Homeland Security

Bush Seeks More Funds to Combat Terrorist Financing

(Proposes expanding overseas technical assistance programs) (640)
The Bush administration's proposed budget for fiscal year 2004
(FY2004) includes additional funding for programs that combat money
laundering and terrorist financing, the Treasury Department says.
In a February 3 news release, Treasury said the budget would also
increase funding for overseas technical assistance programs that
promote market reforms and stronger economic governance, particularly
in post-conflict countries like Afghanistan.
Under the budget proposal for the fiscal year that begins October 1,
the Treasury Department's Financial Crimes Enforcement Network
(FinCEN) would receive $57.6 million, up from the current year's
request of $50.5 million. Treasury's overseas technical assistance
program would receive $14 million, up from the $10 million requested
for 2003.
The increased funding for FinCEN would be used to help improve
information sharing between the financial services and law enforcement
communities and to continue implementation of the Patriot Act, the
broad anti-terrorism legislation passed by Congress following the
September 11, 2001, attacks against the United States.
Treasury's technical assistance program sends experts overseas to
offer advice on issues such as budget administration, tax policy,
banking supervision, and financial crimes enforcement. Since September
2001 more than 75 missions have traveled to countries considered
vulnerable to terrorist organizations, the news release said.
Approximately one-third of the new technical assistance budget will be
dedicated to combating terrorist financing, according to Treasury.
Following is the text of the news release:
(begin text)
U.S. Department of the Treasury
Office of Public Affairs
TREASURY ANNOUNCES INCREASE IN FUNDS TO COMBAT MONEY LAUNDERING AND
TERRORIST FINANCING
The Administration is proposing significant increases in funding for
Treasury Department programs that work to combat money laundering and
terrorist financing around the world.
In its fiscal year 2004 budget to be released on Monday, February 3,
2003, the Administration proposes a $2.1 million increase in funding
for Treasury's Financial Crimes Enforcement Network (FinCEN), and a $4
million increase in funding for Treasury's technical assistance
program under the Office of International Affairs.
Under the budget proposal, FinCEN, which fosters interagency and
global cooperation and serves as a link between the law
enforcement/intelligence communities and financial institutions and
regulators in fighting domestic and international financial crime,
would receive FY2004 funding of $57.6 million, up from the requested
FY2003 funding of $50.5 million.
The increased funding for FinCEN would allow the program to improve
information sharing between financial services and law enforcement
communities; effectively administer additional requirements mandated
by the USA PATRIOT Act of 2001 and subsequent regulatory requirements;
monitor the establishment of anti-money laundering programs in all
U.S. financial institutions; expand the Bank Secrecy Act to new
industries and accelerate efforts to enable the electronic filing of
BSA data more efficiently through the Patriot Act Communications
System; and strengthen and expand mechanisms for the exchange of
information globally to enhance the global fight against terrorism and
money laundering that fuels criminal activities.
The budget proposal also would provide a 24 percent increase in funds
-- to $14 million requested in FY2004 from $10 million requested in
FY2003 -- for Treasury's technical assistance program, which works to
promote market-oriented economic reforms and good governance in
countries of foreign policy importance to the United States. The
program sends Treasury experts to advise countries on issues such as
budget administration, tax policy, banking supervision, debt
management and financial crimes enforcement. It has deployed more than
75 separate missions since September 2001 to countries considered
vulnerable to terrorist organizations.
The technical assistance program also supports foreign aid in key
geographic regions, such as Central Europe, former Soviet Union,
Africa and Latin America. The increase will allow for continuation of
programs to improve economic governance, particularly in post-conflict
countries like Afghanistan.
Approximately one-third of the new technical assistance budget will be
dedicated to combating terrorist financing.
(end text)
(Distributed by the Office of International Information Programs, U.S.
Department of State. Web site: http://usinfo.state.gov)