In the fight against money laundering, financial institutions enlist multiple tools including artificial intelligence, machine learning, and strategic partnerships. The price for failing to maintain AML efforts is severe, with fines and lawsuits a constant possibility. For financial institutions to embrace a financial crime-fighting environment, they must first understand the tools at their disposal.
Partnership to Provide AML Certifications
The Association of Certified Anti-Money Laundering Specialists (ACAMS) and Malta Institute of Management (MIM) have partnered to create the Certified Anti-Money Laundering Specialist (CAMS) certification in Malta. The partnership will teach financial crime prevention to professionals in Malta – an area notorious for money laundering activities.
“Economic growth and the increased focus on Malta as a financial hub has precipitated a strong demand for AML and financial crime prevention professionals there, which is furthered by the increased scrutiny on compliance globally,” said Angela Salter, head of Europe for ACAMS. “ACAMS looks forward to the collaboration and to engaging key government agencies including the MFSA.”
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Artificial intelligence and machine learning are being leveraged to combat financial crimes. Carl Case, Principal at EY and a leader in EY’s Financial Crimes Compliance and Technology Practice, joined us to discuss the three myths that AML professionals must dispel to take advantage of these technologies for financial crime monitoring and detection – one being that these technologies are black boxes.
“AML teams are used to working with proprietary algorithms, but AI and ML have experienced a recent, great leap forward in the transparency of models and their ability to provide explainable rationale,” said Case. “Combined with continually improving algorithms to address detection efficiency and efficacy and you have a technology that can make a material difference in the fight against financial crime.”
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Deutsche Bank Caught in Money Laundering Activities
Deutsche Bank is under investigation to determine if laws against money laundering and other crimes were complied with. The investigation will focus on the handling of suspicious activity reports and sheds light on the amount of illicit funds that are funneled through the financial system.
The federal investigation will also be looking into several other banks that may have failed to comply with AML laws like the federal Bank Secrecy Act which requires financial institutions to alert the government of any suspected illicit funds.
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