The lawsuit, initiated on behalf of the Black Economic Council of Massachusetts (BECMA), the African Community Economic Development of New England (ACEDONE), and three black women business owners in Massachusetts, contends that the CTA infringes upon the privacy rights of business proprietors. They argue that it disproportionately impacts minority-owned businesses, thus violating several amendments to the US Constitution.
Under the CTA, over 32 million small businesses nationwide are compelled to disclose the names, dates of birth, addresses, and government ID numbers of their beneficial owners. This information, collected by the Financial Crimes Enforcement Network (FinCEN), can be shared with law enforcement agencies, regulators, financial institutions, and even foreign governments. Failure to comply can lead to substantial fines and imprisonment.
