When a financial institution (FI) is requested to provide data and information to a law enforcement agency for matters related to financing of terrorism, assistance:
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A. B. C. D.B
https://www.fatf-gafi.org/media/fatf/documents/reports/AML_CFT_Measures_and_Financial_Inclusion_2013.pdfAccording to international AML/CFT standards and various national AML/CFT laws and regulations, when a financial institution (FI) is requested by a law enforcement agency to provide data and information related to the financing of terrorism, the FI cannot refuse such a request on the grounds of bank secrecy (option B).
Bank secrecy is a legal principle that protects the confidentiality of customer information held by banks and other financial institutions. It is an important principle in the financial industry to protect customer privacy, but it is not an absolute right, especially when it comes to matters of national security, public safety, and crime prevention.
Financing of terrorism is a serious crime that threatens the security and stability of nations, and it is a priority for law enforcement agencies to investigate and prevent such activities. FIs are required to cooperate with law enforcement agencies to combat terrorism financing, and they are legally obligated to provide relevant data and information upon request.
However, FIs should take steps to protect the privacy and confidentiality of customer information while complying with the request. For example, FIs should ensure that the request is legitimate and authorized, that the information provided is relevant and proportionate, and that the transfer of data is secure and protected.
Additionally, FIs should be careful not to disclose any information that could potentially tip-off or warn the suspects or compromise the investigation. Tipping-off is a criminal offense that occurs when an FI discloses to a customer or third party that an investigation or suspicion of ML/TF activity exists. Therefore, the FI cannot refuse to provide data and information on the grounds of tipping-off (option D), but they must ensure that they do not disclose any information that could compromise the investigation.
In summary, when a law enforcement agency requests data and information related to the financing of terrorism, FIs cannot refuse such requests on the grounds of bank secrecy or tipping-off. However, FIs should take steps to protect the privacy and confidentiality of customer information while complying with the request.