Vendor Due Diligence (VDD) When a firm wants to purchase, collaborate with, or engage in a commercial partnership with another company, it performs vendor due diligence (VDD). Vendor due diligence, like customer due diligence, is an important component of AML/CFT, since it serves to persuade potential purchasers that their prospects are financially sound [...]
Black Market Peso Exchange What is BMPE? The Black-Market Peso Exchange is a trade-based money laundering strategy used among Colombian and Mexican drug traffickers. The main feature employs a money trader to ensure that no revenue from US drug sales crosses borders. Instead, those dollars are utilized to buy a variety of genuine [...]
International Sanctions International sanctions restrict trade and economic relations between individuals, organizations, or countries. Diplomatic, transportation, and communication restrictions are also among the international sanctions restrictions. International sanctions are imposed for a variety of reasons. Diplomatic disputes, security issues, human rights violations, international terrorism, and widespread mass destruction of weapons are all reasons [...]
Swift Payments and Transaction Screening When a global financial transaction is made, a SWIFT code may be necessary to tell banks and financial institutions where to transfer the money. The SWIFT code is used by banks and money transfer businesses to determine where to transmit money on a global scale. The SWIFT code [...]
Watchlist Screening Watchlists are databases that include searches for suspected terrorists, money launderers, fraudsters, and PEPs. They are being stored internationally at governmental levels about information collected at the governmental level, law enforcement databases, international databases, and regulatory databases about prohibited individuals or corporations in industries such as finance, healthcare, and agriculture. What [...]
VDD-Vendor Due Diligence When a company intends to buy, work with, or develop a commercial alliance with another company, it conducts vendor due diligence (VDD). Vendor due diligence, like customer due diligence (CDD), is an important component of AML/CFT since it guarantees potential buyers that their prospects are financially secure and represent no [...]
Money Mules A money mule is someone who transmits money obtained illegally on behalf of another in person, through a courier service, or electronically in exchange for a fee. Money mules are not directly involved in the crimes, but they are complicit in the sense that they launder the revenues of such crimes. [...]
Ponzi Scheme A Ponzi scheme is a fraudulent investment operation in which the operator, either an individual or an organization, pays returns to its investors from new capital contributed to the operators by new investors rather than profit gained from genuine sources. Typically, enormous returns on the initial investment are promised. The fraudster [...]
Anti-Money Laundering Compliance in Turkish Republic The Turkish Republic has made significant advancements in the establishment of anti-money laundering regulations as well as the mechanisms for detecting and countering them in recent years. In 1996, the first instance of money laundering that was prosecuted as a financial crime in Turkiye took place. Since [...]
How to conduct an Adverse Media Check? Adverse media, sometimes known as negative news, is any type of adverse information found in a wide range of news sources, including both conventional news channels and unstructured sources. The hazards of doing business with people or firms who have a negative media presence are numerous [...]
