Alert October 19, 2010

FinCEN Publishes SAR Activity Review with Analysis of SAR Filings Related to Commercial Real Estate Investment Vehicles

FinCEN, under the auspices of the Bank Secrecy Act Advisory Group, published the October 2010 edition of its SAR Activity Review.  This edition of the SAR Activity Review (the “October 2010 Review”) contains analysis of Suspicious Activity Reports (“SARs”) filed by firms in the securities and futures industries related to commercial real estate investment vehicles, such as real estate investment trusts (“REITs”) and commercial mortgage backed securities (“CMBS”). 

The October 2010 Review also provides examples of suspicious fact patterns reported in SARs involving REITs or CMBS.  Moreover, it provides an analysis of SAR filings by depository institutions whose narratives contain the terms “debt relief” and “debt settlement,” as well as an analysis of inquiries received by FinCEN’s Regulatory Helpline.