(a) (1) With respect to each brokerage
account opened with a broker or dealer in securities after June 30,
1972, and before October 1, 2003, by a person residing or doing business
in the United States or a citizen of the United States, such broker
or dealer shall within 30 days from the date such account is opened,
secure and maintain a record of the taxpayer identification number
of the person maintaining the account; or in the case of an
account of one or more individuals, such broker or dealer shall secure
and maintain a record of the social security number of an individual
having a financial interest in that account. In the event that a broker
or dealer has been unable to secure the identification required within
the 30-day period specified, it shall nevertheless not be deemed to
be in violation of this section if: It has made a reasonable effort
to secure such identification, and it maintains a list containing
the names, addresses, and account numbers of those persons from whom
it has been unable to secure such identification, and makes the names,
addresses, and account numbers of those persons available to the Secretary
as directed by him. Where a person is a non-resident alien, the broker
or dealer in securities shall also record the person’s passport number
or a description of some other government document used to verify
his identity.
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(2) The 30-day period provided for in paragraph
(a)(1) of this section shall be extended where the person opening
the account has applied for a taxpayer identification or social security
number on Form SS-4 or SS-5, until such time as the person maintaining
the account has had a reasonable opportunity to secure such number
and furnish it to the broker or dealer.
(3) A taxpayer identification number for
a deposit or share account required under paragraph (a)(1) of this
section need not be secured in the following instances:
(i) Accounts
for public funds opened by agencies and instrumentalities of Federal,
state, local, or foreign governments,
(ii) Accounts for aliens who are ambassadors,
ministers, career diplomatic or consular officers, or naval, military
or other attaches of foreign embassies, and legations, and for the
members of their immediate families,
(iii) Accounts for aliens who are accredited
representatives to international organizations which are entitled
to enjoy privileges, exemptions, and immunities as an international
organization under the International Organizations Immunities Act
of December 29, 1945 (22 U.S.C. 288), and for the members of their
immediate families,
(iv) Aliens temporarily residing in the United States for a period
not to exceed 180 days,
(v) Aliens not engaged in a trade or
business in the United States who are attending a recognized college
or university or any training program, supervised or conducted by
any agency of the Federal Government, and
(vi) Unincorporated subordinate units
of a tax exempt central organization which are covered by a group
exemption letter.
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(b) Every
broker or dealer in securities shall, in addition, retain either the
original or a microfilm or other copy or reproduction of each of the
following:
(1) Each document granting
signature or trading authority over each customer’s account;
(2) Each record described
in 17 CFR 240.17a-3(a)(1), (2), (3), (5), (6), (7), (8), and (9);
(3) A record of each remittance
or transfer of funds, or of currency, checks, other monetary instruments,
investment securities, or credit, of more than $10,000 to a person,
account, or place, outside the United States;
(4) A record of each receipt of currency,
other monetary instruments, checks, or investment securities and of
each transfer of funds or credit, of more than $10,000 received on
any one occasion directly and not through a domestic financial institution,
from any person, account or place outside the United States.
