Anti-Corruption


Swedbank_Automat

Swedbank: Swedish enforcement agency closes market abuse probe

2021-10-27T15:16:00+01:00By

Swedbank said it has been notified by the Swedish Financial Supervisory Authority that an investigation by the regulator concerning suspected market abuse by the bank has been closed “with no remark.”

Honeywell

Honeywell records charge of $160M in FCPA probe

2021-10-25T18:14:00+01:00By

Honeywell International has recorded a charge of $160 million in accrued liability concerning an investigation by U.S. and Brazilian authorities as to whether the company’s use of third parties in Brazil violated the FCPA.

Turkey flag

FATF adds Turkey to AML/CFT watchlist

2021-10-25T18:07:00+01:00By

The Financial Action Task Force has added three new jurisdictions, including Turkey, to its list focused on areas subject to increased monitoring for deficiencies in fighting financial crime.

3x2 web graphic

Compliance Week National Conference is going back in person in May

2021-10-25T12:00:00+01:00By

Mark your calendars: Compliance Week’s National Conference in Washington, D.C. will be held in person for the first time in nearly three years from May 16-18, 2022.

Ericsson

DOJ finds Ericsson breached obligations under FCPA agreement

2021-10-22T14:27:00+01:00By

Swedish telecommunications giant Ericsson announced the Department of Justice has determined the company “breached its obligations” under a deferred prosecution agreement entered with the agency in 2019.

Danske Bank

Swedish regulator to Danske Bank: Fix AML failings faster

2021-10-21T20:19:00+01:00By

Sweden’s financial regulator says Danske Bank is not addressing deficiencies in its AML/CFT protocols quickly enough, issuing an injunction ordering the bank to take remedial action.

pwc300x200

CPE Webcast: Transaction monitoring at heart of fight against bribery, corruption, and fraud

2021-10-21T14:00:00+01:00Provided by

Combating bribery, corruption, and fraud is vital to reducing risk and maintaining compliance. Getting to the heart of financial transactions can also help you reduce unnecessary losses for your business.

Credit Suisse

Credit Suisse reaches $475M global resolution in corruption case

2021-10-19T22:04:00+01:00By

Credit Suisse Group and U.K. subsidiary Credit Suisse Securities (Europe) reached an approximately $475 million global settlement with U.S. and U.K. authorities for the bank’s role in a long-running tainted loan corruption scheme.

Navy ship

CEO of Navy contractor charged with bribery

2021-10-19T16:13:00+01:00By

Frank Rafaraci, CEO of Malta-based ship maintenance company Multinational Logistics Services, has voluntarily returned to the United States to face a criminal charge for his alleged role in a bribery scheme.

Hacker

FinCEN report: Ransomware SARs surge past 2020 totals

2021-10-18T20:45:00+01:00By

A Financial Crimes Enforcement Network report on financial trends in Bank Secrecy Act data found a greater number of SARs related to ransomware filed between January and June 2021 than during all of 2020.

El Salvador

New DOJ tip line created to fight corruption in Central America

2021-10-18T18:09:00+01:00By

The Department of Justice has created a tip line to assist its Anticorruption Task Force in fighting corruption in El Salvador, Guatemala, and Honduras.

Telephone

When academic studies and hoax hotline claims go ‘off the rails’

2021-10-18T17:26:00+01:00By

Imagine this: An anonymous hotline tip comes through that a senior executive has engaged in insider trading. This scenario happened this summer as part of academic research, effectively leaving hundreds of unwitting corporate subjects to foot the bill for unnecessary follow-up conducted.

FINRA

FINRA encourages proactive compliance with FinCEN AML/CFT priorities

2021-10-13T19:32:00+01:00By

The Financial Industry Regulatory Authority is encouraging member firms to start proactively incorporating new AML/CFT priorities mandated by Congress into their risk-based compliance programs.

Braskem

Ex-Braskem CEO gets 20 months in prison over bribery scheme

2021-10-12T21:36:00+01:00By

Jose Carlos Grubisich was sentenced to 20 months in prison for his role in a scheme to divert hundreds of millions of dollars in bribe payments from Braskem to government officials and political parties in Brazil.

Pandora Papers

Pandora Papers exposed gaps in AML compliance. Is beneficial ownership registry the answer?

2021-10-12T19:40:00+01:00By

FinCEN’s upcoming ultimate beneficial ownership registry could help to combat some of the anti-money laundering deficiencies put on display by the Pandora Papers, but not until Congress gets serious about funding the initiative.

Metals

Metals Technology Initiative issues new anti-corruption resources

2021-10-08T15:43:00+01:00By

The Metals Technology Initiative has launched a new website making its guidance on gifts and hospitality and third-party due diligence freely accessible.

Oilfield

Petrofac fine fallout: Penalty too light for SFO to claim success?

