Help with the Anti-Money Laundering Compliance
After the attacks of September 11, 2001, financial and banking institutions have been inundated with increased regulatory oversight for the increase potential of money laundering activities . A good example of this is the identification of terrorist activities concerning any funding or finances has been added to the list of anti-money laundering (AML) issues . These previously only focused on stopping other forms of illegal activities, such as drug cartels or organized crime.
The US Congress, as an effort to first detect and then combat terrorist funding, has ratified the USA Patriot Act that provides a stringent AML regulations and will impose harsher penalties for financial institutions and banks if found they are non-compliant. These regulations will extend beyond the United States federal legislation to groups like the Financial Action Task Force (FATF), which was created by the Group of 7 Finance Ministers that are requiring banks who do business globally, to comply to the ever increasing onerous international AML regulations.
The potential loss of a bank’s reputation is only secondary to AML’s primary concerns of compliance with the regulatory requirements. But, any bank can reach beyond basic regulatory compliance if they think strategically, which will give them solutions to help benefit and not exploit business.
There will be issues with financial organizations and banks to achieve regulatory compliance, they are expected to improve AML capabilities into practice immediately and are to deter, detect and report any suspicious activity. The issue banks and financial organizations will run into will be establishing a AML policy and procedures across all aspects of their organization, appoint a corporate AML officer, implement a AML training program for all directors and employees, improve upon due-diligence for new and existing customers and proactively monitor and detect any suspicious activities.
The AML offers little specific directions regarding their fundamental mandate, so many companies have come to the aid and offering solutions to any company, financial institution and banks who deal globally around the world.
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