer;'' and

(3) ten days have expired from the date of service or fourteen

days from the date of mailing of the notice to the customer and

within such time period the customer has not filed a sworn

statement and motion to quash in an appropriate court, or the

customer challenge provisions of section 3410 of this title have

been complied with.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1107, Nov. 10, 1978, 92 Stat.

3700.)

-REFTEXT-

REFERENCES IN TEXT

The Right to Financial Privacy Act of 1978, referred to in par.

(2), is title XI of Pub. L. 95-630, Nov. 10, 1978, 92 Stat. 3697,

which is classified generally to this chapter (Sec. 3401 et seq.).

For complete classification of this Act to the Code, see Short

Title note set out under section 3401 of this title and Tables.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3409, 3411 of this

title; title 15 section 78u.

-CITE-

12 USC Sec. 3408 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3408. Formal written request

-STATUTE-

A Government authority may request financial records under

section 3402(5) of this title pursuant to a formal written request

only if -

(1) no administrative summons or subpena authority reasonably

appears to be available to that Government authority to obtain

financial records for the purpose for which such records are

sought;

(2) the request is authorized by regulations promulgated by the

head of the agency or department;

(3) there is reason to believe that the records sought are

relevant to a legitimate law enforcement inquiry; and

(4)(A) a copy of the request has been served upon the customer

or mailed to his last known address on or before the date on

which the request was made to the financial institution together

with the following notice which shall state with reasonable

specificity the nature of the law enforcement inquiry:

''Records or information concerning your transactions held by

the financial institution named in the attached request are being

sought by this (agency or department) in accordance with the

Right to Financial Privacy Act of 1978 (12 U.S.C. 3401 et seq.)

for the following purpose:

''If you desire that such records or information not be made

available, you must:

''1. Fill out the accompanying motion paper and sworn

statement or write one of your own, stating that you are the

customer whose records are being requested by the Government

and either giving the reasons you believe that the records are

not relevant to the legitimate law enforcement inquiry stated

in this notice or any other legal basis for objecting to the

release of the records.

''2. File the motion and statement by mailing or delivering

them to the clerk of any one of the following United States

District Courts:

.

''3. Serve the Government authority requesting the records by

mailing or delivering a copy of your motion and statement to .

''4. Be prepared to come to court and present your position

in further detail.

''5. You do not need to have a lawyer, although you may wish

to employ one to represent you and protect your rights.

If you do not follow the above procedures, upon the expiration of

ten days from the date of service or fourteen days from the date

of mailing of this notice, the records or information requested

therein may be made available. These records may be transferred

to other Government authorities for legitimate law enforcement

inquiries, in which event you will be notified after the

transfer;'' and

(B) ten days have expired from the date of service or fourteen

days from the date of mailing of the notice by the customer and

within such time period the customer has not filed a sworn

statement and an application to enjoin the Government authority

in an appropriate court, or the customer challenge provisions of

section 3410 of this title have been complied with.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1108, Nov. 10, 1978, 92 Stat.

3701.)

-REFTEXT-

REFERENCES IN TEXT

The Right to Financial Privacy Act of 1978, referred to in par.

(4), is title XI of Pub. L. 95-630, Nov. 10, 1978, 92 Stat. 3697,

which is classified generally to this chapter (Sec. 3401 et seq.).

For complete classification of this Act to the Code, see Short

Title note set out under section 3401 of this title and Tables.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3409 of this title.

-CITE-

12 USC Sec. 3409 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3409. Delayed notice

-STATUTE-

(a) Application by Government authority; findings

Upon application of the Government authority, the customer notice

required under section 3404(c), 3405(2), 3406(c), 3407(2), 3408(4),

or 3412(b) of this title may be delayed by order of an appropriate

court if the presiding judge or magistrate judge finds that -

(1) the investigation being conducted is within the lawful

jurisdiction of the Government authority seeking the financial

records;

(2) there is reason to believe that the records being sought

are relevant to a legitimate law enforcement inquiry; and

(3) there is reason to believe that such notice will result in

-

(A) endangering life or physical safety of any person;

(B) flight from prosecution;

(C) destruction of or tampering with evidence;

(D) intimidation of potential witnesses; or

(E) otherwise seriously jeopardizing an investigation or

official proceeding or unduly delaying a trial or ongoing

official proceeding to the same extent as the circumstances in

the preceeding (FOOTNOTE 1) subparagraphs.

(FOOTNOTE 1) So in original. Probably should be ''preceding''.

An application for delay must be made with reasonable specificity.

(b) Grant of delay order; duration and specifications; extensions;

copy of request and notice to customer

(1) If the court makes the findings required in paragraphs (1),

(2), and (3) of subsection (a) of this section, it shall enter an

ex parte order granting the requested delay for a period not to

exceed ninety days and an order prohibiting the financial

institution from disclosing that records have been obtained or that

a request for records has been made, except that, if the records

have been sought by a Government authority exercising financial

controls over foreign accounts in the United States under section

5(b) of the Trading with the Enemy Act (12 U.S.C. 95a, 50 App.

U.S.C. 5(b)), the International Emergency Economic Powers Act

(title II, Public Law 95-223) (50 U.S.C. 1701 et seq.), or section

287c of title 22, and the court finds that there is reason to

believe that such notice may endanger the lives or physical safety

of a customer or group of customers, or any person or group of

persons associated with a customer, the court may specify that the

delay be indefinite.

(2) Extensions of the delay of notice provided in paragraph (1)

of up to ninety days each may be granted by the court upon

application, but only in accordance with this subsection.

(3) Upon expiration of the period of delay of notification under

paragraph (1) or (2), the customer shall be served with or mailed a

copy of the process or request together with the following notice

which shall state with reasonable specificity the nature of the law

enforcement inquiry:

''Records or information concerning your transactions which are

held by the financial institution named in the attached process or

request were supplied to or requested by the Government authority

named in the process or request on (date). Notification was

withheld pursuant to a determination by the (title of court so

ordering) under the Right to Financial Privacy Act of 1978 (12

U.S.C. 3401 et seq.) that such notice might (state reason). The

purpose of the investigation or official proceeding was .''.

(c) Notice requirement respecting emergency access to financial

records

When access to financial records is obtained pursuant to section

3414(b) of this title (emergency access), the Government authority

shall, unless a court has authorized delay of notice pursuant to

subsections (a) and (b) of this section, as soon as practicable

after such records are obtained serve upon the customer, or mail by

registered or certified mail to his last known address, a copy of

the request to the financial institution together with the

following notice which shall state with reasonable specificity the

nature of the law enforcement inquiry:

''Records concerning your transactions held by the financial

institution named in the attached request were obtained by (agency

or department) under the Right to Financial Privacy Act of 1978 (12

U.S.C. 3401 et seq.) on (date) for the following purpose: Emergency

access to such records was obtained on the grounds that (state

grounds).''.

(d) Preservation of memorandums, affidavits, or other papers

Any memorandum, affidavit, or other paper filed in connection

with a request for delay in notification shall be preserved by the

court. Upon petition by the customer to whom such records pertain,

the court may order disclosure of such papers to the petitioner

unless the court makes the findings required in subsection (a) of

this section.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1109, Nov. 10, 1978, 92 Stat. 3702;

Pub. L. 101-650, title III, Sec. 321, Dec. 1, 1990, 104 Stat.

