What is required of financial institutions under the Annunzio-Wylie money laundering act?

Under the Annunzio-Wylie Money Laundering Act, financial institutions are required to file a Suspicious Activity Report (SAR) when they detect potentially suspicious or illegal activities. The act emphasizes the importance of vigilance in identifying and reporting such activities, thereby enhancing the ability of law enforcement and financial regulatory authorities to combat money laundering and related crimes. Filing an SAR is crucial because it notifies authorities of potential money laundering activities without alerting the client, which could thwart investigations and allow illicit activities to continue unchecked. This requirement underscores the role of financial institutions as gatekeepers in the financial system and their responsibility in maintaining integrity and compliance with anti-money laundering regulations. Other options do not reflect the specific requirements set forth by the act, making them less relevant in this context.