The Ghost in the Shell
Shell companies, meaning businesses that have a legal structure but no real operations or assets, have been used extensively in money laundering, proliferation finance, sanctions evasion, tax evasion, and other types of financial crimes. There is now evidence that shell companies are increasingly being used for strategic trade control violations too. This is good news for financial institutions: existing controls designed to detect the misuse of shell companies for other financial crimes will catch export control-related activity in their net too – but some adaptations are required.
Collaboration Between Chinese Money Laundering Organizations & Drug Cartels
Global regulators are highlighting the growing threat of Chinese money laundering organizations that help transnational criminal organizations—particularly drug cartels—access and move assets through the global financial system. Global financial institutions must enhance their due diligence efforts, given the growing scope of the problem and the increasingly sophisticated methods used to launder drug proceeds.
Elevating Defenses
Dive into the cutting-edge strategies that financial institutions are implementing to combat the evolving threat of AI-driven fraud. From deploying advanced detection technologies to fostering robust networks of allies, learn how the financial sector is bolstering its defenses against sophisticated scams like deepfakes and biometric fraud.
Deepfakes and Dollars
While AI has the potential for transformative impact in the financial sector, it also introduces new challenges. From biometric mimicry to the alarming rise of deepfakes, this blog highlights emerging threats and challenges in countering AI-driven fraud.
Lessons from the Flight Deck
Automation and artificial intelligence, including machine learning, have the potential to provide significant benefits within financial services – however they must be implemented responsibly. In this article, we draw on the use of automation in other sectors such as aviation, review key global regulations, and examine regulatory enforcement actions, to identify best practices for responsible use of AI in compliance.
Adapting to Digital Assets Risks
In our recent webinar, "Mastering Compliance in Digital Assets through Multi-Tiered Defense Strategies," industry leaders examined the intricacies of digital asset compliance. Featuring a panel of industry experts including Andrew Rosenberg, Elizabeth Severinovskaya, and Catherine Woods, this blog post summarizes the key insights shared during the event.