WASHINGTON, Dec.6 (Reuters) – The Biden administration wants to shed new light on transactions in which people pay cash for homes as part of a broad anti-corruption campaign promoted at the United States Democracy Summit, officials said.

In June, President Joe Biden ordered authorities to develop policies to thwart illegal activity. Their initial proposals are outlined in a 38-page US national security strategy on fighting corruption released on Monday.

The US Treasury Department said it is working on a new rule to better identify who is behind all-cash real estate transactions and to see if those purchases are being used to harbor illegal profits.

“The ability of illicit actors to launder the proceeds of crime through the purchase of real estate,” the Treasury said, “threatens US national security and the integrity of the US financial system.”

The agency may also require more investment funds, such as hedge funds and private equity vehicles, to engage in anti-money laundering efforts. And they expect to announce new efforts this week to create a database that identifies the owners of shell companies used to transfer money anonymously.

The moves come after a series of leaked documents, including the October release of the Pandora Papers, raised questions about how government officials and others are quietly moving money overseas, potentially to evade taxes or responsibility for wrongdoing.

Biden is hosting a virtual summit with 110 attendees on Thursday and Friday as part of an effort to confront what his administration sees as authoritarian forces led by China and Russia.

Reporting by Trevor Hunnicutt; Editing by Stephen Coates

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