John Sutherland’s Post

Why AML Compliance is More Critical Than Ever: Lessons from the Metro Bank Fine The Financial Conduct Authority (FCA) recently fined Metro Bank £16.7 million for failings in their transaction monitoring system, which went unchecked for over four years. Despite having a system in place, errors meant that millions of transactions weren’t properly screened for financial crime, potentially exposing the bank to significant risks. While Metro Bank has since taken steps to address the issue, this case highlights an important lesson for all businesses, especially in financial services: Why Compliance Matters Today In an increasingly complex regulatory environment, compliance isn't just about avoiding fines — it's about protecting your business and the wider financial system from criminal exploitation. Failures in transaction monitoring, like those seen at Metro Bank, can leave companies vulnerable to fraud, money laundering, and reputational damage. The stakes are high, and the consequences can be far-reaching. Key Takeaways for Compliance Professionals: Proactive Monitoring: Regularly assess your systems and processes to identify potential weaknesses before they become costly mistakes. Accountability: Ensure concerns raised at all levels of your organization are addressed swiftly and thoroughly. Continuous Improvement: Compliance isn’t a one-time fix. It’s an ongoing commitment to adapting to new threats and regulatory changes. This incident serves as a reminder that compliance isn't just about ticking boxes, it's about safeguarding your business and upholding the integrity of the financial system. Effective compliance programs are essential to building trust, maintaining operational stability, and protecting against financial crime. Read more about the fine here: https://lnkd.in/gtN2UtVx #Compliance #Financialcrime #AML #Riskmanagement #FCA #MetroBank #Regulation #Financialservices #Banking #Transactionmonitoring

Financial Crimes Enforcement Network, US Treasury has released important anti-money laundering regulations for residential real estate transfers. Lowenstein Sandler LLP's AML client alert provides a comprehensive overview of these regulations and offers insights into their implications for the real estate industry. #antimoneylaundering #investmentmanagement #realestate #moneylaundering #fincen #lawyers

Read about the impact of Financial Crimes Enforcement Network, US Treasury's proposed rule on U.S. real estate transactions requiring reports to combat money laundering risks in today’s Anti-Money Laundering client alert from Lowenstein’s Robert Johnston, Paula Ladd, Samantha Sigelakis-Minski, CAMS, and Farah Hussain. Read the full alert: https://bit.ly/3T2Gfd5 #antimoneylaundering #investmentmanagement #realestate #moneylaundering #fincen #lawyers

Wanna test your sanction screening skills? Let's play a small scenario game. Suppose you are a banker working at NatWest, one of Britain’s biggest banks. A person from the Fowler Oldfield Company comes in with two bags of cash to deposit in their account. Upon further investigation, you find out that this company has been depositing more than what the bank predicted. You searched their name on AML Watcher and found an exact match. What would your next step be based on the information you get from {{linkedin_mention(urn:li:organization:96377843|AML Watcher)}}? To find out what they did visit our website and try our free open search option: https://lnkd.in/dicf3Jxu Comment below on what you think should be done after the match is found. #AML #AMLWatcher #Compliance #NatWest #Fowler

Chapter 2 in the Compliance Week case study illustrates critical #KYC and #onboarding failures by banks handling #JeffreyEpstein's accounts. This read offers valuable #AMLcompliance lessons for banking professionals.

Disgraced financier and convicted pedophile Jeffrey Epstein did not grow his global sex trafficking enterprise on his own. He needed financial institutions to provide the financial underpinnings of his venture. Compliance Week’s latest case study, “The Banks Behind the Epstein Enterprise,” tells an old story through a new lens. The report offers a deep dive into the anti-money laundering compliance failures—and alleged complicity—of JPMorgan Chase & Co. and Deutsche Bank, the two banks that enabled the Epstein enterprise to flourish for decades. It features exclusive interviews with a former New York State Department of Financial Services regulator, a world-renowned money laundering expert, AML compliance officers, expert financial crime fighters, and more. Read the full case study here: https://ow.ly/p0MW50QVSRg #KYC #AML #JeffreyEpstein #JPMorganChase #DeutscheBank #compliance #banking #financialservices

Congratulations to my Newark Field Office team and our partners for their tremendous work on this investigation. Through their persistence and tireless investigative efforts to disrupt the money laundering networks fueling illicit finance, this case underscores a critical reality: illicit actors will exploit any weakness or opportunity they find to launder the proceeds of criminal activity. A robust, dedicated, well-trained, well-equipped, and fully staffed AML compliance program is not just a nicety—it’s an absolute necessity if we are to continue leading the charge in safeguarding the U.S. financial system and combatting illicit finance. AML professionals, you are the first line of defense in tackling illicit finance! Well done, team! Your work in bringing this case to a successful resolution highlights the importance of collaboration and diligence in our ongoing fight against financial crime. #AML #BSA #MoneyLaundering #IllicitFinance #IRSCI #Partnerships #ACAMS

One #Canadian bank analyst says there could be $1 billion downside to TD Bank’s earning potential after a report that the investigation it faces in the U.S. is tied to laundering illicit #fentanyl profits. The U.S. Department of Justice launched an investigation after discovering evidence of a #drug-money-laundering operation in New York and New Jersey, the The Wall Street Journal reported on May 2, citing court documents and people familiar with the case. #antimoneylaundering #AML #moneylaundering #dirtymoney #CFT #counterterrorismfinancing #financialcrime #financialcrimes #compliance #complianceofficer #duediligence #terroristfinancing #pep #sanctions #audit #FinancialIntelligenceUnits #FIU #SuspiciousActivityReport #cdd #kyc #regulations #CFP #risk #riskmanagement #investigation #monitoring #canada #us #usa #unitedstates #bank #banks #newyork #newjersey

Our latest blog by Claire Rees DipFCP, DipAML, Financial Crime Regulatory Specialist, explores how Credit Unions may be underestimating their Financial Crime Risks and practical steps they can take to adequately protect both the credit union and its members from financial crime. #CreditUnions #AML #financialcrime #amlcompliance #TransactionMonitoring https://hubs.ly/Q02JHX7k0

⚠ Are you underestimating Financial Crime Risks in your Credit Union? ⚠ The latest blog from my colleague Claire Rees DipFCP, DipAML, Financial Crime Regulatory Specialist at Jade ThirdEye, explores how Credit Unions may be underestimating their Financial Crime Risks and practical steps they can take to adequately protect both the credit union and its members from financial crime. #CreditUnions #AML #financialcrime #amlcompliance #TransactionMonitoring