On 29 March 2023, the European Banking Authority issued a public consultation on proposed amendments to its guidelines on risk-based anti-money laundering and countering the financing of terrorism (AML/CFT) supervision (the Risk-Based Supervision Guidelines). The proposed changes extend the scope of the Risk-Based Supervision Guidelines to AML/CFT supervisors of crypto-asset service providers (CASPs). The European … Continue Reading
On 28 March 2023, the European Parliament announced that MEPs have approved stricter rules to close existing gaps in combatting money laundering, terrorist financing and evasion of sanctions in the EU. MEPs from the Economic and Monetary Affairs and Civil Liberties, Justice and Home Affairs Committees adopted their position on three pieces of draft legislation … Continue Reading
On 17 March 2023, the Joint Money Laundering Steering Group (JMLSG) published final amendments to the following text in Part II of its Guidance: These have been submitted to HM Treasury for Ministerial approval.… Continue Reading
On 10 March 2023, the Financial Action Task Force (FATF) published updated Recommendations which were adopted at its plenary on 15 February 2023. The FATF has reviewed and updated the FATF Recommendations, in close co-operation with the FATF-Style Regional Bodies (FSRBs) and the observer organisations, including the International Monetary Fund, the World Bank and the … Continue Reading
On 14 March 2023, the Financial Action Task Force (FATF) published a report on countering ransomware financing. The report analyses the methods that criminals use to carry out their ransomware attacks and how payments are made and laundered. The report highlights that criminals are almost exclusively using crypto, or virtual assets and have easy access … Continue Reading
On 10 March 2023, the Financial Action Task Force (FATF) published updated guidance that focuses primarily on Recommendation 24 (beneficial ownership transparency of legal persons). In March 2022, the FATF agreed on tougher global beneficial ownership standards in its Recommendation 24 by requiring countries to ensure that competent authorities have access to adequate, accurate and … Continue Reading
On 6 March 2023, the Joint Money Laundering Steering Group (JMLSG) published revisions to its Guidance. The JMLSG published final amendments to the following text in Part II of its Guidance: These have been submitted to HM Treasury for Ministerial approval.… Continue Reading
On 24 February 2023, there was published in the Official Journal of the European Union (OJ) Commission Delegated Regulation (EU) 2023/410 of 19 December 2022 amending Delegated Regulation (EU) 2016/1675 as regards adding the Democratic Republic of the Congo, Gibraltar, Mozambique, Tanzania and the United Arab Emirates (UAE) to Table 1 of the Annex to … Continue Reading
On 24 February 2023, the Financial Action Task Force(FATF) published the outcomes of its Plenary on 22-24 February 2023. On 24 February 2023, the second Plenary of the FATF under the Presidency of T. Raja Kumar of Singapore concluded. Delegates from over 200 jurisdictions of the global network participated in these discussions at the FATF … Continue Reading
On 10 February 2023, the Wolfsberg Group published version 1.4 of the Correspondent Banking Due Diligence Questionnaire (CBDDQ) and version 1.2 of the Financial Crime Compliance Questionnaire (FCCQ), along with updated supporting Guidance, Glossary and FAQs documents. The CBDDQ update includes a new section on fraud and additional questions related to whistleblower policy, virtual bank … Continue Reading
Demonstrating its continuing focus on preventing, detecting and punishing market abuse, on 25th January 2023, the FCA announced that it has commenced criminal proceedings against five individuals, alleging that they conspired to commit offences of insider dealing between December 2019 and March 2021. In addition to insider dealing, the five individuals are charged with money … Continue Reading
On 25 January 2023, the FCA published a new webpage setting out feedback on good and poor quality applications under the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLRs). The feedback is intended to help applicants when they prepare their application for registration. The webpage covers:… Continue Reading
On 24 January 2023, the National Crime Agency (NCA) published its latest Suspicious Activity Report (SARs) Annual Report. Among other things the report notes:… Continue Reading
On 12 January 2023, the European Parliament announced that MEPs have adopted rules to smoothen investigations into financial crime. The new rules will facilitate access to centralised bank registries. The new rules mandate EU Member States to ensure that the information from centralised registries is available through a single access point to be developed and … Continue Reading
On 5 January 2023, the threshold amount specified in section 339A of the Proceeds of Crime Act 2002 (POCA) was increased from £250 to £1,000 following the coming into force of the Proceeds of Crime (Money Laundering) (Threshold Amount) Order 2022 (SI 2022/1355) made on 15 December 2022. The threshold amount is the value of … Continue Reading
On 19 December 2022, HM Treasury published the anti-money laundering and countering the financing of terrorism (AML/CTF) supervision report 2020-22. The report provides information about the performance of AML/CTF supervisors between 6th April 2020 – 5th April 2022 and fulfils the Treasury’s obligation, under section 51 of the Money Laundering Regulations (MLRs), to publish an … Continue Reading
As we enter a recession against the backdrop of ongoing geopolitical instability, we expect to see significant financial crime enforcement and investigations in 2023, including a focus on emerging areas such as ESG, cryptocurrencies, and significant developments in financial sanctions. We predict that developments in 2023 will include: 1. Fraud We expect to see continued political … Continue Reading
On Friday 25 November 2022, the Economic Crime and Corporate Transparency Bill (the Bill) entered Parliament. The Committee Stage (Commons) was brought to a conclusion on Tuesday 29 November 2022. The Bill, as amended by the Public Bill Committee, was published on 30 November 2022. The Bill proposes various reforms designed to reduce economic and … Continue Reading
On 7 December 2022, the European Council announced that it has agreed its position on an anti-money laundering (AML) regulation and a new directive (AMLD6). The Council’s press release provides that: The new anti-money laundering and combatting the financing of terrorism (AML/CFT) rules will be extended to the entire crypto sector, obliging all crypto-asset service … Continue Reading
On 6 December 2022, the European Banking Authority (EBA) published a Consultation Paper on new guidelines to tackle de- risking. Access to at least basic financial products and services is a prerequisite for organisations and individuals to participate in modern economic and social life. It can also save the lives of vulnerable customers, such as … Continue Reading
On 1 December 2022, the Wolfsberg Group published Principles for Using Artificial Intelligence and Machine Learning (AI/ML) in Financial Crime Compliance. The Principles are intended to guide financial institutions and their financial crime compliance leaders and risk management teams in identifying and managing the operational and reputational risks that may arise from the use of … Continue Reading
On 3 October 2022, the Data Access Agreement (DAA) between the UK and US (see our earlier blog here) came into force. In this blog post we look at this landmark agreement and consider its impact. What is the US-UK Data Access Agreement? Under the new agreement, on receipt of a qualifying lawful order telecommunication … Continue Reading
On 22 November 2022, the European Banking Authority (EBA) published a final report on guidelines on the use of remote customer onboarding solutions under Article 13(1) of the Fourth Money Laundering Directive (4MLD). This final report sets out a strategic objective to embrace digital finance for the good of consumers and businesses and identifies EU … Continue Reading
On 14 November 2022, HM Treasury published an updated advisory notice on money laundering and terrorist financing controls in high-risk third countries. The advisory notice identifies the following countries for which appropriate actions should be taken to minimise the associated risks and these actions may include enhanced due diligence in high risk situations: Albania Barbados … Continue Reading
