Money laundering should be near the top of the list of any business owner\u2019s concerns. Anti-money laundering legislation and regulations are strict and increasingly enforced, and remaining in compliance through implementing proper prevention controls is a must. Countless businesses large and small \u2013 from corporations to third-party contractors \u2013 have learned this lesson the hard way.\u00a0Take Citibank, for example. The banking giant was recently fined $70 million in the U.S. \u201cfor failing to address shortcomings in its anti-money laundering policies\u201d (Reuters, 2018). It was the Office of the Comptroller of the Currency that levied the fine against the bank because it had allegedly failed to address money laundering concerns that were first flagged five years earlier.<\/p>\n
The case is notable because it isn\u2019t linked to a specific new allegation of money laundering per se. It is the alleged lack of compliance and efforts to enhance prevention policies that placed Citibank in hot water (Bloomberg, 2018).<\/p>\n
Money Laundering Cases in the News<\/strong><\/p>\n Citibank isn\u2019t alone. Other recent high-profile cases serve as warnings to companies that aren\u2019t taking money laundering prevention seriously:<\/p>\n Money Laundering\u2019s Lasting Harm<\/strong><\/p>\n Anti-money laundering (AML) efforts by regulatory bodies worldwide are serious business. Multinational organisations, and especially financial institutions, must employ the toughest AML compliance controls and standards to avoid the risk of even appearing to run afoul of AML laws. That\u2019s why CRI Group advises clients to have robust AML controls in place, especially when dealing in business overseas, and entering into any new partnerships or mergers.<\/p>\n The impact of corruption and money laundering allegations are often severe, and can include:<\/p>\n The best way to prevent and detect money laundering is to have a robust set of anti-money laundering (AML) processes in place. CRI Group\u2019s Investigative Due Diligence services provide the specialised intelligence needed by global financial institutions and multinational corporations to guarantee complete compliance with anti-money laundering (AML) regulations and legislation involving trans-national implications.<\/p>\n Strategies to Combat Money Laundering<\/strong><\/p>\n As part of any system of anti-money laundering controls, there are some common-sense elements that can help keep an organisation better protected. CRI Group founder and CEO Zafar Anjum said that it\u2019s important that companies take a top-down approach to prevent money laundering because in today\u2019s climate, they cannot afford to take a blind eye.<\/p>\n \u201cThe days when companies could plead ignorance to money laundering activities taking place among their business transactions are over,\u201d Anjum said. \u201cGovernments have been clear with new laws and regulations that they expect a proactive effort to prevent money laundering and terrorist financing, and they will prosecute organisations and their personnel who don\u2019t meet this expectation.<\/p>\n \u201cTo take things a step further, most international companies are performing due diligence and taking careful measures not to partner with organisations that are high on the money laundering risk scale, because that would increase their exposure,\u201d Anjum said. \u201cBeing in compliance isn\u2019t just a sound legal strategy \u2013 it\u2019s also good business.\u201d<\/p><\/blockquote>\n By adopting policies and procedures aimed to prevent money laundering and terrorist financing, companies will enhance their efforts to be on the right side of compliance. A few of these policies include:<\/p>\n Ensuring compliance is a responsibility that must be embraced and managed at the senior level of the company. Anjum, a 27-years veteran in fraud prevention, protective integrity, security and compliance, said this includes communicating the policies and procedures \u2013 as well as the results: \u201cIf there are areas to improve, management must take the lead in recognising those weaknesses and developing strategies to address them,\u201d Anjum said.<\/p>\n CRI Group has a vast offering of services to help organisations stay ahead of the curve with anti-money laundering measures and the processes required to remain fully in compliance with applicable laws and regulations, giving companies, their business partners and their clients the confidence of knowing that the organisation, and its reputation, is protected from the negative consequences of money laundering.<\/p>\n Anti-money laundering laws and regulations are constantly being strengthened as governments come under pressure to protect their economy and taxpayers from the damage caused by this widespread crime. Today, organisations must be diligent in protecting themselves, their investments, their reputations \u2013 and they must be fully compliant within the law. Contact CRI Group<\/a> and be better protected against the risks of money laundering today.<\/p>","protected":false},"excerpt":{"rendered":" Money laundering should be near the top of the list of any business owner\u2019s concerns. Anti-money laundering legislation and regulations are strict and increasingly enforced, and remaining in compliance through implementing proper prevention controls is a must. Countless businesses large and small \u2013 from corporations to third-party contractors \u2013 have learned this lesson the hard […]<\/p>","protected":false},"author":1,"featured_media":1655,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14,16,146],"tags":[],"class_list":["post-1654","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-anti-bribery-anti-corruption-solution","category-compliance-solution","category-resources"],"gutentor_comment":0,"yoast_head":"\n\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\n\n\n\n\t\n\n
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