FinCEN delays implementation of anti-money laundering rule

"In a press release, FinCEN the decision was made to reduce business burden and ensure effective regulation. FinCEN is taking this step to provide industry with more time to comply consistent with the Administration's agenda to reduce compliance burden while still adequately protecting the U.S. financial system from money laundering, terrorist financing, and other serious illicit finance threats, the release states."

"To implement the extension, FinCEN has issued a temporary order that grants exemptive relief from the reporting requirements. FinCEN noted that in the meantime, the Geographic Targeting Orders remain in effect. The rule is currently at the center of a lawsuit filed against FinCEN and its director Andrea Gacki, as well as the Department of the Treasury and its secretary, Scott Bessent by title insurance firm Fidelity National Financial."

"Most recently FNF has claimed that the implementation of the rule will cause it irreparable harm, and it has asked the court for a preliminary injunction delaying the enforcement of the rule. Earlier this month, the suit's defendants, which include FinCEN, told the court in a legal filing that delaying the implementation of the rule was improper. They also argued that an injunction would disrupt FinCEN's enforcement efforts and national security goals."

FinCEN issued a temporary order granting exemptive relief from certain reporting requirements to extend compliance time and reduce business burden while maintaining effective regulation. Geographic Targeting Orders remain in effect during the extension. The extension aims to align with the Administration's agenda to reduce compliance burden while protecting the U.S. financial system from money laundering, terrorist financing, and other illicit finance threats. Fidelity National Financial filed a May 2025 lawsuit naming FinCEN, its director Andrea Gacki, the Department of the Treasury, and Secretary Scott Bessent, seeking a preliminary injunction and summary judgment. Defendants argued that an injunction would disrupt enforcement efforts and national security goals. The American Land Title Association filed an amicus brief supporting FNF's summary judgment motion.

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