Photo by Alexander Grey
A U.S. appeals court has reinstated a nationwide injunction halting enforcement of an anti-money laundering law requiring corporate entities to disclose their beneficial ownership information.
On December 27, 2024, the U.S. Court of Appeals for the Fifth Circuit granted an emergency motion from the plaintiffs in Texas Top Shop Inc. v. Garland, which had previously resulted in a preliminary injunction issued by the U.S. District Court for the Eastern District of Texas on December 3, 2024. This injunction had blocked the implementation of the Corporate Transparency Act (CTA), which mandates that many corporations report their beneficial owners to the Financial Crimes Enforcement Network (FinCEN) by January 1, 2025.
The Fifth Circuit panel, consisting of Judges Carl E. Stewart, Catharina Haynes, and Stephen A. Higginson, determined that the government would suffer irreparable harm if the stay were not granted. The judges noted that enforcing the CTA is crucial for combating financial crimes and protecting national security.
This decision comes amid ongoing debates regarding the constitutionality of the CTA and its implications for corporate transparency in financial dealings. The deadline for compliance has now been extended to January 13, 2025, as FinCEN adjusts its timelines in light of this ruling.
For further details on this developing story, refer to the original article from Reuters.
Sources:
[1] https://www.dlapiper.com/en-us/insights/publications/2024/12/corporate-transparency-act-deadline-extended
[2] https://www.skadden.com/insights/publications/2024/12/fifth-circuit-panel-stays-nationwide-injunction
[3] https://edis.ifas.ufl.edu/publication/WC193
[4] https://spcollege.libguides.com/c.php?g=254319&p=1695316
[5] https://www.aol.com/news/us-appeals-court-halts-enforcement-133516622.html
[6] https://guides.library.illinois.edu/periodicals/article
[7] https://www.reuters.com/legal/us-appeals-court-halts-enforcement-anti-money-laundering-law-2024-12-27/
[8] https://www.linkedin.com/pulse/how-write-quote-research-news-story-richard-berks
[9] https://www.journalofaccountancy.com/news/2024/dec/appeals-court-reinstates-injunction-that-halts-boi-enforcement.html
[10] https://today.westlaw.com/Document/I09d2ad30c45911efad5f8b04574b1368/View/FullText.html?transitionType=CategoryPageItem&contextData=%28sc.Default%29
On January 17, 2025, the U.S. Supreme Court upheld a law that mandates the sale of TikTok, threatening the popular video-sharing app with a ban in the United States if its Chinese parent company, ByteDance, does not divest its stake by January 19. This ruling aligns...
On January 3, 2025, U.S. Surgeon General Vivek Murthy announced a significant public health recommendation urging that alcoholic beverages carry warning labels about the cancer risks associated with alcohol consumption. This proposal comes amid growing research...
A court has ruled that the spouse of a former Starbucks employee cannot be compelled to arbitrate claims under the Employee Retirement Income Security Act (ERISA). On December 16, 2024, the U.S. Court of Appeals for the Ninth Circuit issued a decision stating that the...
On December 8, 2024, the amended lawsuit was submitted, naming Jay-Z, whose real name is Shawn Carter, as a co-defendant in the case initially filed against Combs in October. The plaintiff, referred to as "Jane Doe," claims that the assault occurred at an after-party...
A federal appeals court has ruled that Idaho cannot prosecute doctors for referring patients to out-of-state abortion services, a decision that has significant implications for reproductive health care in the state. On December 4, 2024, the 9th U.S. Circuit Court of...
The U.S. Supreme Court is set to hear arguments on December 4 regarding a pivotal case concerning transgender health care rights, specifically the constitutionality of Tennessee's law banning gender-affirming medical treatments for minors. This case, known as U.S. v....
Apple is set to ask a federal judge to dismiss the U.S. Department of Justice's antitrust case against it, which alleges unlawful domination of the smartphone market. The hearing is scheduled for Wednesday, November 20, 2024, in Newark, New Jersey. U.S. District Judge...
A New York federal judge has dismissed a copyright infringement lawsuit against OpenAI, brought by news outlets Raw Story and AlterNet, over allegations of unauthorized use of their articles for training AI models. The ruling was issued on November 7, 2024, by Judge...