Who can file a Suspicious Activity Report?

The option stating that any financial institution that suspects suspicious activity can file a Suspicious Activity Report (SAR) is correct because the obligation to report identified suspicious activities falls on all financial institutions, not just a specific subset of employees or regulatory agencies. Under the Bank Secrecy Act (BSA) and related regulations, any financial institution, including banks, credit unions, and broker-dealers, is required to file a SAR when they suspect that a transaction or activity involves fraud, money laundering, or other financial crimes. This encourages a proactive approach to detecting and reporting potential illegal activities.

While compliance officers play a pivotal role in overseeing the process and training staff on how to identify suspicious activities, they are not the only individuals authorized to file a SAR. Instead, the duty to report is shared across the institution, enabling greater vigilance against financial crimes. Other options incorrectly limit the filing responsibility to specific individuals or agencies, which does not align with the broader regulatory framework intended to combat illicit financial activities.