Treasury Ends Enforcement of Business Ownership Database
The U.S. Treasury Department announced it will not enforce a Biden-era rule intended to curb money laundering and shell company formation. The department's decision comes despite efforts by small businesses to undo the rule in court, with President Donald Trump praising the suspension of enforcement on his Truth Social media site. The database, which was created during the Biden administration, required most American businesses with fewer than 20 employees to register their business owners with the government as of January 1, 2024.
- This move highlights the ongoing tension between regulatory efforts aimed at combating financial crimes and the concerns of small businesses about privacy and security.
- What implications will this decision have on law enforcement's ability to track down money launderers and other criminals in the long run?