Corporate Transparency Affects Private Businesses in 2024

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CTA (Corporate Transparency Act)The CTA was enacted by Congress on January 1, 2021, in an effort to combat financial crimes, money laundering, and corruption across all industries. The legislation mandates that privately held corporations, LLCs, partnerships, and other legal entities formed by filing with a Secretary of State must provide a Beneficial Ownership Information Report (BOI Report) to FinCEN (U.S. Department of Treasury bureau, Financial Crimes Enforcement Network) unless qualifying for an exemption. These efforts provide more transparency for the U.S. government to detect and prevent bad actors hiding behind corporate shell companies and other entity structures. ExemptionsThere are 23 types of entities that are exempt from CTA reporting requirements.

ESG Controller in Corporate Governance

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As the world increasingly prioritizes sustainability, a new role is emerging in the corporate landscape: the ESG (Environmental, Social, and Governance) controller. This position is rapidly gaining traction as organizations recognize the urgent need for transparent and accountable sustainability reporting. In a climate of heightened regulatory scrutiny and evolving stakeholder expectations, the ESG controller is poised to become a cornerstone of corporate finance, bridging the gap between financial integrity and sustainable practices. Why Are ESG Controllers Becoming Essential for Modern Corporations?The ESG controller oversees the development of corporate ESG reporting procedures, bridging finance, legal, and sustainability functions to navigate compliance complexities and ensure accurate sustainability disclosures. As non-financial reporting regulations multiply, organizations increasingly recognize the importance of applying

Treasury’s New Approach to Illicit Finance

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In an era marked by globalization and rapid financial innovation, the battle against illicit finance has become increasingly crucial for governments and financial institutions worldwide. On August 28, 2024, the U.S. Treasury Department announced two significant regulations aimed at bolstering anti-money laundering (AML) efforts in real estate transactions and among investment advisers. These measures represent a concerted effort to enhance transparency, curb illicit financial flows, and ensure compliance with AML standards. The Scope of the New RegulationsThe first regulation targets real estate transactions, which have long been viewed as a prime avenue for money laundering. Criminals often use complex structures, including shell companies, to purchase properties anonymously, thereby obscuring true ownership and