A law enforcement agency is conducting an investigation on a FI. How should the FI respond to the law enforcement agency's requests?
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A. B. C. D.B
When a law enforcement agency conducts an investigation on a financial institution (FI), it is essential that the FI responds appropriately to any requests made by the law enforcement agency. The FI should act promptly and cooperatively with the law enforcement agency, as failure to do so may lead to regulatory or legal consequences.
In this scenario, options A and D are not appropriate responses for the FI to take. Option A suggests sharing information about the investigation with analysts so they are aware, but this may not be in compliance with privacy laws and could compromise the investigation. Option D suggests delaying responses by informing senior management of requests, but this may not be acceptable to the law enforcement agency if they require urgent information.
Option C is not a viable response, as it is not appropriate to disregard requests from law enforcement agencies, even if there is a justifiable reason for doing so. Failure to comply with such requests may lead to regulatory or legal consequences for the FI.
Therefore, the best response for the FI to take is option B, which is to address all requests completely and in a timely manner. This means that the FI should provide the requested information to the law enforcement agency as soon as possible, while ensuring that they are complying with relevant privacy laws and regulations. The FI should also ensure that the requests are addressed comprehensively, with all relevant information provided to the law enforcement agency.
In summary, the appropriate response for an FI to take when faced with requests from a law enforcement agency during an investigation is to address all requests completely and in a timely manner, while ensuring compliance with privacy laws and regulations. Failure to do so may lead to regulatory or legal consequences for the FI.