Tag: Money laundering

The Money Laundering and Terrorist Financing (Amendment) (No. 2) Regulations 2022

On 21 July 2022, there was published The Money Laundering and Terrorist Financing (Amendment) (No. 2) Regulations 2022. Unless otherwise stated, the Regulations come into force on 1 September 2022. The Regulations make a number of changes to The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLRs 2017) … Continue Reading

Upper Tribunal considers the application of the MLRs to a cryptoasset exchange provider and comments on FCA procedures

Vladimir_Consulting_Limited_v_The_Financial_Conduct_Authority.pdf (publishing.service.gov.uk) Introduction The business of Vladimir Consulting Limited (VCL) involved trading in cryptocurrency such as bitcoin on peer-to-peer exchanges which provide a market place for sellers and buyers of cryptocurrency.  The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLRs) were amended with effect from 10 January 2020 … Continue Reading

ECB speech at the use of AI to fight financial crime conference

On 13 July 2022, Elizabeth McCaul, Member of the Supervisory Board of the European Central Bank (ECB) delivered a speech at the conference on “The use of artificial intelligence to fight financial crime”. Key points in the speech include: Deficiencies in a bank’s anti-money laundering / countering the financing of terrorism (AML/CFT) framework are often … Continue Reading

The Money Laundering and Terrorist Financing (High-Risk Countries) (Amendment) (No.2) Regulations 2022

On 12 July 2022, there was published on legislation.gov.uk The Money Laundering and Terrorist Financing (High-Risk Countries) (Amendment) (No.2) Regulations 2022 together with an explanatory memorandum. The Regulations amend the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (the MLRs 2017) by substituting the List of High-Risk Third Countries … Continue Reading

FCA publishes decision notice regarding a fine of £5.8 million for Ghana International Bank Plc in connection with failings in its anti-money laundering controls over its correspondent banking activities

Anti-money laundering and the prevention of financial crime continues to be a key focus for the FCA, which reiterated in its most recent Business Plan its commitment to continue to use its enforcement powers to pursue those committing financial crime and their enablers.   According to the notice published on 23 June 2022, the FCA has … Continue Reading

HM Treasury updated advisory notice on money laundering and terrorist financing controls in high-risk third countries.

On 4 July 2022, HM Treasury published an updated advisory notice on money laundering and terrorist financing controls in high-risk third countries. The advisory notice explains that the Money Laundering and Terrorist Financing (High-Risk Countries) (Amendment) (No.2) Regulations will come into force on 11 July 2022. These Regulations will substitute the list of high-risk third … Continue Reading

FATF targeted update on implementation of standards on VAs and VASPs

On 30 June 2022, the Financial Action Task Force (FATF) issued a targeted update concerning the implementation of its Standards on virtual assets (VAs) and virtual asset service providers (VASPs), with a focus on FATF’s Travel Rule. The FATF has found that many countries need to strengthen understanding of money laundering / terrorist financing risks … Continue Reading

HM Treasury policy paper: Review of the UK’s AML/CFT regulatory and supervisory regime

On 24 June 2022, HM Treasury published two post-implementation reviews and a forward looking review of the UK’s anti-money laundering and countering the financing of terrorism (AML/CFT) regime. The post implementation reviews fulfill HM Treasury’s statutory obligations and cover the Money Laundering Regulations 2017 (MLRs 2017) and the Office for Professional Body AML Supervision Regulations … Continue Reading

Anti-money laundering: Regulation Around the World

In the latest instalment of our Regulation Around the World series, financial services partners in 13 jurisdictions provide an update on anti-money laundering developments. Our global updater is accompanied by further analysis and insights in our Regulation Around the World podcast which is available now to stream and download. The podcast features speakers from the … Continue Reading

Outcomes FATF Plenary, 14-17 June 2022

On 17 June 2022, the Financial Action Task Force (FATF) published the outcomes of its plenary on 14 to 17 June 2022. Delegates from over 200 jurisdictions participated in the plenary and the FATF expressed its deepest sympathies for the people of Ukraine, and as a result of Russia’s invasion, the FATF agreed to severely … Continue Reading

NCA/UKFUI revises guidance on SAR glossary codes and reporting routes

On 17 June 2022, the National Crime Agency (NCA) and the UK Financial Intelligence Unit (UKFIU) published updated guidance on suspicious activity report (SAR) glossary codes and reporting routes. The key points outlined in the updated guidance are as follows: The glossary codes are crucial for enabling the UKFIU and wider law enforcement to conduct … Continue Reading

Draft SI – The Money Laundering and Terrorist Financing (Amendment) (No. 2) Regulations 2022

