CFTC Requests That NFA Members Provide Information on Suspicious Activity Report Filings: NFA Notice I-14-04
The National Futures Association ("NFA") issued a notice regarding a January 8, 2014, letter from the CFTC requesting that all futures commission merchants ("FCMs") and introducing brokers ("IBs") make available certain information on suspicious activity report filings.
The Bank Secrecy Act and its implementing regulations issued by the Financial Crimes Enforcement Network ("FinCEN") prohibit FCMs and IBs from disclosing that a Suspicious Activity Report ("SAR"), or any information regarding the SAR, was filed. The regulation provides, however, that FCMs and IBs are permitted to make SAR information available to the NFA only upon the request of the CFTC.
The CFTC letter to the NFA requested that all FCMs and IBs make the following information available to the NFA, if requested:
- SARs;
- Information revealing the existence or non-existence of SARs; and
- SAR-supporting documentation.
The CFTC letter specified that the NFA may make these requests in relation to any examination or investigation and for risk assessment purposes. Additionally, the CFTC letter stated that, although CPOs and CTAs are not required to file SARs, the CPO and/or CTA must make the information available to the CFTC upon request for any SARs voluntarily filed.
See: NFA Notice I-14-04.See also: January 8 CFTC Letter to NFA. See generally: Guide to Anti-Money Laundering Regulation (subscribers only).