5117.)

-REFTEXT-

REFERENCES IN TEXT

The International Emergency Economic Powers Act, referred to in

subsec. (b)(1), is title II of Pub. L. 95-223, Dec. 28, 1977, 91

Stat. 1626, which is classified generally to chapter 35 (Sec. 1701

et seq.) of Title 50, War and National Defense. For complete

classification of this Act to the Code, see Short Title note set

out under section 1701 of Title 50 and Tables.

The Right to Financial Privacy Act of 1978, referred to in

subsecs. (b)(3) and (c), is title XI of Pub. L. 95-630, Nov. 10,

1978, 92 Stat. 3697, which is classified generally to this chapter

(Sec. 3401 et seq.). For complete classification of this Act to

the Code, see Short Title note set out under section 3401 of this

title and Tables.

-CHANGE-

CHANGE OF NAME

In subsec. (a), ''magistrate judge'' substituted for

''magistrate'' pursuant to section 321 of Pub. L. 101-650, set out

as a note under section 631 of Title 28, Judiciary and Judicial

Procedure.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3404, 3406, 3412, 3413,

3414 of this title; title 15 section 78u.

-CITE-

12 USC Sec. 3410 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3410. Customer challenges

-STATUTE-

(a) Filing of motion to quash or application to enjoin; proper

court; contents

Within ten days of service or within fourteen days of mailing of

a subpena, summons, or formal written request, a customer may file

a motion to quash an administrative summons or judicial subpena, or

an application to enjoin a Government authority from obtaining

financial records pursuant to a formal written request, with copies

served upon the Government authority. A motion to quash a judicial

subpena shall be filed in the court which issued the subpena. A

motion to quash an administrative summons or an application to

enjoin a Government authority from obtaining records pursuant to a

formal written request shall be filed in the appropriate United

States district court. Such motion or application shall contain an

affidavit or sworn statement -

(1) stating that the applicant is a customer of the financial

institution from which financial records pertaining to him have

been sought; and

(2) stating the applicant's reasons for believing that the

financial records sought are not relevant to the legitimate law

enforcement inquiry stated by the Government authority in its

notice, or that there has not been substantial compliance with

the provisions of this chapter.

Service shall be made under this section upon a Government

authority by delivering or mailing by registered or certified mail

a copy of the papers to the person, office, or department specified

in the notice which the customer has received pursuant to this

chapter. For the purposes of this section, ''delivery'' has the

meaning stated in rule 5(b) of the Federal Rules of Civil

Procedure.

(b) Filing of response; additional proceedings

If the court finds that the customer has complied with subsection

(a) of this section, it shall order the Government authority to

file a sworn response, which may be filed in camera if the

Government includes in its response the reasons which make in

camera review appropriate. If the court is unable to determine the

motion or application on the basis of the parties' initial

allegations and response, the court may conduct such additional

proceedings as it deems appropriate. All such proceedings shall be

completed and the motion or application decided within seven

calendar days of the filing of the Government's response.

(c) Decision of court

If the court finds that the applicant is not the customer to whom

the financial records sought by the Government authority pertain,

or that there is a demonstrable reason to believe that the law

enforcement inquiry is legitimate and a reasonable belief that the

records sought are relevant to that inquiry, it shall deny the

motion or application, and, in the case of an administrative

summons or court order other than a search warrant, order such

process enforced. If the court finds that the applicant is the

customer to whom the records sought by the Government authority

pertain, and that there is not a demonstrable reason to believe

that the law enforcement inquiry is legitimate and a reasonable

belief that the records sought are relevant to that inquiry, or

that there has not been substantial compliance with the provisions

of this chapter, it shall order the process quashed or shall enjoin

the Government authority's formal written request.

(d) Appeals

A court ruling denying a motion or application under this section

shall not be deemed a final order and no interlocutory appeal may

be taken therefrom by the customer. An appeal of a ruling denying

a motion or application under this section may be taken by the

customer (1) within such period of time as provided by law as part

of any appeal from a final order in any legal proceeding initiated

against him arising out of or based upon the financial records, or

(2) within thirty days after a notification that no legal

proceeding is contemplated against him. The Government authority

obtaining the financial records shall promptly notify a customer

when a determination has been made that no legal proceeding against

him is contemplated. After one hundred and eighty days from the

denial of the motion or application, if the Government authority

obtaining the records has not initiated such a proceeding, a

supervisory official of the Government authority shall certify to

the appropriate court that no such determination has been made.

The court may require that such certifications be made, at

reasonable intervals thereafter, until either notification to the

customer has occurred or a legal proceeding is initiated as

described in clause (A).

(e) Sole judicial remedy available to customer

The challenge procedures of this chapter constitute the sole

judicial remedy available to a customer to oppose disclosure of

financial records pursuant to this chapter.

(f) Affect on challenges by financial institutions

Nothing in this chapter shall enlarge or restrict any rights of a

financial institution to challenge requests for records made by a

Government authority under existing law. Nothing in this chapter

shall entitle a customer to assert the rights of a financial

institution.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1110, Nov. 10, 1978, 92 Stat.

3703.)

-REFTEXT-

REFERENCES IN TEXT

Rule 5(b) of the Federal Rules of Civil Procedure, referred to in

subsec. (a), is set out in the Appendix to Title 28, Judiciary and

Judicial Procedure.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3405, 3407, 3408, 3413,

3421 of this title.

-CITE-

12 USC Sec. 3411 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3411. Duty of financial institutions

-STATUTE-

Upon receipt of a request for financial records made by a

Government authority under section 3405 or 3407 of this title, the

financial institution shall, unless otherwise provided by law,

proceed to assemble the records requested and must be prepared to

deliver the records to the Government authority upon receipt of the

certificate required under section 3403(b) of this title.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1111, Nov. 10, 1978, 92 Stat.

3705.)

-CITE-

12 USC Sec. 3412 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3412. Use of information

-STATUTE-

(a) Transfer of financial records to other agencies or departments;

certification

Financial records originally obtained pursuant to this chapter

shall not be transferred to another agency or department unless the

transferring agency or department certifies in writing that there

is reason to believe that the records are relevant to a legitimate

law enforcement inquiry, or intelligence or counterintelligence

activity, investigation or analysis related to international

terrorism within the jurisdiction of the receiving agency or

department.

(b) Mailing of copy of certification and notice to customer

When financial records subject to this chapter are transferred

pursuant to subsection (a) of this section, the transferring agency

or department shall, within fourteen days, send to the customer a

copy of the certification made pursuant to subsection (a) of this

section and the following notice, which shall state the nature of

the law enforcement inquiry with reasonable specificity: ''Copies

of, or information contained in, your financial records lawfully in

possession of have been furnished to pursuant to the Right of

Financial Privacy Act of 1978 (12 U.S.C. 3401 et seq.) for the

following purpose: . If you believe that this transfer has not been

made to further a legitimate law enforcement inquiry, you may have

legal rights under the Financial Privacy Act of 1978 or the Privacy

Act of 1974 (5 U.S.C. 552a).''

