Third-party risks around financial crime are accelerating and becoming more complex. Evolving sanctions rules, a renewed focus in the EU and UK on money laundering, bribery and corruption, and the UK’s Failure to Prevent Fraud criminal offense all put the onus on companies to understand exactly who their third parties are, who is behind them, and how they expose them to risk.
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Posted inAML
American Express hit with $350M penalty for lax BSA/AML compliance program
The Office of the Comptroller of the Currency and the U.S. Federal Reserve Board (FRB) each took enforcement action against American Express for deficiencies in its Bank Secrecy Act/anti-money laundering compliance program.
Posted inArtificial Intelligence
Companies responsible for decisions made by ‘autonomous’ AI, says ICO
The UK’s data regulator has issued a strong warning that companies remain responsible for protecting personal data when they use AI systems, even when the technology acts autonomously.
Posted inRegulatory Enforcement
Cleo AI paid $17M to settle allegations it deceived customers
Cash advance app Cleo AI agreed to meet compliance obligations for 10 years and to pay $17 million to settle allegations that it deceived millions of customers.
Posted inRegulatory Enforcement
Priceline’s online ads reportedly subject to an up to $500M fine from the FTC
The FTC is taking action against Bookings Holding, Priceline’s owner, over misleading third-party online hotel ads. The fine could be $500 million, Reuters reported on Wednesday.
Posted inBanking
EU banking regulator issues new TPRM guidelines for large banks, FS firms
The European Union’s key banking regulator has issued guidelines to help large banks manage the risk of disruption if an important IT provider has an outage or a third party cannot continue to supply critical services.
Posted inTop Stories
Former Florida TD Bank employee admits laundering millions for Colombian criminals
A former employee at a Florida TD Bank branch has pleaded guilty to laundering about $4.8 million for Colombians involved in criminal activity in exchange for small bribes.
Posted inAML
Vietnam’s AML rules require banks to trace owners beyond its borders
Vietnam has introduced temporary measures to strengthen its anti-money laundering framework. It requires financial institutions to collect and clarify how they identify beneficial owners.
Posted inSanctions
Why the rise of countersanctions is increasing compliance risks on multiple fronts
Compliance teams in global companies are already grappling with constantly evolving sanctions regimes in the US, UK, and EU. Now, they must also watch countersanctions emerging in countries including Russia and China.
Posted inRetail
Alcohol distributor settles with FTC over higher prices charged to small stores
The largest U.S. distributor of wine and spirits has agreed to change its pricing practices toward mom-and-pop liquor stores to settle allegations that it selectively charged small retailers more for its products.