Clifford Chance
AML and Cybersecurity: FinCEN's Advisory
2 November 2016
On October 25, 2016, the Financial Crimes Enforcement Network issued an advisory providing guidance to financial institutions on how Bank Secrecy Act regulations apply to cyber events, cyber-enabled crime, and cyber-related information. In particular, the advisory focuses on Suspicious Activity Reports submissions for both cyber-events and cyber-related information. The advisory provides guidance with respect to: (i) SAR reporting in connection with cyber-enabled crime and cyber events; (ii) including relevant cyber-related information in SARs; (iii) encouraging collaboration between in-house cybersecurity units and AML units; and (iv) sharing cyber-related information among financial institutions to combat money laundering, terrorism financing, and cyber-enabled crime. The advisory provides SAR-filing related guidance in the context of cyber events. FinCEN states specifically that the advisory "does not change existing BSA requirements or other regulatory obligations for financial institutions."