(c) Court-ordered delays in mailing

Notwithstanding subsection (b) of this section, notice to the

customer may be delayed if the transferring agency or department

has obtained a court order delaying notice pursuant to section

3409(a) and (b) of this title and that order is still in effect, or

if the receiving agency or department obtains a court order

authorizing a delay in notice pursuant to section 3409(a) and (b)

of this title. Upon the expiration of any such period of delay,

the transferring agency or department shall serve to the customer

the notice specified in subsection (b) of this section and the

agency or department that obtained the court order authorizing a

delay in notice pursuant to section 3409(a) and (b) of this title

shall serve to the customer the notice specified in section 3409(b)

of this title.

(d) Exchanges of examination reports by supervisory agencies;

transfer of financial records to defend customer action;

withholding of information

Nothing in this chapter prohibits any supervisory agency from

exchanging examination reports or other information with another

supervisory agency. Nothing in this chapter prohibits the transfer

of a customer's financial records needed by counsel for a

Government authority to defend an action brought by the customer.

Nothing in this chapter shall authorize the withholding of

information by any officer or employee of a supervisory agency from

a duly authorized committee or subcommittee of the Congress.

(e) Exchange of records, reports, or other information

Notwithstanding section 3401(6) (FOOTNOTE 1) of this title or any

other provision of law, the exchange of financial records,

examination reports or other information with respect to a

financial institution, holding company, or any subsidiary of a

depository institution or holding company, among and between the

five member supervisory agencies of the Federal Financial

Institutions Examination Council, the Securities and Exchange

Commission, and the Commodity Futures Trading Commission is

permitted.

(FOOTNOTE 1) See References in Text note below.

(f) Transfer to Attorney General or Secretary of the Treasury

(1) In general

Nothing in this chapter shall apply when financial records

obtained by an agency or department of the United States are

disclosed or transferred to the Attorney General or the Secretary

of the Treasury upon the certification by a supervisory level

official of the transferring agency or department that -

(A) there is reason to believe that the records may be

relevant to a violation of Federal criminal law; and

(B) the records were obtained in the exercise of the agency's

or department's supervisory or regulatory functions.

(2) Limitation on use

Records so transferred shall be used only for criminal

investigative or prosecutive purposes, for civil actions under

section 1833a of this title, or for forfeiture under sections

(FOOTNOTE 2) 981 or 982 of title 18 by the Department of Justice

and only for criminal investigative purposes relating to money

laundering and other financial crimes by the Department of the

Treasury and shall, upon completion of the investigation or

prosecution (including any appeal), be returned only to the

transferring agency or department. No agency or department so

transferring such records shall be deemed to have waived any

privilege applicable to those records under law.

(FOOTNOTE 2) So in original. Probably should be ''section''.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1112, Nov. 10, 1978, 92 Stat. 3705;

Pub. L. 97-320, title IV, Sec. 432(a), Oct. 15, 1982, 96 Stat.

1527; Pub. L. 100-690, title VI, Sec. 6186(b), Nov. 18, 1988, 102

Stat. 4357; Pub. L. 101-73, title IX, Sec. 944, Aug. 9, 1989, 103

Stat. 498; Pub. L. 102-242, title IV, Sec. 411(1), Dec. 19, 1991,

105 Stat. 2375; Pub. L. 102-550, title XV, Sec. 1516, title XVI,

Sec. 1606(b), Oct. 28, 1992, 106 Stat. 4059, 4087; Pub. L. 106-102,

title II, Sec. 231(b)(2), title VII, Sec. 727(b)(2), Nov. 12, 1999,

113 Stat. 1407, 1475; Pub. L. 107-56, title III, Sec. 358(f)(1),

Oct. 26, 2001, 115 Stat. 327.)

-REFTEXT-

REFERENCES IN TEXT

The Right of Financial Privacy Act of 1978, and the Financial

Privacy Act of 1978, referred to in subsec. (b), both probably mean

title XI of Pub. L. 95-630, Nov. 10, 1978, 92 Stat. 3697, known as

the Right to Financial Privacy Act of 1978, which is classified

generally to this chapter (Sec. 3401 et seq.). For complete

classification of this Act to the Code, see Short Title note set

out under section 3401 of this title and Tables.

The Privacy Act of 1974, referred to in subsec. (b), is Pub. L.

93-579, Dec. 31, 1974, 88 Stat. 1896, which enacted section 552a of

Title 5, Government Organization and Employees, and provisions set

out as notes under section 552a of Title 5.

Section 3401(6) of this title, referred to in subsec. (e), was

redesignated section 3401(7) of this title by Pub. L. 101-73, title

IX, Sec. 941(1), Aug. 9, 1989, 103 Stat. 496.

-MISC2-

AMENDMENTS

2001 - Subsec. (a). Pub. L. 107-56 inserted '', or intelligence

or counterintelligence activity, investigation or analysis related

to international terrorism'' after ''legitimate law enforcement

inquiry''.

1999 - Subsec. (e). Pub. L. 106-102 inserted '', examination

reports'' after ''financial records'' and substituted ''provision

of law,'' for ''provision of this chapter,'' and '', the Securities

and Exchange Commission, and the Commodity Futures Trading

Commission'' for ''and the Securities and Exchange Commission''.

1992 - Subsec. (f)(1). Pub. L. 102-550, Sec. 1516(1), inserted

''or the Secretary of the Treasury'' after ''the Attorney

General''.

Subsec. (f)(2). Pub. L. 102-550, Sec. 1606(b), inserted a comma

before ''for civil actions'' and made technical amendment to

reference to sections 981 or 982 of title 18.

Pub. L. 102-550, Sec. 1516(2), inserted ''and only for criminal

investigative purposes relating to money laundering and other

financial crimes by the Department of the Treasury'' after ''the

Department of Justice''.

1991 - Subsec. (f)(2). Pub. L. 102-242 inserted ''for civil

actions under section 1833a of this title, or for forfeiture under

sections 981 or 982 of title 18'' after ''or prosecutive purposes''

and inserted at end ''No agency or department so transferring such

records shall be deemed to have waived any privilege applicable to

those records under law.''

1989 - Subsec. (e). Pub. L. 101-73, Sec. 944(1), which directed

the insertion of '', holding company, or any subsidiary of a

depository institution or holding company,'' after ''with respect

to a depository institution'', was executed by making the insertion

after ''with respect to a financial institution'', as the probable

intent of Congress.

Pub. L. 101-73, Sec. 944(2), substituted ''Council and the

Securities and Exchange Commission'' for ''Council''.

1988 - Subsec. (f). Pub. L. 100-690 added subsec. (f).

1982 - Subsec. (e). Pub. L. 97-320 added subsec. (e).

EFFECTIVE AND TERMINATION DATES OF 2001 AMENDMENT

Amendments by title III of Pub. L. 107-56 to terminate effective

on and after the first day of fiscal year 2005 if Congress enacts a

joint resolution that such amendments no longer have the force of

law, see section 303 of Pub. L. 107-56, set out as a Four-Year

Congressional Review; Expedited Consideration note under section

5311 of Title 31, Money and Finance.

Amendment by Pub. L. 107-56 applicable with respect to reports

filed or records maintained on, before, or after Oct. 26, 2001, see

section 358(h) of Pub. L. 107-56, set out as a note under section

1829b of this title.

