Regulations Requiring
Additional Records to be Made and Retained by Brokers or Dealers in
Securities (31 CFR 1023.410)
Extension without change of a currently approved collection
No
Regular
10/30/2024
Requested
Previously Approved
36 Months From Approved
10/31/2024
3,478
3,640
347,800
364,000
0
0
Pursuant 31 CFR 1023.410(a), a broker
or dealer in securities is required to secure and maintain a record
of certain identifying information for persons who have opened
brokerage accounts during the period from June 30, 1972 to October
1, 2003. The customer identification program (CIP) requirement for
brokers or dealers in securities has effectively superseded that
requirement, and CIP requirements are not considered in connection
with this OMB control number renewal. Pursuant to 31 CFR
1023.410(b), a broker or dealer in securities must retain an
original or copy of: (1) each document granting signature or
trading authority over each customer’s account; (2) 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; (3) a record of each receipt of currency, other monetary
instruments, investment securities, or checks, and of each transfer
of funds or credit, of more than $10,000 on any one occasion, not
through a domestic financial institution, from any person, account,
or place outside the United States; and (4) each record described
in paragraphs (1), (2), (3), (5), (6), (7), (8), and (9) of 17 CFR
240.17a-3(a). To the extent that these records include originals or
copies of checks, drafts, monetary instruments, investment
securities, or other similar instruments, copies of front and back
of such instruments must generally be retained. If no record is
made in the ordinary course of business of any transaction with
respect to which records are required to be retained, then such a
record shall be prepared in writing. Records must be maintained for
five years.
The estimated total annual
burden hours decreased by 16,200 hours from 364,000 hours in 2020
to 347,800 hours in 2024, although the annual hourly burden
estimate for these recordkeeping requirements remained the same as
in 2020. The reduction is solely a result of a decrease in the
estimated number of brokers or dealers in securities from 3,640 in
2020 to 3,478 in 2024.
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.