What are considered 'red flags' in money laundering?

In the context of money laundering, 'red flags' refer to warning signs that indicate suspicious or potentially illegal activity. Identifying these red flags is crucial for financial institutions and law enforcement agencies as it helps them recognize and prevent the movement of illicit funds through the financial system.

When certain behaviors or transactions deviate from established norms or exhibit unusual patterns—such as large cash deposits, rapid movement of funds between accounts without clear justification, or transactions involving high-risk jurisdictions—these become critical indicators that further investigation may be necessary. Recognizing these warning signs allows organizations to take appropriate action, such as filing suspicious activity reports (SARs) or conducting enhanced due diligence on customers.

In contrast, the other options do not address the nature of red flags in money laundering. For instance, indicators of customer interest and symbols denoting legitimate transactions do not imply any suspicious activity, while criteria for customer satisfaction focuses on customer service aspects, rather than recognizing illegal activities. Thus, the emphasis on identifying warning signs is what makes this choice the most appropriate in the context of money laundering scenarios.