EFFECTIVE DATE OF 1992 AMENDMENT

Amendment by section 1606(b) of Pub. L. 102-550 effective as if

included in the Federal Deposit Insurance Corporation Improvement

Act of 1991, Pub. L. 102-242, as of Dec. 19, 1991, see section

1609(a) of Pub. L. 102-550, set out as a note under section 191 of

this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3409, 3413, 3420 of this

title; title 15 section 78u.

-CITE-

12 USC Sec. 3413 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3413. Exceptions

-STATUTE-

(a) Disclosure of financial records not identified with particular

customers

Nothing in this chapter prohibits the disclosure of any financial

records or information which is not identified with or identifiable

as being derived from the financial records of a particular

customer.

(b) Disclosure to, or examination by, supervisory agency pursuant

to exercise of supervisory, regulatory, or monetary functions

with respect to financial institutions, holding companies,

subsidiaries, institution-affiliated parties, or other persons

This chapter shall not apply to the examination by or disclosure

to any supervisory agency of financial records or information in

the exercise of its supervisory, regulatory, or monetary functions,

including conservatorship or receivership functions, with respect

to any financial institution, holding company, subsidiary of a

financial institution or holding company, institution-affiliated

party (within the meaning of section 1813(u) of this title) with

respect to a financial institution, holding company, or subsidiary,

or other person participating in the conduct of the affairs

thereof.

(c) Disclosure pursuant to title 26

Nothing in this chapter prohibits the disclosure of financial

records in accordance with procedures authorized by title 26.

(d) Disclosure pursuant to Federal statute or rule promulgated

thereunder

Nothing in this chapter shall authorize the withholding of

financial records or information required to be reported in

accordance with any Federal statute or rule promulgated thereunder.

(e) Disclosure pursuant to Federal Rules of Criminal Procedure or

comparable rules of other courts

Nothing in this chapter shall apply when financial records are

sought by a Government authority under the Federal Rules of Civil

or Criminal Procedure or comparable rules of other courts in

connection with litigation to which the Government authority and

the customer are parties.

(f) Disclosure pursuant to administrative subpena issued by

administrative law judge

Nothing in this chapter shall apply when financial records are

sought by a Government authority pursuant to an administrative

subpena issued by an administrative law judge in an adjudicatory

proceeding subject to section 554 of title 5 and to which the

Government authority and the customer are parties.

(g) Disclosure pursuant to legitimate law enforcement inquiry

respecting name, address, account number, and type of account

of particular customers

The notice requirements of this chapter and sections 3410 and

3412 of this title shall not apply when a Government authority by a

means described in section 3402 of this title and for a legitimate

law enforcement inquiry is seeking only the name, address, account

number, and type of account of any customer or ascertainable group

of customers associated (1) with a financial transaction or class

of financial transactions, or (2) with a foreign country or

subdivision thereof in the case of a Government authority

exercising financial controls over foreign accounts in the United

States under section 5(b) of the Trading with the Enemy Act (12

U.S.C. 95a, 50 App. U.S.C. 5(b)); the International Emergency

Economic Powers Act (title II, Public Law 95-223) (50 U.S.C. 1701

et seq.); or section 287c of title 22.

(h) Disclosure pursuant to lawful proceeding, investigation, etc.,

directed at financial institution or legal entity or

consideration or administration respecting Government loans,

loan guarantees, etc.

(1) Nothing in this chapter (except sections 3403, 3417 and 3418

of this title) shall apply when financial records are sought by a

Government authority -

(A) in connection with a lawful proceeding, investigation,

examination, or inspection directed at a financial institution

(whether or not such proceeding, investigation, examination, or

inspection is also directed at a customer) or at a legal entity

which is not a customer; or

(B) in connection with the authority's consideration or

administration of assistance to the customer in the form of a

Government loan, loan guaranty, or loan insurance program.

(2) When financial records are sought pursuant to this

subsection, the Government authority shall submit to the financial

institution the certificate required by section 3403(b) of this

title. For access pursuant to paragraph (1)(B), no further

certification shall be required for subsequent access by the

certifying Government authority during the term of the loan, loan

guaranty, or loan insurance agreement.

(3) After the effective date of this chapter, whenever a customer

applies for participation in a Government loan, loan guaranty, or

loan insurance program, the Government authority administering such

program shall give the customer written notice of the authority's

access rights under this subsection. No further notification shall

be required for subsequent access by that authority during the term

of the loan, loan guaranty, or loan insurance agreement.

(4) Financial records obtained pursuant to this subsection may be

used only for the purpose for which they were originally obtained,

and may be transferred to another agency or department only when

the transfer is to facilitate a lawful proceeding, investigation,

examination, or inspection directed at a financial institution

(whether or not such proceeding, investigation, examination, or

inspection is also directed at a customer), or at a legal entity

which is not a customer, except that -

(A) nothing in this paragraph prohibits the use or transfer of

a customer's financial records needed by counsel representing a

Government authority in a civil action arising from a Government

loan, loan guaranty, or loan insurance agreement; and

(B) nothing in this paragraph prohibits a Government authority

providing assistance to a customer in the form of a loan, loan

guaranty, or loan insurance agreement from using or transferring

financial records necessary to process, service or foreclose a

loan, or to collect on an indebtedness to the Government

resulting from a customer's default.

(5) Notification that financial records obtained pursuant to this

subsection may relate to a potential civil, criminal, or regulatory

violation by a customer may be given to an agency or department

with jurisdiction over that violation, and such agency or

department may then seek access to the records pursuant to the

provisions of this chapter.

(6) Each financial institution shall keep a notation of each

disclosure made pursuant to paragraph (1)(B) of this subsection,

including the date of such disclosure and the Government authority

to which it was made. The customer shall be entitled to inspect

this information.

(i) Disclosure pursuant to issuance of subpena or court order

respecting grand jury proceeding

Nothing in this chapter (except sections 3415 and 3420 of this

title) shall apply to any subpena or court order issued in

connection with proceedings before a grand jury, except that a

court shall have authority to order a financial institution, on

which a grand jury subpoena for customer records has been served,

not to notify the customer of the existence of the subpoena or

information that has been furnished to the grand jury, under the

circumstances and for the period specified and pursuant to the

procedures established in section 3409 of this title.

(j) Disclosure pursuant to proceeding, investigation, etc.,

instituted by General Accounting Office and directed at a

government authority

This chapter shall not apply when financial records are sought by

the General Accounting Office pursuant to an authorized proceeding,

investigation, examination or audit directed at a government

authority.

(k) Disclosure necessary for proper administration of programs of

withholding taxes on nonresident aliens, Federal Old-Age,

Survivors, and Disability Insurance Benefits, and Railroad

Retirement Act Benefits

(1) Nothing in this chapter shall apply to the disclosure by the

financial institution of the name and address of any customer to

the Department of the Treasury, the Social Security Administration,

or the Railroad Retirement Board, where the disclosure of such

information is necessary to, and such information is used solely

for the purpose of, the proper administration of section 1441 of

title 26, title II of the Social Security Act (42 U.S.C. 401 et

seq.), or the Railroad Retirement Act of 1974 (45 U.S.C. 231 et

seq.).

