AML Custodians™

We feel proud to be associated with the Global Compliance Institute, delivering excellent free webinars and offering practical certifications in Global Financial Crime & AML in India, empowering professionals to stay ahead in the compliance industry Kindly register for free webinar https://lnkd.in/grNBhBWk To know more insights and have strong networking with global financial crime professionals join the group using below link https://lnkd.in/gw2pC_89 Global Compliance Institute offering Global Standard Certificates in India and below is the link https://lnkd.in/gdrHuA72

🌟 Elevate Your Career in AML & Compliance: Join Our Interactive Workshop on Interviewing & Networking! 🌟 Looking to excel in your next interview or expand your professional network? Join us for the Effective Interviewing and Networking Workshop—a session crafted to provide you with practical insights and strategies to stand out in today’s competitive landscape! 🔹 What’s in it for you? Learn essential interview techniques tailored for AML & Compliance roles. Discover networking strategies that foster meaningful connections in the industry. Gain insights from real-world examples and best practices. Receive a Certificate of Participation to showcase your commitment to professional growth. 📅 Date: 23-Nov-24 & 16:00 PM IST 👤 Hosted by: Heamanth K, AML Consultant 📍 Where: Online – https://lnkd.in/gXnfx2MP Whether you’re preparing for an interview or looking to broaden your network, this workshop is tailored for you. Register today to take the next step in your career!

⛓️ #Tuesday Financial Crime #Basics 🌐 #Products - Understanding AML Risks in the NFT Space 🌐 As NFTs grow in popularity, so do the risks of money laundering. Here are key AML concerns associated with NFTs that we should all be aware of: 🔍 #Anonymity of Transactions: NFTs are often bought and sold on blockchain platforms where users can remain pseudonymous. This anonymity can enable money to move undetected. 💰 Subjective, High-Value #Assets: NFTs can have unpredictable prices, often inflated for dubious purposes. This makes it easy to “wash” funds by artificially selling an NFT at a high price, potentially moving illicit funds. 🌍 #CrossBorder, Unregulated Transactions: NFTs can be traded globally with crypto, bypassing traditional financial oversight. This adds layers of complexity, especially in jurisdictions where AML regulations for digital assets are still catching up. 💱 #DeFi Platforms and #Mixers: Many transactions involving NFTs happen on decentralized exchanges or using crypto mixers. This makes tracing funds significantly harder. 📈 Volume & Speed: High transaction volumes, especially around NFT drops, make real-time monitoring a challenge, leaving room for potential abuse. ✨✨✨✨✨✨✨✨✨✨✨✨✨✨✨✨✨✨✨✨ To counteract these risks, authorities and some NFT marketplaces are working to implement stricter AML/KYC policies, such as: ✅ Requiring identity #verification for large or suspicious transactions. ✅ #Monitoring high-value transfers and unusual trading patterns. ✅ Working with blockchain #analytics companies to track suspicious wallet activity. Despite these efforts, regulating the NFT space presents unique challenges due to the decentralized and often pseudonymous nature of blockchain technology. AML risks associated with NFTs are likely to remain significant until regulatory frameworks evolve and more effective monitoring tools are developed. ➡️ As the NFT industry evolves, so must our approach to #compliance and #transparency. It’s on all of us to stay informed and push for best practices that protect both users and the integrity of the ecosystem. Really interesting guide below from Reddit, Inc. #NFT #Blockchain #AML #Compliance #Fintech #Crypto #FinancialCrime #Banking #RegTech #DecisionMaking #CriticalThinking #RiskManagement #bitcoin #doge #cryptocurrency

🪔 Happy Diwali from AML Custodians! 🪔 Wishing our clients, partners, and community a bright and prosperous Diwali! May this festival of lights inspire us all to uphold transparency, integrity, and resilience in the fight against financial crime. Here’s to a brighter, safer financial future. #Diwali2024 #AMLCustodians #AML #FinancialIntegrity

