2010 Ushered in New Compliance Duties, Record Fines but Few Resources, Say Professionals

By Colby Adams, Brian Monroe and Brian Orsak

Regulatory pressure grew on financial institutions in 2010 though few compliance departments saw an increase in budgets or resources in the wake of an 18-month recession, say industry professionals. While the slew of layoffs and poor earnings that afflicted financial institutions in 2009 seemed to have largely abated, funding for anti-money laundering (AML), counterterrorism financing, sanctions enforcement and Foreign Corrupt Practices Act (FCPA) compliance programs remained roughly static, according to individuals at an array of financial institutions and consultancies. But unlike in 2009, compliance departments in 2010 saw "a flurry of new rules and new proposed rules" from the U.S....