"A. 3. Under the Corporate Transparency Act, who can access beneficial ownership information?
FinCEN will permit Federal, State, local, and Tribal officials, as well as certain foreign officials who submit a request through a U.S. Federal government agency, to obtain beneficial ownership information for authorized activities related to national security, intelligence, and law enforcement. Financial institutions will have access to beneficial ownership information in certain circumstances, with the consent of the reporting company. Those financial institutions' regulators will also have access to beneficial ownership information when they supervise the financial institutions.
After an authorised person obtains the information on beneficial ownership from the FinCen database, can they transfer it to their agents. If they share the information with others then will they, in every instance, bind those agents to appropriate obligations of confidentiality. What is the penalty if the information gets leaked, accidentally. If it is leaked, then what incentives are there to pursue enforcement. Arguably, for those affected, it's too late. The information has become public. There is no way to put the genie back in the bottle.
This reporting requirement is relatively new. Maybe it really changes nothing. We shall see. But the number of parties who potentially have access to information about Delaware LLCs has increased, IMHO. At this point, is it even possible to know who might have it.
https://www.delawarebusinessincorporators.com/blogs/news/ben...
"A. 3. Under the Corporate Transparency Act, who can access beneficial ownership information?
FinCEN will permit Federal, State, local, and Tribal officials, as well as certain foreign officials who submit a request through a U.S. Federal government agency, to obtain beneficial ownership information for authorized activities related to national security, intelligence, and law enforcement. Financial institutions will have access to beneficial ownership information in certain circumstances, with the consent of the reporting company. Those financial institutions' regulators will also have access to beneficial ownership information when they supervise the financial institutions.
[Updated January 4, 2024]"
https://www.fincen.goc/boi-faqs
That includes prosecutors and courts.
After an authorised person obtains the information on beneficial ownership from the FinCen database, can they transfer it to their agents. If they share the information with others then will they, in every instance, bind those agents to appropriate obligations of confidentiality. What is the penalty if the information gets leaked, accidentally. If it is leaked, then what incentives are there to pursue enforcement. Arguably, for those affected, it's too late. The information has become public. There is no way to put the genie back in the bottle.
https://www.ecfr.gov/current/title-31/subtitle-B/chapter-X/p...
This reporting requirement is relatively new. Maybe it really changes nothing. We shall see. But the number of parties who potentially have access to information about Delaware LLCs has increased, IMHO. At this point, is it even possible to know who might have it.