The federal Bank Secrecy Act does not prohibit financial institutions from speaking openly with customers who are the subjects of official SARs, according to a clarifying statement issued by U.S. financial regulators Wednesday.
Financial Services
Posted inBest Practices
Before the first crypto transaction, finance needs a seat at the compliance table
When an established company considers holding crypto, the compliance questions usually come first. Is the activity permissible? Is the exchange or custodian acceptable? Have the wallets been screened? Are AML and sanctions controls adequate? Those questions can all have satisfactory answers while the transaction still produces an outcome the institution did not intend. The reason […]
Posted inRegulatory Enforcement
AI startup and former CEO settle with SEC over alleged material misrepresentations
An AI startup company and its former chief executive officer have settled charges that they misrepresented projected revenue, according to the SEC.
Posted inFinancial Services
Gaps remain in firms’ KYC checks, says U.K. financial services regulator
U.K. financial services firms still have potentially serious gaps in their financial crime controls, despite their assurances that they have beefed up their checks.
Posted inRegulatory Enforcement
SEC accuses former Wall St. bankers, including BOA employee, of insider trading scheme
The SEC has charged two former Wall Street investment bankers with insider trading tied to the 2022 acquisition of energy company South Jersey Industries.
Posted inArtificial Intelligence
Chris Dimitriadis, chief global strategy officer at ISACA, on why compliance protects global FS from AI Armageddon
AI-enabled cyberattacks could take down multiple financial service firms simultaneously in a series of “correlated failures”, posing a systemic risk to the global financial system.
Posted inBanking
JPMorgan quietly debanked Polymarket over regulatory fears, report said
JPMorgan reportedly debanked the prediction market Polymarket last year over regulatory concerns. This incident underscores the compliance risks banks face when servicing prediction markets.
Posted inAML
LexisNexis Risk Solutions exec on how compliance in all sectors supports the virtuous circle of crime prevention
Katarina Pranjic recently added “investigations” to her job title of regulatory policy director, economic crime, at LexisNexis Risk Solutions. Despite her credentials, she found her new immersion in investigations “exciting and terrifying,” revealing how compliance and investigations can gain from collaborating.
Posted inRegulators
FCA appoints attachés to India, UAE as part of effort to boost U.K. financial services
The U.K.’s Financial Conduct Authority has appointed two financial services attachés in India and the UAE to help boost the regulator’s presence in key global financial markets and to drive investment into the UK economy.
Posted inSanctions
Enforcement set to ramp up over sanctions compliance, warn lawyers
When the U.K.’s financial regulator reported that firms’ sanctions compliance had fallen short in multiple areas, it was a warning to the sector that improvements need to be made—and quickly—as oversight and enforcement are set to be cranked up.
