Earlier this year, the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) issued a $390 million penalty against Capital One for “willful” anti-money-laundering (AML) failures that happened during a period between 2008-2014. For compliance operators in the space, the action was a strong signal of rigorous enforcement, and perhaps a sign of increased pressures to come.
2020 delivered the biggest shock to the financial services industry since the financial crash. Business continuity plans and other contingency measures were put to the test like never before, putting compliance officers under pressure to adapt annual compliance programmes. Many financial institutions grappled with the operational, financial, risk and regulatory compliance implications.
The dust has had time to settle on the much-awaited publication of the Kalifa Report on the fintech industry. The report, by Ron Kalifa, was conducted on behalf of The City of London Corporation, at the behest of Her Majesty’s Treasury, and could not have come at a more opportune time.
Switzerland has been a leader in banking innovation for years. As the adoption of digital assets in financial services kicks into high gear, Switzerland continues to pave the way for their full, secure application and regulation. What specific tactics are Swiss banks and regulators employing to navigate the digital-assets environment?
Corporate-banking customers have been slower than consumer-banking clients to jump on the digital bandwagon but are on it now, searching for single-source solutions to meet all their product and service needs under one digital umbrella. Both traditional and challenger banks are in the race to fulfill this quest, but which will prevail?
Digital payments promise greater convenience and efficiency with lower cost but also carry substantial potential risk to the economy at large. The long-term success of this innovation will depend on the development of a top-down, holistic regulatory framework to securely govern digital payments, maximizing benefits while minimizing risks.
Increasing regulatory enforcement, legislation and geopolitical changes, record-setting monetary fines make adequate AML and sanctions risk management a significant challenge for financial institutions. Norton Rose Fulbright’s survey reveals how FIs are confronting AML and sanctions compliance and suggests steps to improve their tactics.
egulatory standards play an important role in safeguarding consumers, financial institutions and the global financial industry. As regulatory scrutiny in areas such as anti-money laundering (AML) and Counter-Terrorism Financing (CTF) continues to grow, so does the opportunity to streamline and enhance compliance efforts to tackle financial crime more efficiently and effectively.
There are many elements of life that have been profoundly affected by the coronavirus pandemic. Some we will learn to live with, others will revert to how they were, and some we will embrace for the better. What’s certain is that we must adapt our stance in a world that is constantly changing.
Banking on AI: The Opportunities and Limitations of Artificial Intelligence in the Fight Against Financial Crime and Money Laundering
Financial crime has thrived during the pandemic. It seems obvious that the increase in digital banking, as people were forced to stay inside for months on end, would correlate with a sharp rise in money laundering (ML) and other nefarious activity, as criminals exploited new attack surfaces and the global uncertainty caused by the pandemic.