It seems everyone is having difficulty with filing SARs.
My problem case is this: The bank deposited a construction draw of $40m into the borrowers checking account. The borrowers spent the money and did not pay the contractor, should we file a SAR? If so, what is the suspicious activity? I'm split between filing and not due to the bank's actions!!

Do you know what the borrower spent the money on? Could this construction loan be used to launder money?

If not, then a tiff between the borrower and his/her contractor is not the stuff for SARS.

Its a ligitimate loan. The borrowers apparently spent the money.

Next question then - if the money is for construction, did your borrower build the project that was the subject of the loan?

If the borrower spent the money on something else, and you essentially have a patch of dirt, or a whole in the ground instead of a building, then you may have Loan Fraud which is reportable.

If the borrower had the work done, but did not pay the contractor, you may wind up with a mechanics lien on the property which would impair your ability to see with clear title. If the borrower defaults, then you probably also have loan fraud.

This could possibly fall under the consumer loan fraud which is a choice on the SAR.

Or commercial loan fraud if it's a commercial loan - also a field of SARable offenses.