Cassidy Introduces Legislation to Crack DOWN on Money Laundering, Terror Financing in ART Market

WASHINGTON –U.S. Senator Bill Cassidy, M.D. (R-LA) introduced theArt Market Integrity Actto require art dealers and auction houses to comply with anti-money-laundering (AML) and counter-terrorism financing regulations under the Bank Secrecy Act (BSA). Currently, the art market, a $25 billion industry in the United States and the largest of its kind globally, is one of the last major markets not required to meet these standards, making it vulnerable to exploitation by criminals, terrorist financiers, and other sanctioned individuals.
“Criminals and terrorists use art sales to fund their crimes,”said Dr. Cassidy.“We have similar rules for jewelry, precious metals, real estate, and more. Let’s do it for art too.”
Cassidy was joined by U.S. Senators John Fetterman (D-PA), Chuck Grassley (R-IA), Sheldon Whitehouse (D-RI), David McCormick (R-PA), and Andy Kim (D-NJ) in introducing the legislation.
Background
In recent years, the U.S. Department of the Treasuryidentifiedthe art market as particularly susceptible to money laundering and sanctions evasion. High-profile cases have spotlighted the urgent need for reform, including theindictmentof Hezbollah financier Nazem Ahmad using art as part of his scheme to launder over $160 million. Multiple Kremlin cronies have used art to evade sanctions: Arkady and Boris Rotenbergused$18 million worth of art to get around sanctions, Roman Abramovichtransferredalmost $1 billion in art to his wife ahead of new sanctions, and last year the DOJindictedAnastasia Simes for laundering money on behalf of sanctioned Kremlin crony Aleksander Udadov.
Thebillis endorsed by the Antiquities Coalition, Transparency International U.S., the FACT Coalition, FDD Action, the American Jewish Committee, Razom for Ukraine, American Coalition for Ukraine, the Initiative for the Recovery of Venezuelan Assets(INRAV), the National Border Patrol Council, and the Federal Law Enforcement Officers Association (FLEOA).
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