New safeguards have been added, he said, noting that SWIFT officials are now allowed to be present when analysts search the data and to raise objections with top officials.
Officials from other government agencies have raised the issue of accessing the records for other investigative purposes, but Levey said such proposals have been rejected -- largely out of concern that doing so might erode support for the program.
Asked what would prevent the data from being used for other purposes in the future, Levey said doing so would likely trigger objections from SWIFT and the outside auditor.
A SWIFT representative said that Booz Allen Hamilton, an international consulting firm, is the auditor but provided no further details on how the oversight process works.
Although the searches focus on suspected terrorist activity overseas, U.S. officials acknowledged that they do delve into the financial activities of Americans, noting that privacy laws don't protect individuals believed to be acting as a "foreign terrorist agent."
Officials said the administration has briefed congressional intelligence committees on the SWIFT program. In contrast, information on the NSA wiretapping was shared only with key lawmakers. One senior congressional aide said the committees have "a good handle on what the executive branch is doing to track terrorist financing" and are generally supportive of those efforts.
But the operation seems to have been kept secret from key segments of the banking industry, including senior executives in the United States and overseas.
John McKessy, chairman of the SWIFT user group in the United States, said he was unaware of any such program. McKessy represents companies and institutions that are not members of the SWIFT cooperative but use its messaging system.
SWIFT noted that its published policies clearly indicate that it cooperates with law enforcement authorities and that the subpoenas were "discussed carefully within the board," made up of members from 25 major banks. SWIFT said it has also kept informed an oversight committee drawn from the central banks of the major industrial countries.
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The SWIFT program plugs a gap in global efforts to track terrorism financing.
In the United States, law enforcement authorities can access bank records if they get permission through the legal process. The FBI also has various legal ways to get almost instantaneous access to financial records. And U.S. banking laws require financial institutions to file Suspicious Activity Reports, but authorities believe Al Qaeda and other terrorist groups know how to evade the activities that trigger such red flags.
