The Supreme Court cleared the way on Thursday for the enforcement of an anti-money laundering federal law that requires corporate entities to disclose the identities of their real beneficial owners to the Treasury Department.
The justices put on hold a nationwide injunction issued on Dec. 3 by a federal judge in Texas who had concluded that Congress had overstepped its powers under the U.S. Constitution in passing the Corporate Transparency Act. The 2021 law was challenged in court by small businesses.
The justices acted after the New Orleans-based 5th U.S. Circuit Court of Appeals allowed the injunction to take effect ahead of a Jan. 13 deadline that most companies had faced to submit their initial reports to the Treasury Department’s Financial Crimes Enforcement Network, known as FinCEN.
Our SCOTUS is so confusing. Maybe because they know it has no teeth now?