BSA/AML Examiner School Case Study

Internal Use Only

Recordkeeping Requirements for Incoming Wires........................................................................... 50 Pay Upon Proper Identification ........................................................................................................ 50 Retrievability Rules .......................................................................................................................... 50 OFAC Compliance............................................................................................................................ 50 XVII. Information Sharing – USA PATRIOT Act Policy and Procedures ...................................... 51 Overview........................................................................................................................................... 51 Section 314(a) ................................................................................................................................... 51 Section 314(b) ................................................................................................................................... 52 Notice Requirement .......................................................................................................................... 52 Verification Requirement.................................................................................................................. 52 Use of Information ............................................................................................................................ 52 Safe Harbor Liability ........................................................................................................................ 52 Information Sharing Between Financial Institution and the Federal Government ........................... 53 XVIII. Office of Foreign Assets Control (OFAC) Policy and Procedures..................................... 53 Overview........................................................................................................................................... 53 OFAC Compliance Program............................................................................................................. 54 Update Scanning for OFAC.............................................................................................................. 55 Structure of Accountability............................................................................................................... 55 Maintaining License Information ..................................................................................................... 56 Blocking/Rejecting Transactions ...................................................................................................... 56 Training............................................................................................................................................. 57 Civil Penalties ................................................................................................................................... 57 Audit Program................................................................................................................................... 57 Recordkeeping and Record Retention .............................................................................................. 58 Wire Transfers Department Procedures............................................................................................ 58 OFAC Screening for ACH Transactions .......................................................................................... 59 Commercial Loans/Consumer Loans/Letters of Credit .................................................................... 59 Real Estate Loans.............................................................................................................................. 60 Retail Banking — New Accounts and Operations Personnel........................................................... 60 XIX. Special Measures (Section 311 of the Patriot Act) Policy and Procedures ............................ 60 Overview........................................................................................................................................... 60 Special Measures .............................................................................................................................. 61 XX. Additional Retention of Records Policy and Procedures ........................................................... 62

For Training Purposes Only

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