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Understanding Client Operations & Risk Appetite in Financial Crime & AML from Heamanth K To know more insights and have strong networking with global financial crime professionals join the group using below link https://lnkd.in/gWKkX5S3 Step 1 - Understand the Business Model Objective: Understand the client’s business model (banking, fintech, payments, etc.) to identify areas of exposure. EU Directive Reference: Under AMLD4 & AMLD5, a risk-based approach to AML/CFT must assess which business areas are most vulnerable to financial crime. Example: Fintech handling cross-border payments faces greater exposure. Enhanced due diligence (EDD) is recommended for high-risk jurisdictions under AMLD5. Step 2 - Analyze Customer Base & Jurisdictional Risk Objective: Evaluate customers to identify high-risk individuals (PEPs) and those in high-risk jurisdictions. EU Directive Reference: Banks must apply Customer Due Diligence (CDD) and identify Ultimate Beneficial Owners (UBOs), especially in high-risk areas, under AMLD4. Example: A wealth management firm with high-net-worth clients needs additional checks, such as sanctions screening and EDD for high-risk regions. Step 3 - Assess Transaction Types & Patterns Objective: Understand the nature of transactions—cross-border, high-value, or high-frequency—and their exposure to financial crime. Step 4 - Identify Emerging Risks Objective: Identify if the client faces risks from new products (cryptocurrency, fintech) or unregulated markets. EU Directive Reference: AMLD5 mandates stricter due diligence for virtual assets and cryptocurrency services. Example: A client offering crypto wallet services must ensure full compliance with KYC and UBO requirements under AMLD5. Step 5 - Understand Risk Appetite Objective: Gauge how much risk the client is willing to take and recommend controls that align with their risk tolerance. EU Directive Reference: AMLD4 requires financial institutions to implement stronger controls where risks are higher, but allow flexibility in lower-risk situations. Example: A global investment firm with a higher risk appetite in emerging markets needs automated AML solutions to streamline due diligence while ensuring strong oversight. Slide 8: Key Takeaways Business Model Risk: Tailor AML controls based on the client’s operations (banking, fintech, etc.). Jurisdictional Risk: High-risk regions require enhanced due diligence and monitoring. Transaction Risk: High-value or high-frequency transactions need stricter controls. Emerging Risks: New products like cryptocurrency bring additional risks. Client’s Risk Appetite: Align controls with the client’s willingness to accept risk. Connect with Me: Email: connect@amlcustodians.com

Fantastic article based on research by an NGO, which I was privileged to contribute. The article discusses the issues caused by automated algorithms in the banking sector, focusing on cases where accounts are incorrectly blocked due to perceived risks. It highlights how banks use AI to monitor transactions, sometimes leading to unjustified actions like the blocking or closing of accounts. This practice, called "de-risking," disproportionately affects vulnerable individuals, including small business owners. The lack of transparency and poor human decisions exacerbates these problems, leaving many without access to financial services. Article is in Spanish but ChatGtP can translate it for you. It is a good use case for the tech, unlike spotting money laundering as claimed by some cluless Regtechs.

