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Under which of the following acts can an international financial institution be prosecuted if it fails to maintain the privacy of its customer's information?
Correct Answer: A
The Gramm-Leach-Bliley Act (GLBA), also known as the Financial Services Modernization Act of 1999, is the correct answer. The GLBA mandates that financial institutions - which can include international financial institutions operating in the United States - protect the privacy of consumers' personal financial information. The act requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. Failure to comply with the GLBA can result in prosecution and significant penalties.