casemark/sar-filing

SAR Filing

Drafts a FinCEN-ready SAR (Form 111) from transaction records, investigation files, and institutional data.

Prerequisites

Gather before drafting:

1. Transaction records — amounts, dates, account numbers, instrument types
2. CIP/KYC documentation — government IDs, SSN/TIN, beneficial ownership
3. Investigation file — alerts, internal notes, employee observations
4. Filer details — institution legal name, EIN, LEI, regulator, SAR contact
5. Prior SAR history (continuing filings) — BSA IDs, filing dates

Quick Start

1. Determine filing type: Initial / Continuing / Corrective
2. Verify thresholds: ≥$5,000 (subject identified) or ≥$25,000 (no subject)
3. Confirm deadline: 30 days from detection (60 if no subject identified)
4. Draft sections in order below
5. Run compliance checklist before submission

SAR Sections

1. Filing Header

| Field | Detail | |---|---| | Filing type | Initial / Continuing / Corrective | | Institution | Legal name, EIN/LEI | | Regulator | OCC / Fed / FDIC / NCUA / State | | SAR contact | Name, title, phone, secure email | | Detection date | When activity first identified | | Filing deadline | 30 days (60 if no subject) | | Prior BSA ID | If continuing: reference number + new trigger |

2. Subject Identification

Classify each party: Subject, Purchaser/Sender, Payee/Receiver, Other.

Individuals: Legal name, aliases, DOB, SSN/ITIN, address, government ID (type/number/jurisdiction/expiration). Foreign nationals: passport, citizenship, visa, high-risk jurisdiction nexus.

Entities: Legal name, DBAs, EIN, formation state/date, business nature, beneficial owners (≥25% ownership or substantial control).

Relationships: Document familial, business, signatory, nominee, or intermediary connections between parties.

3. Account Detail

For each account: number, type, open date, status (active/closed/restricted/frozen), holders/signers, stated purpose, baseline activity profile, and deviations triggering concern.

Include: branch contacts, prior compliance concerns, correspondent/MSB/processor relationships with fund-flow tracing, CIP/CDD/EDD procedures performed, closure details if applicable.

4. Activity Classification

Select FinCEN categories:

| Category | Examples | |---|---| | Structuring | Below CTR thresholds | | Money laundering | Layering, integration, funnel accounts | | Terrorist financing | OFAC/SDN nexus | | Fraud | Check kiting, wire fraud, elder exploitation | | Identity crimes | Synthetic ID, stolen credentials | | Cyber | Account takeover, intrusion-related transfers | | Sanctions evasion | Sanctioned jurisdictions/persons | | Other | Unlicensed MSB, trade-based ML, human trafficking |

Thresholds: ≥$5,000 (subject identified) / ≥$25,000 (no subject). For blocked/attempted transactions, explain why filing is warranted. Confirm no exemption applies and filing is not duplicative.

State total dollar amount, currency, and complete time period.

5. Narrative

Address Who/What/When/Where/Why/How chronologically:

1. Detection — How identified (alert, referral, LE inquiry, audit); specific trigger; why not false positive
2. Timeline — Each significant transaction: date, type, amount, source→destination, stated purpose, unusual characteristics
3. Red flags — Map facts to indicators: reluctance to provide info, no economic purpose, rapid in/out movement, structuring, shell companies, high-risk jurisdictions, profile inconsistencies. Cite FFIEC BSA/AML Manual or FinCEN advisories where applicable.
4. Investigation — Customer contact attempts and responses, why insufficient, public records research, prior SARs (BSA IDs and dates)
5. Conclusion — Factual basis for filing. Objective tone only — no conclusions about criminal intent.

6. Supporting Documentation

Index attachments by category: transaction records, customer ID docs, correspondence, monitoring system output, investigation memos, inter-institution communications. Label each with title and narrative relevance.

Compliance Checklist

• [ ] Filed within 30-day deadline (60-day if no subject)
• [ ] All mandatory Form 111 fields completed
• [ ] Narrative addresses Who/What/When/Where/Why/How
• [ ] Dollar amounts accurate and aggregated
• [ ] All dates, account numbers, IDs verified
• [ ] Senior management/board notified per policy
• [ ] Legal counsel consulted if civil liability or non-BSA issues
• [ ] Reviewing/approving officers documented
• [ ] Filed via BSA E-Filing; confirmation + BSA ID retained
• [ ] File stored separately, access restricted to need-to-know
• [ ] 5-year retention initiated from filing date
• [ ] No disclosure to any subject (31 U.S.C. § 5318(g)(2))
• [ ] No inadvertent tipping via closure letters or communications
• [ ] Immediate LE notification assessed

Critical Rules

• Confidentiality is absolute. SAR disclosure prohibition (31 U.S.C. § 5318(g)(2)) carries criminal penalties. Never reference SAR existence in customer-facing communications.
• Objectivity only. State facts and observations. Never conclude criminal guilt or legal violations.
• Over-include. FinCEN prefers detailed narratives.
• Standalone. Must be comprehensible without access to underlying bank records.
• Continuing filings must reference prior BSA IDs and identify what is new.
• Safe harbor (31 U.S.C. § 5318(g)(3)) applies to good-faith filings — document investigative process thoroughly.