(2) Notwithstanding any other provision of law, any request

authorized by paragraph (1) (and the information contained therein)

may be used by the financial institution or its agents solely for

the purpose of providing the customer's name and address to the

Department of the Treasury, the Social Security Administration, or

the Railroad Retirement Board and shall be barred from redisclosure

by the financial institution or its agents.

(l) Crimes against financial institutions by insiders

Nothing in this chapter shall apply when any financial

institution or supervisory agency provides any financial record of

any officer, director, employee, or controlling shareholder (within

the meaning of subparagraph (A) or (B) of section 1841(a)(2) of

this title or subparagraph (A) or (B) of section 1730a(a)(2) of

this title) of such institution, or of any major borrower from such

institution who there is reason to believe may be acting in concert

with any such officer, director, employee, or controlling

shareholder, to the Attorney General of the United States, to a

State law enforcement agency, or, in the case of a possible

violation of subchapter II of chapter 53 of title 31, to the

Secretary of the Treasury if there is reason to believe that such

record is relevant to a possible violation by such person of -

(1) any law relating to crimes against financial institutions

or supervisory agencies by directors, officers, employees, or

controlling shareholders of, or by borrowers from, financial

institutions; or

(2) any provision of subchapter II of chapter 53 of title 31 or

of section 1956 or 1957 of title 18.

No supervisory agency which transfers any such record under this

subsection shall be deemed to have waived any privilege applicable

to that record under law.

(m) Disclosure to, or examination by, employees or agents of Board

of Governors of Federal Reserve System or Federal Reserve Bank

This chapter shall not apply to the examination by or disclosure

to employees or agents of the Board of Governors of the Federal

Reserve System or any Federal Reserve Bank of financial records or

information in the exercise of the Federal Reserve System's

authority to extend credit to the financial institutions or others.

(n) Disclosure to, or examination by, Resolution Trust Corporation

or its employees or agents

This chapter shall not apply to the examination by or disclosure

to the Resolution Trust Corporation or its employees or agents of

financial records or information in the exercise of its

conservatorship, receivership, or liquidation functions with

respect to a financial institution.

(o) Disclosure to, or examination by, Federal Housing Finance Board

or Federal home loan banks

This chapter shall not apply to the examination by or disclosure

to the Federal Housing Finance Board or any of the Federal home

loan banks of financial records or information in the exercise of

the Federal Housing Finance Board's authority to extend credit

(either directly or through a Federal home loan bank) to financial

institutions or others.

(p) Access to information necessary for administration of certain

veteran benefits laws

(1) Nothing in this chapter shall apply to the disclosure by the

financial institution of the name and address of any customer to

the Department of Veterans Affairs where the disclosure of such

information is necessary to, and such information is used solely

for the purposes of, the proper administration of benefits programs

under laws administered by the Secretary.

(2) Notwithstanding any other provision of law, any request

authorized by paragraph (1) (and the information contained therein)

may be used by the financial institution or its agents solely for

the purpose of providing the customer's name and address to the

Department of Veterans Affairs and shall be barred from

redisclosure by the financial institution or its agents.

(q) Disclosure pursuant to Federal contractor-issued travel charge

card

Nothing in this chapter shall apply to the disclosure of any

financial record or information to a Government authority in

conjunction with a Federal contractor-issued travel charge card

issued for official Government travel.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1113, Nov. 10, 1978, 92 Stat. 3706;

Pub. L. 98-21, title I, Sec. 121(c)(3)(C), Apr. 20, 1983, 97 Stat.

83; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095; Pub. L.

99-570, title I, Sec. 1353(b), Oct. 27, 1986, 100 Stat. 3207-22;

Pub. L. 100-690, title VI, Sec. 6186(c), Nov. 18, 1988, 102 Stat.

4358; Pub. L. 101-73, title IX, Sec. 942, Aug. 9, 1989, 103 Stat.

497; Pub. L. 101-647, title I, Sec. 104, Nov. 29, 1990, 104 Stat.

4791; Pub. L. 102-242, title IV, Sec. 411(2)-(4), Dec. 19, 1991,

105 Stat. 2375; Pub. L. 102-568, title VI, Sec. 603(a), Oct. 29,

1992, 106 Stat. 4342; Pub. L. 105-264, Sec. 2(c)(1), Oct. 19, 1998,

112 Stat. 2351.)

-REFTEXT-

REFERENCES IN TEXT

The Federal Rules of Civil Procedure, referred to in subsec. (e),

are set out in the Appendix to Title 28, Judiciary and Judicial

Procedure.

The Federal Rules of Criminal Procedure, referred to in subsec.

(e), are set out in the Appendix to Title 18, Crimes and Criminal

Procedure.

The International Emergency Economic Powers Act, referred to in

subsec. (g), is title II of Pub. L. 95-223, Dec. 28, 1977, 91 Stat.

1626, which is classified generally to chapter 35 (Sec. 1701 et

seq.) of Title 50, War and National Defense. For complete

classification of this Act to the Code, see Short Title note set

out under section 1701 of Title 50 and Tables.

The effective date of this chapter, referred to in subsec.

(h)(3), is the date upon the expiration of 120 days after Nov. 10,

1978. See section 2101 of Pub. L. 95-630, set out as an Effective

Date note under section 375b of this title.

The Social Security Act, referred to in subsec. (k)(1), is act

Aug. 14, 1935, ch. 531, 49 Stat. 620, as amended. Title II of such

Act is classified generally to subchapter II (Sec. 401 et seq.) of

chapter 7 of Title 42, The Public Health and Welfare. For complete

classification of this Act to the Code, see section 1305 of Title

42 and Tables.

The Railroad Retirement Act of 1974, referred to in subsec.

(k)(1), is act Aug. 29, 1935, ch. 812, as amended, generally by

Pub. L. 93-445, title I, Sec. 101, Oct. 16, 1974, 88 Stat. 1305,

which is classified generally to subchapter IV (Sec. 231 et seq.)

of chapter 9 of Title 45, Railroads. For further details and

complete classification of this Act to the Code, see Codification

note set out preceding section 231 of Title 45, section 231t of

Title 45, and Tables.

-MISC2-

AMENDMENTS

1998 - Subsec. (q). Pub. L. 105-264 added subsec. (q).

1992 - Subsec. (p). Pub. L. 102-586 added subsec. (p).

1991 - Subsec. (h)(1)(A), (4). Pub. L. 102-242, Sec. 411(2), (3),

substituted ''a financial institution (whether or not such

proceeding, investigation, examination, or inspection is also

directed at a customer)'' for ''the financial institution in

possession of such records''.

Subsec. (l). Pub. L. 102-242, Sec. 411(4), inserted at end ''No

supervisory agency which transfers any such record under this

subsection shall be deemed to have waived any privilege applicable

to that record under law.''

1990 - Subsec. (l)(2). Pub. L. 101-647 inserted before period at

end ''or of section 1956 or 1957 of title 18''.

1989 - Subsec. (b). Pub. L. 101-73, Sec. 942(1), amended subsec.

(b) generally. Prior to amendment, subsec. (b) read as follows:

''Nothing in this chapter prohibits examination by or disclosure to

any supervisory agency of financial records or information in the

exercise of its supervisory, regulatory, or monetary functions with

respect to a financial institution.''

Subsecs. (m) to (o). Pub. L. 101-73, Sec. 942(2), added subsecs.

