Internal Suspicious Activity Report (iSAR) Workflow Quiz

Internal Suspicious Activity Report (iSAR)

• Crucial in identifying patterns or trends in suspicious activities, enabling the NCCU to implement preventive measures and enhance risk management strategies.

Red Flags

• Examples of potentially suspicious activity or behavior that require additional scrutiny by the Compliance Officer.
• Identification of a red flag does not imply criminal activity, but signals the need for further investigation.

Red Flag Indicators

• Provides insufficient or suspicious information, such as unusual or unverifiable identification documents.
• Reluctance to provide complete due diligence information when establishing a new account.
• Frequent large transactions with no record of past or present employment.

Suspicious or Unusual Transactions

• When faced with a suspicious or unusual transaction, submit an iSAR to the Compliance Officer within one day.
• Submission is confidential; refrain from informing anyone of your action.

Safety and Value in Reporting Suspicious Activity

• Submitted iSAR details are confidential and only seen by the Compliance Officer.
• Filing an iSAR protects employees against fines for failure to report suspicious activity.
• Contributes to the overall safety and integrity of the NCCU.

Key Terms

• iSAR (Internal Suspicious Activity Report): A form completed by employees to report suspicious transactions or activities.
• Know Your Customer (KYC): A due diligence process to verify members' identities and monitor their level of risk.
• Letter of Administration: A legal document authorizing an individual or group to act on behalf of a deceased person's estate.
• Memorandum of Transfer (MOT): A legal document used to formally transfer property ownership.
• Money Laundering: Engaging in transactions involving money or property derived from unlawful activity.