Anti-Corruption


Epstein case study cover 3x2

Premium

Chapter 1: Compliance v. complicity: The ‘underbelly’ of bank culture

2024-03-18T16:00:00+00:00By

Why were decisions made the way they were at the banks that serviced Jeffrey Epstein? Evidence points to a cultural tension: a tug-of-war between the allure of profit and the drag of compliance, with the former having all the pulling power.

Epstein case study cover 3x2

Premium

Case study: ‘The Banks Behind the Epstein Enterprise’

2024-03-18T15:50:00+00:00By

This Compliance Week case study offers a deep dive into the anti-money laundering compliance failures—and alleged complicity—of JPMorgan Chase and Deutsche Bank, the two banks that enabled the Jeffrey Epstein enterprise to flourish for decades.

Magnifying glass

News Brief

SFO launches probe into collapsed Carlauren Group

2024-03-13T15:47:00+00:00By

The U.K. Serious Fraud Office announced two raids and three arrests coinciding with the launch of an investigation into collapsed property developer Carlauren Group.

London cityscape

Premium

SFO director support for whistleblower incentives enough to drive change?

2024-03-11T12:47:00+00:00By

When Nick Ephgrave of the Serious Fraud Office said in his maiden speech he favored paying whistleblowers in exchange for information, he might not have been fully aware of the implications, according to legal experts.

DOJ

Premium

DOJ eyeing more FCPA cases with whistleblower program

2024-03-08T18:33:00+00:00By

The Department of Justice anticipates its upcoming whistleblower reward program will help the agency increase its pipeline of cases involving apparent violations of the Foreign Corrupt Practices Act, said Acting Assistant Attorney General Nicole Argentieri.

Koenig_web

Article

CW National 2024 Q&A: JBS CECO on compliance post-settlement

2024-03-08T15:17:00+00:00By

Michael Koenig, global chief ethics and compliance officer at JBS Foods, previews his session on rebuilding the compliance department following settlements with the Department of Justice and Securities and Exchange Commission at CW’s National Conference in Washington, D.C.

Whistle

News Brief

DOJ on sprint toward pilot whistleblower reward program

2024-03-07T21:07:00+00:00By

Deputy Attorney General Lisa Monaco said the Department of Justice will look to fill gaps in its whistleblower procedures with the launch of a 90-day sprint toward a DOJ-led pilot whistleblower reward program.

Ericsson

News Brief

Ericsson promotes investigations head to CCO

2024-03-06T18:28:00+00:00By

Ericsson shook up its reporting structure with the promotion of Head of Corporate and Government Investigations Rebecca Rohr to chief compliance officer.

U.K. money laundering

News Brief

​FCA warns CEOs over firm AML failings

2024-03-05T20:55:00+00:00By

The U.K. Financial Conduct Authority warned the chief executive officers of approximately 1,000 financial institutions it supervises regarding common failures in anti-money laundering procedures it observed during recent assessments.

FinCEN

Premium

Judge’s ruling calls FinCEN beneficial ownership registry into question

2024-03-05T18:30:00+00:00By

A federal court judge in Alabama ruled the Corporate Transparency Act was beyond Congress’s power, potentially throwing the effectiveness of the Financial Crimes Enforcement Network beneficial ownership information registry into doubt.

Metropolitan Commercial Bank

News Brief

Metropolitan Commercial Bank adds risk chief, AML officer

2024-03-04T19:39:00+00:00By

Metropolitan Commercial Bank announced the appointments of a chief risk officer and Bank Secrecy Act/anti-money laundering officer to bolster its reporting lines following a $30 million enforcement action from federal and state authorities last year.

Andrew McBride

Podcast

CW National 2024 preview: Former Albemarle CCO on FCPA case lessons

2024-03-04T16:17:00+00:00By

Andrew McBride, former chief risk and compliance officer at chemical company Albemarle Corp., joins the Compliance Week podcast with Aaron Nicodemus to preview his session at CW’s National Conference in Washington, D.C.

