2021 AML Anti Money Laundering fines The repercussions of the coronavirus pandemic continued to have a detrimental impact on banks and financial institutions in 2021, making it another challenging year for the financial industry. As service providers and financial regulators reacted to a changing risk landscape and a variety of emergent Covid-19-inspired criminal [...]
CDD Final Rule The Financial Crimes Enforcement Network (FinCEN) issued its Final Rule on May 11, 2018, establishing several new customer due diligence (CDD) obligations for financial institutions in the United States. The CDD Final Rule requires banks, brokers, and other obliged institutions to prove beneficial ownership of legal entity clients when opening [...]
Bank Stress Test The bank stress test is a calculation of the losses that banks may face in potentially catastrophic circumstances. The study under hypothetical scenarios is intended to establish whether or not a bank has sufficient capital to survive a negative economic shock. Two examples of these bad possibilities are prolonged recession [...]
Domestic Pep and Foreign Pep Politicians and other high-profile public figures are particularly vulnerable to criminal activity since they hold enormous authority and resources. As a result, screening for politically exposed individuals assists financial institutions in identifying and managing the risks associated with doing business with PEPs. However, while all PEPs are vulnerable [...]
What are the new US sanctions on Russia? The US administration launched a flurry of moves against Russia, penalizing people it claims support Russia's defense industrial base, designating Russian military units for human rights violations in Ukraine, and imposing a restriction on new Russian gold imports. The actions are the most recent in [...]
Why there are new sanctions on Russia? Sanctions were imposed because Russia recognized parts of Ukraine's Donetsk and Luhansk oblasts that were not controlled by the government on February 21, 2022. Also, since the unwarranted and illegal invasion of Ukraine on February 24, 2022, the EU has imposed several additional sanctions on Russia. [...]
Anti-Money Laundering Regulations in Turkiye Turkiye has an ongoing issue with money laundering, mainly as a result of its high susceptibility to narcotics trafficking. Turkiye has introduced several new laws to enhance its anti-money laundering (AML) framework. Both banks and non-bank financial entities are used for money laundering in Turkiye. Cross-border cash smuggling, [...]
How KYC and CDD are related? KYC and CDD are two terms that are often used together. KYC leads to CDD in the verification of consumer information. Previous KYC processes have evolved into CDD practices. Previously, the KYC procedure was ineffective in preventing illegal behavior. This resulted in the creation of software that [...]
Updated Sanctions against Russia Updated Sanctions against Russia Russia’s invasion over Ukraine resulted in the country facing new financial, trade and technology sanctions for the purpose of cutting off the financing of the war. Since Russia is a leading energy producer with its oil and gas sources, imposing sanctions against Russia and [...]
2022 AML Anti Money Laundering Trends The Anti-Money Laundering industry has seen many highs in 2021, from novel technologies being invented to combat financial crime to Anti-Money Laundering and Counter-Financing of Terrorism (AML/CFT) regulators taking actions like the FATF endorsing AI-enhanced transaction monitoring. However, it appears that these attempts have had little effect [...]
