Financial Services


Deutsche Bank

Embattled Deutsche Bank to overhaul anti-financial crime controls

2021-06-16T20:26:00+01:00By

Deutsche Bank is planning to shake up its internal structure around anti-financial crime efforts in the wake of criticism from multiple regulators.

Credit Suisse

Credit Suisse hires Goldman Sachs veteran as U.K. CCO

2021-06-15T21:04:00+01:00By

Credit Suisse has hired Nita Patel as its new chief compliance officer for the U.K. and EMEA regions. Of note, the bank was exposed to losses during the collapse of U.K. firm Greensill Capital.

Exposed files

First American Financial settles SEC charges for cyber-security failures

2021-06-15T16:04:00+01:00By

First American Financial Corp. reached a $487,616 settlement with the SEC for failing to maintain cyber-security disclosure controls and procedures that exposed more than 800 million title insurance records containing sensitive customer information.

SECcrop

A decade later, Dodd-Frank remains unfinished. Will Gary Gensler’s SEC close it out?

2021-06-10T12:54:00+01:00By

When the Dodd-Frank Act passed in 2010, an urgency existed to enact its many provisions. A decade later, 11 of its rules remain unfinished. Will a change in leadership at the SEC get the law across the finish line?

Cost rising

Study: Financial crime compliance costs climb 18 percent in 2020

2021-06-09T20:43:00+01:00By

Projected costs for financial crime compliance among financial services companies worldwide reached nearly $214 billion last year, according to the latest survey from LexisNexis Risk Solutions.

Coronavirus look ahead

‘Cost of Compliance’ survey reflects post-COVID landscape

2021-06-07T20:02:00+01:00By

A year removed from the start of the pandemic, the long-term effects the shift in work culture will have on the compliance profession have become more apparent. The “Cost of Compliance Report 2021” by Thomson Reuters reflects these changes.

NAB

Australia’s NAB cited for ‘serious and ongoing non-compliance’ with AML laws

2021-06-07T17:57:00+01:00By

Australia’s financial regulator has identified “serious concerns” with National Australia Bank’s compliance with anti-money laundering and counter-terrorism financing rules but indicated it won’t fine the bank—for now.

SEC

CCO settles SEC charges of causing firm to breach fiduciary duties

2021-06-07T17:47:00+01:00By

The SEC announced settled charges with the chief compliance officer of investment adviser VII Peaks Capital for her alleged role in causing the firm to breach fiduciary duties.

White House

Biden memo establishes fighting corruption as national security priority

2021-06-04T17:57:00+01:00By

A new directive released by President Biden instructs U.S. federal agencies to make combating corruption a national security interest. Compliance practitioners in the financial services industry, particularly, may feel the ripple effect

Courthouse

NYC Bar framework seeks clarity on when CCOs face SEC charges

2021-06-03T20:40:00+01:00By

The New York City Bar Association has proposed a framework for regulators like the SEC to use when considering charging chief compliance officers for misconduct that occurs on their watch.

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SEC, CFTC charge LJM for mishandling $1B in assets; chief risk officer settles

2021-05-28T18:53:00+01:00By

The SEC and CFTC filed charges against investment management firm LJM and two portfolio managers for misleading investors about the company’s risk management practices. Each agency separately reached settlements with LJM’s chief risk officer for his role in the alleged scheme.

Julius Baer

Julius Baer pays $80M in FIFA corruption settlement

2021-05-27T22:26:00+01:00By

Swiss bank Julius Baer entered a deferred prosecution agreement and will pay $80 million for its role in a money laundering conspiracy linked to world soccer federation FIFA, the Department of Justice announced.

Archegos Capital

Report: DOJ launches investigation into Archegos collapse

2021-05-27T18:09:00+01:00By

The Department of Justice has reportedly launched an investigation into the collapse of Archegos Capital Management, which cost multiple big banks billions of dollars.

Odebrecht site

Austrian banker arrested for role in Odebrecht-related scheme

2021-05-26T19:32:00+01:00By

The former CEO of an Austrian bank was arrested in the United Kingdom on criminal charges for his alleged role in a massive money laundering scheme involving Brazil-based global construction conglomerate Odebrecht.

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e-Book: New thinking, new strategies needed for AML

2021-05-26T03:00:00+01:00Provided by

Bank culture continues to be a problem, and strategies formed following the financial crisis to prevent money laundering haven’t fared much better. Perhaps it’s time for a new approach.

Danske Bank

Danske Bank adds new chief risk officer from SEB

2021-05-25T19:06:00+01:00By

Danske Bank announced the appointment of Magnus Agustsson as its new chief risk officer. Agustsson will join the bank from SEB, where he held the same position.

woods

AML culture is in need of a revamp

2021-05-25T18:28:00+01:00By

Bank culture continues to be a problem following the 2008 financial crisis, and strategies formed to prevent money laundering haven’t fared much better. It’s time for a new approach, writes Martin Woods.