2021-10-08T15:43:00+01:00By

Petrofac’s relatively low penalty for multiple bribery offenses might encourage companies to take their chances when faced with the choice of a possible criminal conviction or cutting a deal with the Serious Fraud Office, legal experts warn.

NatWest

NatWest pleads guilty in landmark U.K. money laundering case

2021-10-07T16:11:00+01:00By

National Westminster Bank pleaded guilty to landmark criminal charges brought by the U.K. Financial Conduct Authority for violations of the Money Laundering Regulations 2007.

Petrobras

Petrobras fulfills obligations of 3-year FCPA agreement

2021-10-06T16:41:00+01:00By

Brazilian state-owned energy company Petrobras announced it has met the obligations of a three-year agreement reached with the Department of Justice for playing a role in one of the world’s largest political corruption investigations.

Global money dealings

Pandora Papers: Takeaways for compliance

2021-10-04T20:16:00+01:00By

The “Pandora Papers” could open Pandora’s box for all businesses and organizations found to be entangled in its worldwide web of shell companies, offshore tax havens, and secret trusts.

WaFd Bank

WaFd Bank to pay $2.5M for AML/BSA deficiencies

2021-10-04T18:23:00+01:00By

Washington Federal Bank has agreed to pay $2.5 million in accordance with a consent order reached with the Office of the Comptroller of the Currency in February 2018.

Petrofac

Petrofac to pay $105M for widespread bribery scheme

2021-10-04T17:47:00+01:00By

Petrofac was ordered to pay £77 million (U.S. $105 million) to conclude a long-running investigation into allegations company executives paid to win lucrative oil contracts in Iraq, Saudi Arabia, and the United Arab Emirates.

LPL Financial

LPL Financial to pay $4.8M to settle claims of poor KYC procedures

2021-10-01T19:44:00+01:00By

The nation’s presumed top independent broker-dealer will pay more than $4.8 million to settle AML charges stemming from its alleged failure to reconcile inconsistencies of a new customer who would scam a Puerto Rican city out of millions of dollars.

SNC-Lavalin

SNC-Lavalin touts compliance enhancements amid fresh corruption charges

2021-10-01T16:15:00+01:00By

Enforcement authorities in Canada arrested and brought charges against two former executives of SNC-Lavalin and its subsidiary, SNC-Lavalin International, for their role in a bribery scheme that occurred two decades ago.

N26

​Germany’s N26 fined $5M for AML lapses

2021-09-30T16:25:00+01:00By

Mobile bank N26 revealed it paid a €4.25 million (U.S. $5 million) fine ordered by Germany’s market regulator regarding deficiencies in its reporting of suspicious activities “in the area of anti-money laundering.”

SFO

Petrofac readies bribery guilty plea, touts compliance enhancements

2021-09-27T17:28:00+01:00By

Petrofac will plead guilty to seven counts of failing to prevent bribery, the potential endpoint in a long-running investigation into allegations company executives paid to win lucrative contracts in Iraq, Saudi Arabia, and the UAE.

SEC

Red flags ignored in WPP $19M FCPA settlement

2021-09-24T19:34:00+01:00By

Global advertising giant WPP reached a more than $19 million settlement with the SEC to resolve charges of violating the anti-bribery, books and records, and internal accounting controls provisions of the Foreign Corrupt Practices Act.

Remote oversight

Anti-corruption leaders share upsides of remote compliance program

2021-09-23T17:05:00+01:00By

COVID-19 has altered how companies operate their anti-corruption compliance programs, but not necessarily for the worse, according to experts from PepsiCo and Cook Group who shared their experiences at a recent Diligent virtual summit.

Swedbank

Swedbank CCO lauded for role in AML rebound to retire

2021-09-21T15:16:00+01:00By

Ingrid Harbo, Swedbank’s chief compliance officer during its ongoing recovery from a massive AML scandal, announced she will retire in March 2022.

Bribery

Report: China, U.S. most confident in combating corruption risks

2021-09-20T16:43:00+01:00By

Risk leaders at companies in China and the United States expressed the highest level of confidence in their approach to mitigating bribery and corruption risk, according to a new global benchmark report from Kroll.

Mylan

Ex-Mylan employee pleads guilty to insider trading

2021-09-17T20:30:00+01:00By

Dayakar Mallu, a former IT manager at Mylan, pleaded guilty to criminal charges for his role in an $8 million insider trading scheme aided by an unnamed executive at the pharmaceutical company.

German parliament

German AML deficiencies in spotlight ahead of election

2021-09-16T17:42:00+01:00By

A recent raid by German prosecutors of the country’s finance and justice ministries has once again put a spotlight on Germany’s apparent failings in tackling financial crime.

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App Annie to pay $10M in landmark SEC action

2021-09-15T17:31:00+01:00By

The Securities and Exchange Commission charged App Annie with securities fraud—the agency’s first enforcement action against an alternative data provider.