Oil barrels

News Brief

Gunvor to pay $661M to settle FCPA violations in Ecuador

2024-03-04T16:12:00+00:00By

Swiss-based oil trader Gunvor will pay more than $661 million as part of a plea agreement with the Department of Justice to resolve violations of the Foreign Corrupt Practices Act involving a long-running scheme to bribe officials in Ecuador to secure oil contracts.

Swedbank

News Brief

Swedbank says Estonia money laundering probe closed

2024-03-04T11:28:00+00:00By

The Estonian branch of Swedbank is no longer under investigation regarding suspected money laundering and other criminal activities.

Federal Reserve

News Brief

Green Dot estimates up to $50M in liabilities over proposed Fed order

2024-03-01T17:18:00+00:00By

Financial technology firm Green Dot Corp. estimated a pending consent order with the Federal Reserve Board will require a payment of between $20 million to $50 million.

gemini_web

News Brief

NYDFS fines Gemini $37M over compliance failures

2024-02-29T19:18:00+00:00By

The New York State Department of Financial Services fined cryptocurrency exchange Gemini Trust Company $37 million over alleged compliance failures related to lapses in safety and soundness.

United Kingdom

Premium

FCA vows transparency, faster case outcomes in new enforcement strategy

2024-02-28T18:26:00+00:00By

The U.K. Financial Conduct Authority will rein in its enforcement focus and commit to providing more updates on its ongoing investigations as part of a revamped strategy designed to quicken the pace and increase the deterrent impact of its cases.

Dark money

Premium

FinCEN head touts compliance through enforcement approach

2024-02-27T19:01:00+00:00By

Andrea Gacki, head of the Financial Crimes Enforcement Network, said recent enforcement actions by the agency have addressed significant gaps in the U.S. anti-money laundering/countering the financing of terrorism regime and exposed specific risk factors, trends, and typologies.

Frankfurt

News Brief

New European AML agency to be based in Germany

2024-02-27T12:43:00+00:00By

The European Union’s recently approved Anti-Money Laundering Authority will be based in Frankfurt, Germany, and begin operations in 2025.

Kenya flag

News Brief

FATF adds Kenya, Namibia to AML/CFT watchlist; UAE, Uganda removed

2024-02-26T20:14:00+00:00By

Kenya was one of two African countries included in the Financial Action Task Force’s latest update to its list of jurisdictions under increased monitoring for money laundering and terrorist financing, while the United Arab Emirates was among four countries removed.

Employee relations

Premium

Experts: No easy fix for U.K. senior manager accountability shortcomings

2024-02-23T12:22:00+00:00By

Legal experts generally agree the U.K.’s record for prosecuting board-level executives for financial and economic crime could be better. But some believe there is a problem criticizing poor enforcement when the legislation in place has its own shortcomings.

Lloyds

News Brief

Lloyds discloses FCA probe into AML controls

2024-02-23T12:14:00+00:00By

Lloyds is the latest U.K. financial institution being probed by the Financial Conduct Authority regarding its anti-money laundering control framework.

Brasseur_opinion

Opinion

Ten things I’m excited for at CW National 2024

2024-02-22T13:00:00+00:00By

A new month and a new venue but a lot of the same you love about Compliance Week’s National Conference. CW Editor in Chief Kyle Brasseur shares what he’s looking forward to most at the 2024 edition of the annual event.

Barclays

News Brief

Barclays says FCA probe into AML controls closed

2024-02-21T18:49:00+00:00By

Barclays Bank disclosed an investigation by the U.K. Financial Conduct Authority into the bank’s anti-money laundering controls has closed without a penalty.

London business district

News Brief

SFO raids kick off probe into collapsed Signature Group

2024-02-21T14:55:00+00:00By

The U.K. Serious Fraud Office carried out several residential raids as it announced the launch of a criminal investigation into collapsed property investment firm Signature Group.