(m) to (o).

1988 - Subsec. (l). Pub. L. 100-690 added subsec. (l).

1986 - Subsec. (c). Pub. L. 99-514 substituted ''Internal Revenue

Code of 1986'' for ''Internal Revenue Code of 1954'', which for

purposes of codification was translated as ''title 26'' thus

requiring no change in text.

Subsec. (i). Pub. L. 99-570 inserted '', except that a court

shall have authority to order a financial institution, on which a

grand jury subpoena for customer records has been served, not to

notify the customer of the existence of the subpoena or information

that has been furnished to the grand jury, under the circumstances

and for the period specified and pursuant to the procedures

established in section 3409 of this title''.

Subsec. (k)(1). Pub. L. 99-514 substituted ''Internal Revenue

Code of 1986'' for ''Internal Revenue Code of 1954'', which for

purposes of codification was translated as ''title 26'' thus

requiring no change in text.

1983 - Subsec. (k). Pub. L. 98-21 added subsec. (k).

EFFECTIVE DATE OF 1998 AMENDMENT

Amendment by Pub. L. 105-264 effective Oct. 1, 1983, and

applicable to any records created pursuant to United States Travel

and Transportation Payment and Expense Control System or any

Federal contractor-issued travel charge card issued for official

Government travel, see section 2(c)(2) of Pub. L. 105-264, set out

as a Requiring Use of Travel Charge Card note under section 5701 of

Title 5, Government Organization and Employees.

EFFECTIVE DATE OF 1983 AMENDMENT

Amendment by Pub. L. 98-21 applicable to benefits received after

Dec. 31, 1983, in taxable years ending after such date, except for

any portion of a lump-sum payment of social security benefits

received after Dec. 31, 1983, if the generally applicable payment

date for such portion was before Jan. 1, 1984, see section 121(g)

of Pub. L. 98-21, set out as an Effective Date note under section

86 of Title 26, Internal Revenue Code.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3415 of this title;

title 38 section 5319; title 42 section 652.

-CITE-

12 USC Sec. 3414 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3414. Special procedures

-STATUTE-

(a)(1) Nothing in this chapter (except sections 3415, 3417, 3418,

and 3421 (FOOTNOTE 1) of this title) shall apply to the production

and disclosure of financial records pursuant to requests from -

(FOOTNOTE 1) See References in Text note below.

(A) a Government authority authorized to conduct foreign

counter- or foreign positive-intelligence activities for purposes

of conducting such activities;

(B) the Secret Service for the purpose of conducting its

protective functions (18 U.S.C. 3056; 3 U.S.C. 202, Public Law

90-331, as amended); or

(C) a Government authority authorized to conduct investigations

of, or intelligence or counterintelligence analyses related to,

international terrorism for the purpose of conducting such

investigations or analyses.

(2) In the instances specified in paragraph (1), the Government

authority shall submit to the financial institution the certificate

required in section 3403(b) of this title signed by a supervisory

official of a rank designated by the head of the Government

authority.

(3) No financial institution, or officer, employee, or agent of

such institution, shall disclose to any person that a Government

authority described in paragraph (1) has sought or obtained access

to a customer's financial records.

(4) The Government authority specified in paragraph (1) shall

compile an annual tabulation of the occasions in which this section

was used.

(5)(A) Financial institutions, and officers, employees, and

agents thereof, shall comply with a request for a customer's or

entity's financial records made pursuant to this subsection by the

Federal Bureau of Investigation when the Director of the Federal

Bureau of Investigation (or the Director's designee in a position

not lower than Deputy Assistant Director at Bureau headquarters or

a Special Agent in Charge in a Bureau field office designated by

the Director) certifies in writing to the financial institution

that such records are sought for foreign counter intelligence

(FOOTNOTE 2) purposes to protect against international terrorism or

clandestine intelligence activities, provided that such an

investigation of a United States person is not conducted solely

upon the basis of activities protected by the first amendment to

the Constitution of the United States.

(FOOTNOTE 2) So in original. Probably should be

''counterintelligence''.

(B) The Federal Bureau of Investigation may disseminate

information obtained pursuant to this paragraph only as provided in

guidelines approved by the Attorney General for foreign

intelligence collection and foreign counterintelligence

investigations conducted by the Federal Bureau of Investigation,

and, with respect to dissemination to an agency of the United

States, only if such information is clearly relevant to the

authorized responsibilities of such agency.

(C) On the dates provided in section 415b of title 50, the

Attorney General shall fully inform the congressional intelligence

committees (as defined in section 401a of title 50) concerning all

requests made pursuant to this paragraph.

(D) No financial institution, or officer, employee, or agent of

such institution, shall disclose to any person that the Federal

Bureau of Investigation has sought or obtained access to a

customer's or entity's financial records under this paragraph.

(b)(1) Nothing in this chapter shall prohibit a Government

authority from obtaining financial records from a financial

institution if the Government authority determines that delay in

obtaining access to such records would create imminent danger of -

(A) physical injury to any person;

(B) serious property damage; or

(C) flight to avoid prosecution.

(2) In the instances specified in paragraph (1), the Government

shall submit to the financial institution the certificate required

in section 3403(b) of this title signed by a supervisory official

of a rank designated by the head of the Government authority.

(3) Within five days of obtaining access to financial records

under this subsection, the Government authority shall file with the

appropriate court a signed, sworn statement of a supervisory

official of a rank designated by the head of the Government

authority setting forth the grounds for the emergency access. The

Government authority shall thereafter comply with the notice

provisions of section 3409(c) of this title.

(4) The Government authority specified in paragraph (1) shall

compile an annual tabulation of the occasions in which this section

was used.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1114, Nov. 10, 1978, 92 Stat. 3707;

Pub. L. 97-320, title IV, Sec. 432(b), Oct. 15, 1982, 96 Stat.

1527; Pub. L. 99-569, title IV, Sec. 404, Oct. 27, 1986, 100 Stat.

3197; Pub. L. 107-56, title III, Sec. 358(f)(2), title V, Sec.

505(b), Oct. 26, 2001, 115 Stat. 327, 365; Pub. L. 107-306, title

VIII, Sec. 811(b)(9), Nov. 27, 2002, 116 Stat. 2426.)

-REFTEXT-

REFERENCES IN TEXT

Section 3421 of this title, referred to in subsec. (a)(1), was

repealed by Pub. L. 104-66, title III, Sec. 3001(d), Dec. 21, 1995,

109 Stat. 734.

Public Law 90-331, as amended, referred to in subsec. (a)(1)(B),

is Pub. L. 90-331, June 6, 1968, 82 Stat. 170, as amended, which is

set out as a note under section 3056 of Title 18, Crimes and

Criminal Procedure.

-MISC2-

AMENDMENTS

2002 - Subsec. (a)(5)(C). Pub. L. 107-306 substituted ''On the

dates provided in section 415b of title 50, the Attorney General

shall fully inform the congressional intelligence committees (as

defined in section 401a of title 50)'' for ''On a semiannual basis

the Attorney General shall fully inform the Permanent Select

Committee on Intelligence of the House of Representatives and the

Select Committee on Intelligence of the Senate''.

2001 - Subsec. (a)(1)(C). Pub. L. 107-56, Sec. 358(f)(2), added

subpar. (C).