Self-Introduction for Interviews: From Analyst to Manager in Financial Crime and AML from Heamanth K To know the latest regulatory industry trends and have networking opportunities please join the platform using the below link https://lnkd.in/gWKkX5S3 In the competitive field of financial crime and Anti-Money Laundering (AML), a well-crafted self-introduction can significantly impact your interview success. Whether you’re aiming for an analyst or a managerial role, how you present yourself can set the tone for the entire conversation. This article will guide you through the preparation, key inputs, and formats for effective self-introductions across various roles. Preparing Your Self-Introduction 1. Understand the Role and Company: Research the company’s mission, values, and recent developments in financial crime and AML. Tailoring your introduction to reflect your alignment with the company’s goals will show your genuine interest. 2. Structure Your Introduction: Start with Your Name and Current Role: Clearly state who you are and your current position. Educational Background: Briefly mention your relevant degrees and certifications. Professional Experience: Highlight key roles and responsibilities, focusing on achievements that align with the job you’re applying for. Skills and Expertise: Emphasize specific skills valuable in financial crime and AML, such as analytical abilities, regulatory knowledge, and leadership experience. Self-Introduction for Manager Role: “Hello, I’m [Your Name], and I currently serve as a Manager in the Financial Crime and AML division at [Current Company]. I have a [Your Degree] from [Your University] and over [X years] of experience in the industry. My expertise lies in leading teams to conduct comprehensive risk assessments and develop compliance programs that adhere to regulatory standards. One of my key achievements was implementing a new training program that improved our team's detection rates by [specific percentage]. I am excited about the opportunity at [Target Company] to further enhance our AML strategies and foster a culture of compliance and teamwork.” Key Inputs for an Effective Self-Introduction Be Concise and Relevant: Keep your introduction between 30 seconds and 1 minute. Focus on the most relevant information for the role. Practice Delivery: Rehearse your introduction to ensure it flows naturally. Practice in front of a mirror or with a friend to build confidence. Show Enthusiasm: Convey your passion for the financial crime and AML field and your eagerness to contribute to the organization. Prepare for Follow-Up Questions: Your introduction can lead to questions about your experiences and skills. Be ready to elaborate on specific points. #FinancialCrime #AML #CareerDevelopment #SelfIntroduction #InterviewTips

Spotting Trends in Financial Crime: Identifying Typologies and Conducting Investigations with Real-World Examples article from Heamanth K In the rapidly evolving world of finance, the specter of financial crime looms larger every day. With criminals continually refining their techniques, it’s essential for financial institutions and compliance professionals to stay ahead of the curve by identifying trending typologies and developing robust investigative strategies. Understanding Trending Typologies in Financial Crime What Are Typologies? Typologies are systematic classifications of the methods and techniques used in financial crimes. Recognizing these patterns allows institutions to proactively mitigate risks and tailor their compliance efforts. Trending Typologies in Financial Crime: Cryptocurrency Laundering Example: A criminal uses a mixing service to combine illicit funds from various sources, making it difficult to trace the original transaction. These funds are then transferred to various wallets, creating a complex web that obscures their origin. Investigation Tip: Use blockchain analysis tools to trace the flow of funds and identify suspicious patterns. Business Email Compromise (BEC) Example: A fraudster impersonates the CEO of a company, sending a fake email to the finance department requesting a wire transfer for a supposedly urgent project. The email appears legitimate, complete with the CEO’s signature. Investigation Tip: Monitor email accounts for unusual requests, especially those involving urgency or secrecy. Conduct a forensic review of email headers to verify authenticity. Invoice Fraud Example: A scammer sends an invoice that appears to be from a legitimate supplier but has different bank details. An unsuspecting employee processes the payment, sending funds to the fraudster instead. Investigation Tip: Implement a verification process for new invoices, including confirming changes in banking information with a phone call to the supplier. Synthetic Identity Fraud Example: A criminal combines real and fake information (like a real social security number with a fictitious name) to create a synthetic identity. They open credit accounts, accumulating debt that defaults. Investigation Tip: Utilize advanced identity verification tools to cross-reference information and flag inconsistencies. #FinancialCrime #AML #FraudPrevention #RiskManagement #Compliance #FinancialSecurity

The Inter-Ministerial Committee (IMC) on Anti-Money Laundering (AML) released a report to share our findings and recommendations following a review of Singapore’s AML framework. The IMC review, which drew lessons from the major money laundering (ML) case in August 2023, was convened to ensure that Singapore’s system remains relevant against increasingly sophisticated criminal tactics. The IMC’s recommendations enhance Singapore’s framework to combat ML, while remaining welcoming of the large majority of businesses, which are law-abiding and legitimate. The IMC’s recommendations and accompanying measures will strengthen the three key prongs underpinning Singapore’s AML framework – “Proactive Prevention, Timely Detection, Effective Enforcement”. The overarching strategy is a whole-of-society approach. Relevant stakeholders who are part of our frontline of defence need to work collaboratively with the Government. Read the full report here: https://lnkd.in/g7gKMzn6