DOJ building

Premium

The path to DOJ cooperation credit: Analyzing recent FCPA cases

2024-02-20T14:55:00+00:00By

Recent enforcement actions offer guidance on what the Department of Justice considers to be an “imminent threat” of disclosure or government action, what it means by “prompt” disclosure, and how a company can earn credit for revealing all relevant facts.

Teamwork

Premium

LRN survey: Compliance programs shifting focus from bribery, corruption

2024-02-16T22:35:00+00:00By

Many ethics and compliance programs have refocused their efforts away from bribery and corruption and onto data security and privacy, complex government regulations, artificial intelligence security, and other contemporary challenges, a survey from LRN found.

Treasury Department

Premium

FinCEN head: Agency seeking to educate, not punish, BOI reporters

2024-02-16T13:55:00+00:00By

The Financial Crimes Enforcement Network will focus its attention regarding compliance with its new beneficial ownership reporting requirements on education and outreach during the first year of implementation, although “willful violations” will still merit punishment.

Sterling Bank

News Brief

Ex-Sterling Bank GC cited by OCC over BSA-related failures

2024-02-15T21:00:00+00:00By

The Office of the Comptroller of the Currency issued a cease-and-desist order against the former general counsel at Sterling Bank and Trust for not ensuring the institution’s Bank Secrecy Act compliance and failing to timely file suspicious activity reports.

Lisa Monaco

Premium

DAG Monaco: AI to be top DOJ enforcement priority

2024-02-15T17:27:00+00:00By

The Department of Justice will seek stiffer penalties in cases where the threat of misconduct was greater because of misuse of artificial intelligence, according to Deputy Attorney General Lisa Monaco.

Human trafficking

News Brief

FinCEN: BSA data shows spike in crypto-financed human trafficking

2024-02-14T21:32:00+00:00By

Bank Secrecy Act reporting data disclosed by the Financial Crimes Enforcement Network revealed a significant spike in the use of cryptocurrency to finance human trafficking.

London dark

Premium

New SFO director vows quicker cases, stumps for whistleblower payouts

2024-02-14T21:21:00+00:00By

“Under my leadership, the SFO will be bolder, more pragmatic, more proactive,” said Nick Ephgrave in his first public speech as head of the U.K. Serious Fraud Office.

Treasury Department

Premium

FinCEN to propose applying BSA requirements to investment advisers

2024-02-13T21:15:00+00:00By

The Financial Crimes Enforcement Network will propose categorizing investment advisers as financial institutions that must comply with the Bank Secrecy Act, including having an anti-money laundering program.

Gallagher

News Brief

Insurance broker Gallagher off hook in DOJ FCPA probe

2024-02-12T14:45:00+00:00By

Arthur J. Gallagher disclosed the Department of Justice ended an investigation into the insurance broker’s business in Ecuador for potential violations of the Foreign Corrupt Practices Act.

Treasury Department

Premium

Anti-fraud groups praise FinCEN AML proposal for real estate transactions

2024-02-08T20:09:00+00:00By

The Financial Crimes Enforcement Network issued a notice of proposed rulemaking that would require the handlers of all-cash residential real estate transactions in all U.S. cities and counties to disclose the beneficial owners.

Raytheon

News Brief

Raytheon parent discloses indications of improper payments in Middle East

2024-02-08T19:46:00+00:00By

RTX Corp., parent company of aerospace and defense giant Raytheon, disclosed an internal investigation launched into potential improper payments in connection with contracts in the Middle East found indications of misconduct.

Paytm

News Brief

Paytm denies money laundering claims amid regulatory scrutiny

2024-02-05T21:28:00+00:00By

The Reserve Bank of India ordered a halt to many banking activities of digital payments provider Paytm while the regulator investigates “persistent noncompliances and continued material supervisory concerns.”

cybercrime_web

Premium

ACAMS survey: Budget cuts, criminal tech innovation top 2024 threats

2024-02-01T21:06:00+00:00By

Nearly 800 financial crime professionals said the biggest threats to the effectiveness of their anti-money laundering programs are budget cuts and their inability to keep pace with more aggressive and innovative uses of technology by criminals to commit fraud.

citynationalbank_web

News Brief

City National Bank ordered to pay $65M over deficient risk, internal controls

2024-02-01T18:32:00+00:00By

The Office of the Comptroller of the Currency levied a $65 million civil penalty against Los Angeles-based City National Bank over alleged risk management and internal control failures.

