Banking compliance professionals are hoping that a regulatory task force led by the Atlanta Fed that is studying the possible risks associated with electronic payment systems will result in useful guidance for improving anti-money laundering programs. On March 18, Federal Reserve Bank of Atlanta official John Atkinson disclosed plans to form the multi-agency working group. The Electronic Payment Risk Forum will study any possible money laundering, payment, operational, legal, fraud and credit risks associated with these payments, Atkinson said. "It's very opaque and there's a lack of understanding," said one AML consultant. "There needs to be more transparency, and people...
Some banks have yet to comply with new rules on international automated clearing house transactions nearly five months after a regulatory deadline for implementation has passed, according to consultants.
Internet businesses that allow individuals to move money rapidly and with relative anonymity are likely to be exploited by traditional and trade-based money launderers, according to a report issued by the Paris-based Financial Action Task Force.
Concerned that there are too many unknown risks associated with electronic payments, the Federal Reserve Bank in Atlanta will launch the Electronic Payment Risk Forum to examine the payment products and systems.