Treasury wants to strengthen monitoring of full cash real estate transactions

Washington – The Biden administration is expanding reporting requirements for full-cash real estate transactions to crack down on malicious individuals using the US market for money laundering resulting from fraud.

The Treasury posted a notice on Monday seeking public comments on potential regulations addressing what it claims to be a vulnerability in the real estate market.

Currently, only 12 metropolitan title insurers need to submit a report identifying people who buy full cash for residential real estate through a shell company if transactions exceed $ 300,000.

“By increasing the transparency of the real estate sector, corrupt officials and criminals will be less able to clean up the profits of profits that were not earned through the US real estate market,” said Deputy Director of the Ministry of Finance’s Financial Crimes Investigation Network. Hima Uri Das, who serves as the director, said.


The move could “help strengthen US national security and protect the integrity of the US financial system,” Das said.

The metropolitan area currently facing reporting requirements is Boston. Chicago; Dallas-Fortworth; Honolulu; Las Vegas; Los Angeles; Miami; New York City; San Antonio; San Diego; San Francisco; and Seattle.

The US real estate market has long been seen as a stable roadside station for corrupt government officials around the world and other illicit actors trying to clean up their profits from criminal activity.

The use of shell companies by current and former world leaders and their close relatives to purchase real estate and other assets in the United States and other regions has recently been published in the International Consortium of Investigative Journalists’ Pandora Papers. It was in the limelight by the publication.


Leakage documents obtained by the consortium have been used by King Abdullah II of Jordan, former British Prime Minister Tony Blair, and other celebrities to use shell companies for the past quarter century, including mansions, seaside luxury properties, yachts, and more. Indicates that you have purchased an asset.

Tax evasion can be legal, but it has created a variety of proposals to increase tax transparency and strengthen the fight against tax evasion.

Efforts have been made to push for new real estate market regulation as the Biden administration announced its “US Strategy to Counter Corruption” on Monday.

This strategy was announced when President Joe Biden was preparing to host the first White House Summit for Democracy. This is a virtual rally of leaders and civil society experts from over 100 countries on Thursday and Friday.

This strategy provides a wide range of writings to combat corruption at home and abroad. This includes calling on the U.S. government to close regulatory gaps, strengthen anti-corruption in U.S. diplomatic efforts, and strengthen protection of civil society and members of the media, including investigative journalism that exposes corruption. It will be.

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Treasury wants to strengthen monitoring of full cash real estate transactions

Source link Treasury wants to strengthen monitoring of full cash real estate transactions

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