Join AML Accelerate’s movement to recognise quality standards in AML/CFT risk and compliance management
Current levels of trust between banks and other regulated entities needs to improve
Money laundering and terrorism financing laws apply to many types of financial institutions but not all companies take their obligations seriously. This has created a void in trust between some types of regulated entity and the financial institutions that bank them.
Over recent years there has been a global trend to “de-bank” other regulated entities who operate in certain high risk sectors. As financial institutions seek to manage their own money laundering and terrorist financing risks, it has been recognised that banking other regulated businesses poses particular money laundering and terrorist financing risks.
The risks become unacceptable, and result in “de-banking”, when the other regulated entity is unable to satisfactorily demonstrate that they have adequate risk based procedures and controls to identify, assess, mitigate and manage money laundering and terrorism financing risk they face.
This has seen many businesses having their bank accounts closed, or them simply not being able to open a bank account in the first place.
This is set to continue with the expansion of AML laws to Tranche 2 businesses
With the expansion of AML/CFT laws to a whole range of non-financial sectors like the accounting and legal professions, as well as, real estate and high-value dealers, it will be important that these entities can demonstrate that they have put in place a credible approach to identifying and managing their money laundering and terrorism financing risks, to avoid the risk of being “de-banked”.
AML Accelerate has launched the #buildingbrandtrust movement so that regulated entities can be recognised for having undertaken a robust money laundering and terrorism financing risk assessment and developed a comprehensive AML/CFT Program by displaying the relevant logo on their websites.
The logo is available within the AML Accelerate Platform to download and display on your website.