UBScrop

Nomura, UBS, UniCredit fined $453M total over EU cartel scheme

2021-05-21T16:18:00+01:00By

The European Commission fined Nomura, UBS, and UniCredit a total of €371 million (U.S. $453 million) for their participation in a cartel scheme through a group of traders. Bank of America, Natixis, NatWest, and Portigon were also each allegedly involved but not penalized.

Deutsche Bank

Deutsche Bank names new group AML officer amid enhanced scrutiny

2021-05-20T20:33:00+01:00By

Deutsche Bank named Joe Salama global head of anti-financial crime and group anti-money laundering officer less than a month after its AML controls were criticized by German financial regulator BaFin.

Columnist_Hodge

U.K. regulatory system also at fault in Greensill collapse

2021-05-20T17:19:00+01:00By

The collapse of Greensill Capital has led to investigations into how the company got into the financial mess it did and why alarm bells didn’t ring. But one investigation is noticeably conspicuous by its absence—why the company wasn’t properly regulated in the first place.

State Street

State Street to pay $115M for mutual fund overcharges

2021-05-14T16:43:00+01:00By

State Street will pay a $115 million criminal penalty and enter into a deferred prosecution agreement with the Department of Justice for mutual fund and expenses overcharges.

woods

Deutsche Bank’s continued AML struggles worth questioning

2021-05-14T15:16:00+01:00By

How is it Deutsche Bank can spend more than $1 billion on compliance enhancements but still be ordered to do more to improve its AML controls? Is the bank to blame or are regulators missing the big picture?

N26

German finance regulator orders N26 to improve AML controls

2021-05-13T18:17:00+01:00By

BaFin, Germany’s market regulator, has ordered mobile bank N26 to improve its anti-money laundering controls, taking the unusual move to appoint a “special commissioner” to monitor its progress.

TerroristMoney

Combating terrorist financing: Coordination and the ‘human element’

2021-05-12T21:34:00+01:00By Nitin Sane, International Compliance Association

Fundamental differences in ideology and motivation differentiate a terrorist from organized criminal groups. However, a debate rages over the connection between transnational organized crime and terrorist financing.

Mary McNiff

Citi CCO Mary McNiff taking to compliance one year in

2021-05-12T18:09:00+01:00By

Mary McNiff shared initiatives she’s undertaken in her first year as chief compliance officer at Citi during her keynote at CW’s 2021 National Conference on Wednesday.

WhistleblowerReward

SEC awards $22M to two whistleblowers in contentious case

2021-05-11T16:43:00+01:00By

Two whistleblowers sought to undermine each other in vying for the majority of a $22 million award issued by the SEC regarding malfeasance reported at a financial services firm.

OCC

Michael Hsu named acting OCC head

2021-05-07T15:49:00+01:00By

Michael Hsu, a regulator at the Federal Reserve, has been named acting comptroller of the currency by U.S. Treasury Secretary Janet Yellen.

John Flint

Elevating compliance key for financial services, says former HSBC head

2021-05-07T15:14:00+01:00By James Thomas, International Compliance Association

John Flint, former group chief executive at HSBC, considered the progress compliance has made over the last 20 years and the strides the profession must continue to make as part of a keynote at the ICA’s 2021 BIG Compliance Festival.

MoneyGram sign

Monitor certifies MoneyGram’s AML program after lengthy DPA

2021-05-06T19:42:00+01:00By

MoneyGram International stated in a regulatory filing it has fulfilled its obligations under a DPA it entered with the Department of Justice eight years ago, and its AML program was given a thumbs-up by its compliance monitor.

DNB

Norway’s DNB fined $48.1M for AML violations

2021-05-04T16:39:00+01:00By

DNB ASA, Norway’s largest financial services group, will pay a fine of NOK 400 million ($48.1 million) for failing to adhere to Norwegian Anti-Money Laundering Act standards.

Credit Suisse

Credit Suisse risk committee head to depart amid board reshuffle

2021-05-03T20:28:00+01:00By

Andreas Gottschling, Credit Suisse’s board member in charge of its risk committee, has stepped down as fallout from the collapses of Archegos Capital and Greensill Capital continues to roil the bank.

Deutsche

Deutsche Bank ordered to further improve AML controls

2021-05-03T17:54:00+01:00By

BaFin, Germany’s market regulator, signaled Deutsche Bank still has more to do concerning previously ordered improvements to its AML compliance controls.

MoneyGram

MoneyGram plagued by tech, human error in OFAC sanctions settlement

2021-04-30T15:46:00+01:00By

The Office of Foreign Assets Control announced a $34,329 settlement with MoneyGram Payment Systems for apparent violations of multiple sanctions programs, including the processing of transactions involving Syria.

Danske

Danske Bank compliance costs down after completing internal Estonia probe

2021-04-29T20:27:00+01:00By

New Danske Bank CEO Carsten Egeriis told investors compliance costs at the bank have stabilized now that a forensic audit into a money laundering scandal involving its Estonia branch is complete.