Subsec. (a)(5)(A). Pub. L. 107-56, Sec. 505(b), inserted ''in a

position not lower than Deputy Assistant Director at Bureau

headquarters or a Special Agent in Charge in a Bureau field office

designated by the Director'' after ''Director's designee'' and

substituted ''sought for foreign counter intelligence purposes to

protect against international terrorism or clandestine intelligence

activities, provided that such an investigation of a United States

person is not conducted solely upon the basis of activities

protected by the first amendment to the Constitution of the United

States'' for ''sought for foreign counterintelligence purposes and

that there are specific and articulable facts giving reason to

believe that the customer or entity whose records are sought is a

foreign power or an agent of a foreign power as defined in section

1801 of title 50''.

1986 - Subsec. (a)(5). Pub. L. 99-569 added par. (5).

1982 - Subsec. (b)(2). Pub. L. 97-320 struck out ''of'' after

''financial institution''.

EFFECTIVE AND TERMINATION DATES OF 2001 AMENDMENT

Amendments by title III of Pub. L. 107-56 to terminate effective

on and after the first day of fiscal year 2005 if Congress enacts a

joint resolution that such amendments no longer have the force of

law, see section 303 of Pub. L. 107-56, set out as a Four-Year

Congressional Review; Expedited Consideration note under section

5311 of Title 31, Money and Finance.

Amendment by section 358(f)(2) of Pub. L. 107-56 applicable with

respect to reports filed or records maintained on, before, or after

Oct. 26, 2001, see section 358(h) of Pub. L. 107-56, set out as a

note under section 1829b of this title.

-TRANS-

TRANSFER OF FUNCTIONS

For transfer of the functions, personnel, assets, and obligations

of the United States Secret Service, including the functions of the

Secretary of the Treasury relating thereto, to the Secretary of

Homeland Security, and for treatment of related references, see

sections 381, 551(d), 552(d), and 557 of Title 6, Domestic

Security, and the Department of Homeland Security Reorganization

Plan of November 25, 2002, as modified, set out as a note under

section 542 of Title 6.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3402, 3409 of this title;

title 50 section 415b.

-CITE-

12 USC Sec. 3415 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3415. Cost reimbursement

-STATUTE-

Except for records obtained pursuant to section 3403(d) or

3413(a) through (h) of this title, or as otherwise provided by law,

a Government authority shall pay to the financial institution

assembling or providing financial records pertaining to a customer

and in accordance with procedures established by this chapter a fee

for reimbursement for such costs as are reasonably necessary and

which have been directly incurred in searching for, reproducing, or

transporting books, papers, records, or other data required or

requested to be produced. The Board of Governors of the Federal

Reserve System shall, by regulation, establish the rates and

conditions under which such payment may be made.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1115(a), Nov. 10, 1978, 92 Stat.

3708.)

-MISC1-

EFFECTIVE DATE

Section 1115(b) of Pub. L. 95-630 provided that: ''This section

shall take effect on October 1, 1979.''

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3413, 3414 of this title;

title 42 section 1383.

-CITE-

12 USC Sec. 3416 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3416. Jurisdiction

-STATUTE-

An action to enforce any provision of this chapter may be brought

in any appropriate United States district court without regard to

the amount in controversy within three years from the date on which

the violation occurs or the date of discovery of such violation,

whichever is later.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1116, Nov. 10, 1978, 92 Stat.

3708.)

-CITE-

12 USC Sec. 3417 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3417. Civil penalties

-STATUTE-

(a) Liability of agencies or departments of United States or

financial institutions

Any agency or department of the United States or financial

institution obtaining or disclosing financial records or

information contained therein in violation of this chapter is

liable to the customer to whom such records relate in an amount

equal to the sum of -

(1) $100 without regard to the volume of records involved;

(2) any actual damages sustained by the customer as a result of

the disclosure;

(3) such punitive damages as the court may allow, where the

violation is found to have been willful or intentional; and

(4) in the case of any successful action to enforce liability

under this section, the costs of the action together with

reasonable attorney's fees as determined by the court.

(b) Disciplinary action for willful or intentional violation of

chapter by agents or employees of department or agency

Whenever the court determines that any agency or department of

the United States has violated any provision of this chapter and

the court finds that the circumstances surrounding the violation

raise questions of whether an officer or employee of the department

or agency acted willfully or intentionally with respect to the

violation, the Director of the Office of Personnel Management shall

promptly initiate a proceeding to determine whether disciplinary

action is warranted against the agent or employee who was primarily

responsible for the violation. The Director after investigation

and consideration of the evidence submitted, shall submit his

findings and recommendations to the administrative authority of the

agency concerned and shall send copies of the findings and

recommendations to the officer or employee or his representative.

The administrative authority shall take the corrective action that

the Director recommends.

(c) Good faith defense

Any financial institution or agent or employee thereof making a

disclosure of financial records pursuant to this chapter in

good-faith reliance upon a certificate by any Government authority

or pursuant to the provisions of section 3413(l) of this title

shall not be liable to the customer for such disclosure under this

chapter, the constitution of any State, or any law or regulation of

any State or any political subdivision of any State.

(d) Exclusive judicial remedies and sanctions

The remedies and sanctions described in this chapter shall be the

only authorized judicial remedies and sanctions for violations of

this chapter.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1117, Nov. 10, 1978, 92 Stat. 3708;

1978 Reorg. Plan No. 2, Sec. 102, eff. Jan. 1, 1979, 43 F.R.

36067, 92 Stat. 3783; Pub. L. 100-690, title VI, Sec. 6186(d), Nov.

18, 1988, 102 Stat. 4358.)

-MISC1-

AMENDMENTS

1988 - Subsec. (c). Pub. L. 100-690 inserted ''or pursuant to the

provisions of section 3413(l) of this title'' after ''Government

authority'' and ''under this chapter, the constitution of any

State, or any law or regulation of any State or any political

subdivision of any State'' after ''such disclosure''.

-TRANS-

TRANSFER OF FUNCTIONS

''Director of the Office of Personnel Management'' and

''Director'' substituted in subsec. (b) for ''Civil Service

Commission'' and ''Commission'' pursuant to Reorg. Plan No. 2 of

1978, Sec. 102, 43 F.R. 36037, 92 Stat. 3783, set out under section

1101 of Title 5, Government Organization and Employees, which

transferred functions vested by statute in Civil Service Commission

to Director of Office of Personnel Management (except as otherwise

specified), effective Jan. 1, 1979, as provided by section 1-102 of

Ex. Ord. No. 12107, Dec. 28, 1978, 44 F.R. 1055, set out under

section 1101 of Title 5.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3413, 3414 of this title.

-CITE-

12 USC Sec. 3418 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3418. Injunctive relief

-STATUTE-

In addition to any other remedy contained in this chapter,

injunctive relief shall be available to require that the procedures

of this chapter are complied with. In the event of any successful

action, costs together with reasonable attorney's fees as

determined by the court may be recovered.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1118, Nov. 10, 1978, 92 Stat.

3709.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 3413, 3414 of this title.

