Which statement is true regarding the Financial Action Task Force standards for suspicious activity reports (SARs) information sharing within a financial group?

The correct answer is A. Financial institutions should establish sufficient safeguards concerning the confidentiality of. According to the Financial Action Task Force (FATF) standards for suspicious activity reports (SARs) information sharing within a financial group, "Financial institutions should establish adequate procedures to ensure that confidentiality of information is maintained and that…

Compliance Standards (International AML/CFT Standards and the role of FATF)

Question

Options

AFinancial institutions should establish sufficient safeguards concerning the confidentiality of
BFinancial institutions must require approval from regulators to share SARs information and
CFinancial institutions must retain copies of SARs and supporting documentation for five years
DFinancial institutions cannot share customer information at all since it is confidential.

How the community answered

(24 responses)

A
75% (18)
B
13% (3)
C
4% (1)
D
8% (2)

Explanation

According to the Financial Action Task Force (FATF) standards for suspicious activity reports (SARs) information sharing within a financial group, "Financial institutions should establish adequate procedures to ensure that confidentiality of information is maintained and that information is only used for purposes permitted under national law. Where the parent institution is located in a country that does not permit such sharing, financial institutions should take measures to address this limitation". Therefore, financial institutions must establish sufficient safeguards concerning the confidentiality of information shared for AML purposes.

Topics

#SAR confidentiality#information sharing#FATF standards#financial groups

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