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The ENABLERS Act

The ENABLERS Act

The ENABLERS Act is a proposed law in the US – due to come into force in 2023 – that aims to close the loopholes that allow money launderers to clean their dirty cash.

Under the Bank Secrecy Act (BSA) US banks and organizations classed as financial institutions are required to investigate their clients when they seek to move money and assets into the US financial system.

However, other enablers – i.e. businesses that transact with clients’ funds such as law firms, accountants, and trust companies – were under no such obligation. As a result, money launderers were increasingly using other professional services firms as a gateway into the US economy.

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