A law enforcement agency is reviewing a suspicious transaction report (STR) filed by a financial institution for suspicious activity on a client's account.
Subsequently, the agency requests further information.
Which supporting documentation might the law enforcement agency request from the institution to facilitate its investigation?
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A. B. C. D.B
When a financial institution files a suspicious transaction report (STR) with the relevant authorities, it is essentially notifying the authorities of potentially illicit or suspicious activities on a client's account. The authorities will then review the report and, if necessary, request additional information from the institution to facilitate their investigation.
In this scenario, the question asks which supporting documentation the law enforcement agency might request from the institution to aid its investigation. Let's examine the options provided:
A. Previously filed STRs on the same customer
This option refers to any other STRs that the institution may have filed on the same customer in the past. The reasoning behind this request is that reviewing past STRs could provide additional context to the suspicious activity currently under investigation, or reveal patterns of behavior that could aid the investigation.
B. Account opening documents and account statements
Account opening documents typically include the client's identification information, such as their name, address, and identification number, as well as the nature of the account and any related agreements or disclosures. Account statements show transaction activity on the account. Requesting these documents would allow the authorities to verify the client's identity, understand the nature of the account, and review transaction activity to determine the source and destination of funds and any associated parties.
C. Copies of promotional materials sent to the customer
This option refers to any promotional materials, such as advertisements or brochures, that the institution may have sent to the customer. It is unlikely that promotional materials would be relevant to an investigation, unless they contained information that was directly related to the suspicious activity.
D. A copy of the institution's STR policy and procedures
This option refers to the institution's policy and procedures for filing STRs. Requesting this documentation would allow the authorities to understand how the institution identifies and reports suspicious activity, and whether its policies and procedures comply with regulatory requirements.
Based on the above analysis, it is clear that options A, B, and D are the most relevant supporting documentation that the law enforcement agency might request from the institution to aid its investigation. Option C is unlikely to be relevant unless the promotional materials contained information that was directly related to the suspicious activity.