GoldmanSachs

Goldman Sachs hires chief risk officer back from Wells Fargo

2021-04-26T20:37:00+01:00By

Brian King will return to Goldman Sachs as consumer chief risk officer and head of business operations after seven months with Wells Fargo.

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Video: ABN AMRO refreshingly accountable; pharmacists lose in COVID-19 vaccine push

2021-04-22T19:36:00+01:00By Compliance Week

Kyle Brasseur seeks silver linings from ABN AMRO’s €480 million settlement for AML failures, while Aly McDevitt calls out the retail pharmacies overextending their employees for the sake of distributing more COVID-19 vaccines.

Credit Suisse

Credit Suisse’s governance rebound a tall task after ‘unacceptable’ losses

2021-04-22T18:41:00+01:00By

Putting the collapses of Archegos Capital and Greensill Capital behind it won’t be simple for Credit Suisse amid staggering financial losses and widening scrutiny from Switzerland’s financial regulator.

AIdata

Regulators want answers from financial services on AI/ML tools

2021-04-21T20:23:00+01:00By

The financial services industry is at the cutting edge of the utilization of artificial intelligence and machine learning tools. Regulators have recently requested to understand how these technologies are being used—or misused.

woods

ABN AMRO fine response suggests moral compass of banking is shifting

2021-04-21T18:26:00+01:00By

ABN AMRO CEO Robert Swaak acknowledging his bank’s “moral duty” to prevent money laundering should be welcomed by all in the global AML community as progress, writes Martin Woods.

ABN AMRO

ABN AMRO to pay $575M in money laundering settlement with Dutch authorities

2021-04-19T17:41:00+01:00By

Dutch bank ABN AMRO reached a €480 million (U.S. $575 million) settlement with the Netherlands Public Prosecution Service to resolve money laundering charges.

Danske

Danske Bank CEO, board member resign amid ABN AMRO probe

2021-04-19T16:58:00+01:00By

Danske Bank CEO Chris Vogelzang and board member Gerrit Zalm each resigned after being identified as suspects in ABN AMRO’s money laundering scandal. Chief Risk Officer Carsten Egeriis will take over as Danske’s CEO.

Russia_United States

U.S. sanctions Russia over SolarWinds hack

2021-04-15T19:52:00+01:00By

The Treasury Department announced sanctions against Russia implemented under an executive order from President Joe Biden in response to the SolarWinds hack and alleged election interference by the country.

Ponzi scheme mastermind Bernie Madoff dead at 82

2021-04-14T18:58:00+01:00By

Disgraced financier Bernie Madoff, whose decades-long fraud swindled thousands of investors out of billions of dollars, died in federal prison Wednesday.

woods

Archegos collapse: $20 billion in losses, but a win for compliance

2021-04-12T12:45:00+01:00By

The collapse of Archegos Capital Management may go down as yet another episode that champions the importance of the voice of the compliance professional, writes Martin Woods.

Archegos Capital

Compliance lessons, regulatory fallout from Archegos meltdown

2021-04-12T12:45:00+01:00By

There are plenty of unanswered questions following the recent meltdown of family office Archegos Capital Management—and plenty of compliance lessons to be learned, writes Aaron Nicodemus.

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Video: Deutsche Bank, Credit Suisse, and combining risk and compliance

2021-04-08T18:52:00+01:00By Compliance Week

Aly McDevitt and Kyle Brasseur assess changes in compliance and risk management functions at Deutsche Bank and Credit Suisse in light of recent scandals at each bank.

Credit Suisse

Credit Suisse compliance chief steps down in Archegos collapse aftermath

2021-04-06T16:35:00+01:00By

Credit Suisse Chief Risk and Compliance Officer Lara Warner has stepped down from her role and left the company following the bank’s loss of an estimated $4.7 billion due to the meltdown of hedge fund Archegos Capital Management.

Citi

Outgoing FinCEN head Kenneth Blanco to join Citi as financial crimes CCO

2021-04-05T17:13:00+01:00By

Kenneth Blanco has been tapped to lead a new financial crimes unit at Citi following his departure as director of the Treasury Department’s Financial Crimes Enforcement Network later this week.

Bob Mazur

Robert Mazur: Old tricks still work for launderers; new policies could help

2021-04-01T16:02:00+01:00By

Former federal agent Robert Mazur revealed secrets of the money-laundering trade to attendees of CW’s Financial Crimes virtual event and proposed two solutions for financial institutions in the fight against bad actors.

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Moody’s fined $4.4M for European conflict-of-interest violations

2021-03-30T20:18:00+01:00By

Five European subsidiaries of Moody’s Corp. have been fined a total of €3.7 million (U.S. $4.4 million) by the European Securities and Markets Authority for violating conflict-of-interest rules.