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May 11, 2009
Categories: BSA

SAR Buzzer Beaters; Online Training

With all the games taking place in the never-ending NBA postseason, I thought I'd pass along this question and answer that touches upon the timing of SAR filings.  So, when does the dreaded clock start ticking?  From the date of the alleged suspicious activity?  Or from the date when you learn about it?  Read on... 

Question: There is some confusion within our credit union as to when the clock starts ticking for suspicious activity reporting. We have 30 days to file a Suspicious Activity Report (SAR). Is that 30 days from the day of the actual transaction or 30 days from when we determine we need to file a report?

 

Answer: The Bank Secrecy Act (BSA) file rules require credit unions to file a SAR no later than 30 calendar days from the date of the initial detection of facts that indicate a SAR is required. The Financial Crimes Enforcement Network (FinCEN) notes that the 30-day (or 60-day, if the suspect cannot be identified) period does not begin until a credit union has conducted an appropriate review and determined that the transaction under review is “suspicious” within the meaning of the BSA regulations. FinCEN has further clarified that the “initial detection” of suspicious activity “does not necessarily occur on the date of the transaction(s), the date when an automated system generates a notice or red flag alert or the date when an employee initially reviews the transaction(s).” See  FinCEN SAR Activity Review – Trends, Tips & Issues, (Issue 14, October 2008), pages 37-38. Once a credit union has made its review and determined that the activity does not appear to have a business or lawful purpose and is therefore suspicious, the credit union then has 30 days from that date of determination to file a SAR.

    However, FinCEN reminds credit unions that any reviews of suspicious activity should be completed within a reasonable period of time. Issue 14 of FinCEN’s SAR Activity Review – Trends, Tips & Issues provides three excellent examples illustrating that the date of the initial detection does not necessarily trigger the 30 day filing period. You can access it here.

 

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NAFCU is getting ready to launch a new online training program that I designed.  Get some details about it here.  I had a lot of fun with this project, and I'm very excited about it.  Then again, I'm hugely biased.

 

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I know it is a Monday.  But cheer up.  As this photo points out, Summer cannot be far away.  I just have to find a way to keep flip-flops on their feet.  My idea of duct tape was quickly shot down by Mandy.  I told her I was kidding, but I think Mandy has her doubts.

 

Summertime

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