(a) Authority. Subpart F of Regulation H (12 CFR 208, subpart F) is issued by the Board of Governors of the Federal Reserve System under sections 9, 11, 21, 25, and 25A of the Federal Reserve Act (12 USC 321-338a, 248(a), 248(c), 481-486, 601, and 611), section 7 of the International Banking Act (12 USC 3105), section 3 of the Bank Protection Act of 1968 (12 USC 1882), sections 1814, 1816, 1818, 1831o, 1831p-1, and 1831r-1 of the FDI Act (12 USC 1814, 1816, 1818, 1831o, 1831p-1, and 1831r-1), and the Bank Secrecy Act (31 USC 5318).

(b) Purpose and scope. This subpart F describes a member bank’s obligation to implement security procedures to discourage certain crimes, to file suspicious-activity reports, and to comply with the Bank Secrecy Act’s requirements for reporting and recordkeeping of currency and foreign transactions. It also describes the examination schedule for certain small insured member banks.