Ericsson

Ex-Ericsson employee charged with FCPA bribery violations

2021-09-09T15:12:00+01:00By

A former account manager at Swedish telecommunications giant Ericsson faces charges of conspiracy to violate the Foreign Corrupt Practices Act regarding alleged bribes paid to government officials in the Republic of Djibouti.

Elizabeth Holmes

Need to know: Elizabeth Holmes’s Theranos trial set to begin

2021-09-07T12:36:00+01:00By

Elizabeth Holmes’s legacy is on the line, as the long-awaited trial of the disgraced founder and CEO of blood-testing company Theranos begins Wednesday.

DOJ building

Hedge fund manager/CCO sentenced 4 years for ‘Ponzi-like’ scheme

2021-09-02T16:55:00+01:00By

Jason Rhodes, the co-founder and chief risk and compliance officer of a Connecticut-based investment fund, was sentenced to 48 months in prison and ordered to pay more than $25 million in restitution for his role in a “Ponzi-like” scheme.

Japanese Yen

FATF urges Japan to enhance AML/CFT measures

2021-08-31T17:44:00+01:00By

Japanese authorities have a good understanding of money laundering and terrorism financing risks, but certain areas of their AML/CFT framework could be further improved, according to a Financial Action Task Force evaluation report.

Binance crypto

Weathering the storm: Why FinTech compliance failures persist

2021-08-30T15:54:00+01:00By

Experts weigh in with their thoughts on why FinTechs and cryptocurrency firms continue to have a bad reputation in terms of compliance.

Money laundering

Pandemic not slowing rising AML fine totals, report says

2021-08-25T18:31:00+01:00By

Kroll’s latest annual enforcement review identified $2.2 billion in AML fines in 2020 compared to $444 million in 2019. The first six months of 2021 indicate a similar pace to last year.

Treasury Department

Challenge to SEC’s Bank Secrecy Act authority backed by ex-FinCEN leadership

2021-08-24T15:21:00+01:00By

A brokerage firm petitioning the Supreme Court to review the power of the SEC to enforce the Bank Secrecy Act has received support from two former officials of the primary agency tasked with overseeing the AML law.

DOJSeal

David Last named permanent head of DOJ’s FCPA Unit

2021-08-13T17:16:00+01:00By

The Department of Justice has named David Last to be the permanent chief of its Foreign Corrupt Practices Act Unit, following his being appointed acting head in April.

Filing cabinet

ICA roundtable: Five tips for filing more effective SARs

2021-08-13T16:48:00+01:00By Jake Plenderleith, International Compliance Association

A recent roundtable explored the anxieties compliance officers face in filing suspicious activity reports and offered advice for overcoming such difficulties.

CSIWeb Sept 2021 cover

White paper: AML Compliance Guide

2021-08-12T08:30:00+01:00Provided by

Read this AML Compliance Guide to learn the five ways you can modernize your AML program to meet regulatory requirements and protect your institution and its customers from financial crime.

Westpac

Westpac warned over continued AML failings

2021-08-11T17:42:00+01:00By

The Reserve Bank of New Zealand issued a formal warning to Westpac’s New Zealand branch for failing to report certain transactions as required under local anti-money laundering regulations.

BitMEX

Crypto platform BitMEX to pay $100M for registration, AML violations

2021-08-11T15:45:00+01:00By

Cryptocurrency platform BitMEX has agreed to pay $100 million as part of a settlement with the CFTC and FinCEN for multiple violations of the Bank Secrecy Act and other anti-money laundering laws.

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Pactiv Evergreen nearing clearance from SEC in FCPA probe

2021-08-10T16:59:00+01:00By

Pactiv Evergreen said it has received indication from the SEC it will not face enforcement following an internal investigation launched last year into potential violations of the Foreign Corrupt Practices Act.

Whistle question

Five pieces of advice for potential whistleblowers

2021-08-05T15:56:00+01:00By

Thinking of becoming a whistleblower? The path ahead likely won’t be easy. Learn from others that have been through the process.

Business agreement

Seven things whistleblowers want compliance officers to know

2021-08-04T17:54:00+01:00By

Aaron Nicodemus explains what whistleblowers, their supporters, and advocates would like compliance officers who handle internal complaints to understand about the process from their side of the table.

European Commission

EU guidance seeks to clarify role of AML/CFT compliance officers

2021-08-04T16:38:00+01:00By

The European Banking Authority is seeking comment on new draft guidelines that set clear expectations regarding the appointment, role, tasks, and responsibilities of anti-money laundering and countering the financing of terrorism compliance officers.

Corporate monitor

The importance of transaction monitoring, and the cost of getting it wrong

2021-08-03T18:36:00+01:00By Teodora Harrop, for International Compliance Association

Transaction monitoring has evolved to the point where the emphasis is now on the requirement firms carry out ongoing monitoring of client relationships. Recent enforcement actions provide lessons on pitfalls to avoid.