On 15 June 2022, HM Treasury published a draft of The Money Laundering and Terrorist Financing (Amendment) (No. 2) Regulations 2022 together with a draft explanatory memorandum. The draft statutory instrument follows HM Treasury’s response document concerning amendments to the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017.   … Continue Reading

HM Treasury responds to consultation on MLRs 2017

On 15 June 2022, HM Treasury issued its response document to its October 2021 consultation on the steps the government proposes to take to amend the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLRs 2017). The consultation was undertaken at the same time HM Treasury issued a call … Continue Reading

EBA final report on guidelines on policies and procedures in relation to compliance management and the role and responsibilities of the AML/CFT compliance officer

On 14 June 2022, the European Banking Authority (EBA) published a final report containing draft guidelines setting out expectations of the role, tasks and responsibilities of the anti-money laundering / countering the financing of terrorism (AML/CFT) compliance officer and the management body. In particular the draft guidelines cover: The role and responsibilities of the management … Continue Reading

The Economic Crime (Transparency and Enforcement) Act 2022 (Commencement No. 2 and Saving Provision) Regulations 2022

On 10 June 2022, there was published on the legislation.gov.uk website, The Economic Crime (Transparency and Enforcement) Act 2022 (Commencement No. 2 and Saving Provision) Regulations 2022. The Regulations bring into force three provisions in Chapter 1 of Part 3 of the Economic Crime (Transparency and Enforcement) Act 2022 (the Act), which relate to financial … Continue Reading

FATF follow up report and technical compliance re-rating of the UK

On 9 June 2022, the Financial Action Task Force (FATF) published a follow up report and technical compliance re-rating on anti-money laundering and counter-terrorist financing measures in the United Kingdom. The report analyses the UK’s progress in addressing the technical compliance deficiencies identified in its mutual evaluation report, relating to recommendations 13 and 29. The … Continue Reading

ESAs joint report on the withdrawal of authorisation for serious breaches of AML/CFT rules

On 31 May 2022, the European Supervisory Authorities (ESAs) published a joint report on the withdrawal of authorisation for serious breaches of anti-money laundering / countering the financing of terrorism (AML/CFT) rules. Objective 5 of the EU’s 2018 Council Action Plan on AML required the ESAs and Member State prudential and AML supervisors to clarify … Continue Reading

Wolfsberg Group FAQs on negative news screening

On 11 May 2022, the Wolfsberg Group published FAQs on how undertaking screening for negative news and other forms of adverse information can enhance a financial institution’s awareness of potential financial-crime risk posed by both existing and prospective customers. The Wolfsberg Group recognises that there is no universally agreed and accepted definition of negative news. … Continue Reading

The Economic Crime (Transparency and Enforcement) Act 2022 (Commencement No. 1) Regulations 2022

On 9 May 2022, there was published on the legislation.gov.uk website The Economic Crime (Transparency and Enforcement) Act 2022 (Commencement No. 1) Regulations 2022. These Regulations bring into force on 15 May 2022 amendments to the Proceeds of Crime Act 2002 made by Part 2 of the Economic Crime (Transparency and Enforcement) Act 2022 in … Continue Reading

Blog: FCA review finds Challenger Banks need to enhance financial crime controls

The FCA has recently conducted a review of financial crime controls at a sample of six challenger banks  in order to identify the key financial crime risks to which such banks are exposed. The review was prompted by a substantial increase in the volume of Suspicious Activity Reports (SARs) filed by challenger banks. Whilst the … Continue Reading

Treasury Committee publishes Government response to fraud, scams and economic crime report

On 28 April 2022, the House of Commons’ Treasury Committee published the responses from the Government, FCA and Payment Systems Regulator to its report on Economic Crime. In its report the Treasury Committee urged the Government to legislate against online fraudulent adverts and seriously consider whether online giants should reimburse those who fall victim to … Continue Reading

FCA review finds weaknesses in some challenger banks’ financial crime controls

On 22 April 2022, the FCA published its findings following a multi-firm review into the financial crime controls at challenger banks. The review was conducted in 2021, predating the significant expansion of sanctions against Russia. Although the FCA’s focus on sanctions was limited, the main financial crime and money laundering controls it assessed equally apply … Continue Reading

Report on the state of effectiveness and compliance with the FATF standards

On 19 April 2022, the Financial Action Task Force (FATF) published a report providing an overview of the state of global efforts to tackle money laundering, terrorist and proliferation financing. The report finds that in terms of laws and regulations, 76% of countries have now satisfactorily implemented the FATF’s 40 Recommendations. This is a significant … Continue Reading
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