-CITE-

12 USC Sec. 3419 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3419. Suspension of limitations

-STATUTE-

If any individual files a motion or application under this

chapter which has the effect of delaying the access of a Government

authority to financial records pertaining to such individual, any

applicable statute of limitations shall be deemed to be tolled for

the period extending from the date such motion or application was

filed until the date upon which the motion or application is

decided.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1119, Nov. 10, 1978, 92 Stat.

3709.)

-CITE-

12 USC Sec. 3420 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3420. Grand jury information; notification of certain persons

prohibited

-STATUTE-

(a) Financial records about a customer obtained from a financial

institution pursuant to a subpena issued under the authority of a

Federal grand jury -

(1) shall be returned and actually presented to the grand jury

unless the volume of such records makes such return and actual

presentation impractical in which case the grand jury shall be

provided with a description of the contents of the records.;

(FOOTNOTE 1)

(FOOTNOTE 1) So in original.

(2) shall be used only for the purpose of considering whether

to issue an indictment or presentment by that grand jury, or of

prosecuting a crime for which that indictment or presentment is

issued, or for a purpose authorized by rule 6(e) of the Federal

Rules of Criminal Procedure, or for a purpose authorized by

section 3412(a) of this title;

(3) shall be destroyed or returned to the financial institution

if not used for one of the purposes specified in paragraph (2);

and

(4) shall not be maintained, or a description of the contents

of such records shall not be maintained by any Government

authority other than in the sealed records of the grand jury,

unless such record has been used in the prosecution of a crime

for which the grand jury issued an indictment or presentment or

for a purpose authorized by rule 6(e) of the Federal Rules of

Criminal Procedure.

(b)(1) No officer, director, partner, employee, or shareholder

of, or agent or attorney for, a financial institution shall,

directly or indirectly, notify any person named in a grand jury

subpoena served on such institution in connection with an

investigation relating to a possible -

(A) crime against any financial institution or supervisory

agency or crime involving a violation of the Controlled Substance

Act (21 U.S.C. 801 et seq.), the Controlled Substances Import and

Export Act (21 U.S.C. 951 et seq.), section 1956 or 1957 of title

18, sections 5313, 5316 and 5324 of title 31, or section 6050I of

title 26; or

(B) conspiracy to commit such a crime,

about the existence or contents of such subpoena, or information

that has been furnished to the grand jury in response to such

subpoena.

(2) Section 1818 of this title and section 1786(k)(2) of this

title shall apply to any violation of this subsection.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1120, Nov. 10, 1978, 92 Stat. 3709;

Pub. L. 100-690, title VI, Sec. 6186(e), Nov. 18, 1988, 102 Stat.

4358; Pub. L. 101-73, title IX, Sec. 943, Aug. 9, 1989, 103 Stat.

497; Pub. L. 102-550, title XV, Sec. 1532, Oct. 28, 1992, 106 Stat.

4066; Pub. L. 107-56, title III, Sec. 358(f)(3), Oct. 26, 2001, 115

Stat. 327.)

-REFTEXT-

REFERENCES IN TEXT

Rule 6(e) of the Federal Rules of Criminal Procedure, referred to

in subsec. (a)(2), (4), is set out in the Appendix to Title 18,

Crimes and Criminal Procedure.

The Controlled Substance Act, referred to in subsec. (b)(1)(A),

probably means the Controlled Substances Act, which is title II of

Pub. L. 91-513, Oct. 27, 1970, 84 Stat. 1242, as amended, and which

is classified principally to subchapter I (Sec. 801 et seq.) of

chapter 13 of Title 21, Food and Drugs. For complete classification

of this Act to the Code, see Short Title note set out under section

801 of Title 21 and Tables.

The Controlled Substances Import and Export Act, referred to in

subsec. (b)(1)(A), is title III of Pub. L. 91-513, Oct. 27, 1970,

84 Stat. 1285, as amended, which is classified principally to

subchapter II (Sec. 951 et seq.) of chapter 13 of Title 21. For

complete classification of this Act to the Code, see Short Title

note set out under section 951 of Title 21 and Tables.

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AMENDMENTS

2001 - Subsec. (a)(2). Pub. L. 107-56 inserted '', or for a

purpose authorized by section 3412(a) of this title'' before

semicolon at end.

1992 - Subsec. (b)(1)(A). Pub. L. 102-550 inserted before

semicolon ''or crime involving a violation of the Controlled

Substance Act, the Controlled Substances Import and Export Act,

section 1956 or 1957 of title 18, sections 5313, 5316 and 5324 of

title 31, or section 6050I of title 26''.

1989 - Pub. L. 101-73 designated existing provisions as subsec.

(a) and added subsec. (b).

1988 - Par. (1). Pub. L. 100-690 inserted ''unless the volume of

such records makes such return and actual presentation impractical

in which case the grand jury shall be provided with a description

of the contents of the records.'' before semicolon at end.

EFFECTIVE AND TERMINATION DATES OF 2001 AMENDMENT

Amendments by title III of Pub. L. 107-56 to terminate effective

on and after the first day of fiscal year 2005 if Congress enacts a

joint resolution that such amendments no longer have the force of

law, see section 303 of Pub. L. 107-56, set out as a Four-Year

Congressional Review; Expedited Consideration note under section

5311 of Title 31, Money and Finance.

Amendment by Pub. L. 107-56 applicable with respect to reports

filed or records maintained on, before, or after Oct. 26, 2001, see

section 358(h) of Pub. L. 107-56, set out as a note under section

1829b of this title.

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SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 3413 of this title.

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12 USC Sec. 3421 01/06/03

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TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3421. Repealed. Pub. L. 104-66, title III, Sec. 3001(d), Dec.

21, 1995, 109 Stat. 734

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Section, Pub. L. 95-630, title XI, Sec. 1121, Nov. 10, 1978, 92

Stat. 3710, related to reporting requirements.

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12 USC Sec. 3422 01/06/03

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TITLE 12 - BANKS AND BANKING

CHAPTER 35 - RIGHT TO FINANCIAL PRIVACY

-HEAD-

Sec. 3422. Applicability to Securities and Exchange Commission

-STATUTE-

Except as provided in the Securities Exchange Act of 1934 (15

U.S.C. 78a et seq.), this chapter shall apply with respect to the

Securities and Exchange Commission.

-SOURCE-

(Pub. L. 95-630, title XI, Sec. 1122, Nov. 10, 1978, 92 Stat. 3710;

Pub. L. 96-433, Sec. 2, Oct. 10, 1980, 94 Stat. 1855.)

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REFERENCES IN TEXT

The Securities Exchange Act of 1934, referred to in text, is act

June 6, 1934, ch. 404, 48 Stat. 881, as amended, which is

classified principally to chapter 2B (Sec. 78a et seq.) of Title

15, Commerce and Trade. For complete classification of this Act to

the Code, see section 78a of Title 15 and Tables.

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AMENDMENTS

1980 - Pub. L. 96-433 substituted provision making this chapter

applicable with respect to the Commission, except as provided in

the Securities Exchange Act of 1934, for provision exempting the

Commission from this chapter for a period of two years from

November 10, 1978.

EFFECTIVE DATE OF 1980 AMENDMENT

Amendment by Pub. L. 96-433 effective Nov. 10, 1980, see section

5(b) of Pub. L. 96-433, set out as a note under section 78u of

Title 15, Commerce and Trade.

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