FCPA-July

News Brief

Calavo Growers discloses potential FCPA issues

2024-02-01T15:57:00+00:00By

Multinational produce and agriculture company Calavo Growers disclosed in an annual filing an investigation into its Mexico operations found potential issues under the Foreign Corrupt Practices Act.

DOJ

News Brief

Compliance officer BSA case a cautionary tale for small banks

2024-02-01T14:18:00+00:00By

A New York-based Bank Secrecy Act compliance officer facilitated more than $1 billion in high-risk international financial business through an “unsophisticated” institution, according to the Department of Justice and the Financial Crimes Enforcement Network.

TD Bank

News Brief

TD Bank reportedly facing fine for faulty AML controls

2024-01-29T22:43:00+00:00By

The Financial Transactions and Reports Analysis Centre of Canada is reportedly preparing to issue its largest fine to date against TD Bank for faulty anti-money laundering controls.

dinar_iraq_web

News Brief

Treasury cites Iraqi bank, owner over terrorist financing concerns

2024-01-29T21:44:00+00:00By

Al-Huda Bank faces severance from the U.S. financial system for being a conduit of terrorist financing, according to the Financial Crimes Enforcement Network, while its owner, Hamad al-Moussawi, was sanctioned by the Office of Foreign Assets Control.

AI finance

Premium

The pros and cons of generative AI in AML compliance

2024-01-29T14:00:00+00:00By Mario Menz, CW guest columnist

Generative artificial intelligence providers often promote their technologies as revolutionary tools that can enhance anti-money laundering processes. But the issues and shortcomings associated with the technologies must also be acknowledged.

MGM Resorts

News Brief

MGM Grand, Cosmopolitan fined $7.5M total over BSA violations

2024-01-26T19:50:00+00:00By

Two Las Vegas casinos agreed to pay penalties of nearly $7.5 million as part of separate non-prosecution agreements with the Department of Justice addressing violations of the Bank Secrecy Act over alleged anti-money laundering compliance failings.

Philips

Premium

FCPA violations in China: Lessons learned from 2023 cases

2024-01-25T18:01:00+00:00By

Enforcement actions regarding alleged violations of the Foreign Corrupt Practices Act at 3M, Albemarle, Clear Channel Outdoor, and Royal Philips each had China touchpoints. Experts assess third-party risk management lessons learned from each case.

ICBC

News Brief

ICBC fined $32M by NYDFS, Fed over compliance lapses

2024-01-19T18:43:00+00:00By

The Industrial and Commercial Bank of China and its New York branch agreed to pay $32.4 million in penalties levied by two regulators for failing to address compliance failures and for the unauthorized disclosure of confidential supervisory information to an overseas regulator.

European Union

News Brief

EU nearing tighter AML rules for crypto, luxury traders

2024-01-18T19:40:00+00:00By

The European Union moved closer to finalizing rules that would expand current anti-money laundering and customer due diligence obligations to new sectors, in addition to granting greater powers to national financial intelligence units.

Bank AML

Premium

AML pros say tech, not hiring, will keep them ahead of financial crime

2024-01-17T22:45:00+00:00By

A survey of financial crime professionals found that while three of every four companies added more anti-money laundering employees in 2023, nearly all respondents said growing their department’s headcount alone won’t keep up with emerging risks.

Euro money laundering

Premium

AMLA impact dependent on national collaboration

2024-01-17T12:25:00+00:00By

The impact of the Anti-Money Laundering Authority to improve the coordination and success of AML activities will be largely indirect, depending on its influence over European national governments continuing to supervise most EU financial services firms.