Civil RemediesCivil Penalties
Section 5321(a)(1) of Title 31 provides that domestic financial
institutions and any partner, director, officer, or employee of a domestic
financial institution who engages in a willful violation of the above
is liable to the United States Government for a civil penalty of not more
the greater of the amount (not to exceed $100,000) involved in the
or $25,000. If a domestic financial institution fails to follow the
procedures required by the Act or the regulations, a separate violation
for each day the violation continues and at each office, branch, or place of
business at which a violation occurs.|
Section 5321(a)(2) of Title 31 also provides that the Secretary of
Treasury may impose additional civil penalties on a person who does not file
CMIR, or who files a CMIR containing a material omission or misstatement.
civil penalty can be levied for not more than the value of the monetary
instrument for which the report was required, although such penalty must be
reduced by any amount forfeited under 31 U.S.C. § 5317(b). This
the civil penalty provision can be very helpful when a large volume of
is involved and criminal prosecution is not available.
Section 5321(b) of Title 31 authorizes the Secretary of the
to bring civil actions to collect civil penalties. Section 5321(c) provides
authority for the Secretary of the Treasury to remit any part of a civil
forfeiture or civil penalty imposed under § 5317(c) or
This statute thereby provides a procedure to protect innocent third parties.
[cited in USAM 9-79.200]