Though the U.S. Supreme Court stayed a nationwide injunction against the CTA on January 23, 2025 (McHenry v. Texas Top Cop Shop Inc.), a separate injunction issued by Judge Jeremy Kernodle of the U.S. District Court for the Eastern District of Texas in the case Smith v. U.S. Department of the Treasury on January 3, 2025, remains in effect. As a result, the CTA’s reporting requirements are currently still suspended nationwide.
In a statement released by FinCEN, the agency confirmed:
“On January 23, 2025, the Supreme Court granted the government’s motion to stay a nationwide injunction issued by a federal judge in Texas (Texas Top Cop Shop). As a separate nationwide order issued by a different federal judge in Texas (Smith) still remains in place, reporting companies are not currently required to file beneficial ownership information with FinCEN despite the Supreme Court’s action in Texas Top Cop Shop. Reporting companies also are not subject to liability if they fail to file this information while the Smith order remains in force. However, reporting companies may continue to voluntarily submit beneficial ownership information reports.”
Many in the numismatic community, particularly coin dealers and related businesses, may fall under the CTA’s definition of “reporting companies” and may submit beneficial ownership reports to FinCEN voluntarily while the injunction is in effect, though they will not face penalties for not doing so.
Although the Supreme Court’s recent decision allowed one injunction to be lifted, it did not address the constitutionality of the CTA itself. The Texas Top Cop Shop case will now proceed in the U.S. Court of Appeals for the Fifth Circuit, while the Smith injunction continues to block enforcement.
As the situation evolves, business owners should remain aware and proactive. NCBA will keep its members informed of future developments. For additional resources and updates, visit the FinCEN website or consult with qualified legal counsel.
Quickly making its way through the legislative process, the House of Representatives passed a bill aiming to give small-business owners much-needed certainty and relief from beneficial ownership information
One of India’s law enforcement agencies has uncovered a money laundering operation involving fake invoices issued by purported shell companies in Singapore for software and other services. The Enforcement
The US Treasury Department and the Securities and Exchange Commission proposed new rules that aim to keep investment funds from being used to launder money or fund terrorist activity. US authorities
Hedge funds piled into long positions on U.S. real estate investment stocks in the week ending Friday, the sixth straight week that these speculators bet on a rebound in commercial and industrial properties,