SIE practice questionmediumAnti-Money Laundering
Under the Bank Secrecy Act, broker-dealers must file a Suspicious Activity Report (SAR) when they detect transactions involving what minimum amount that may involve suspicious activity?
- A$10,000
- B$2,000
- C$5,000✓ Correct answer
- DAny amount
Explanation
Why C — $5,000
Broker-dealers must file a SAR for transactions of $5,000 or more that the firm knows, suspects, or has reason to suspect involve illegal funds, are designed to evade reporting requirements, or have no apparent lawful purpose. SARs are filed with FinCEN. The $10,000 threshold applies to Currency Transaction Reports for cash transactions, not SARs.
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