Regulatory Alerts2010-11-23
Added
Guidance on Sharing Suspicious Activity Reports by Depository Institutions with Certain U.S. Affiliates
FinCEN guidance confirms that a depository institution may share a Suspicious Activity Report or information revealing its existence with an affiliate subject to a SAR regulation, provided the affiliate is not permitted to further share the report with its own affiliates. An affiliate is defined as any company under common control with or controlled by the depository institution, specifically involving ownership of 25 percent or more of voting securities or control over the election of a majority of directors. The guidance maintains that sharing with head offices or controlling companies remains permissible and consistent with the Bank Secrecy Act. Depository institutions must ensure their affiliates protect the confidentiality of the shared information and must not disclose the report if there is reason to believe it may reach any person involved in the suspicious activity.