Banks Should Follow Law Enforcement in Checking Offshore Activities of Clients, Say AML Professionals

By Brian Monroe

Accurately assessing the compliance risks of customers with assets in secrecy jurisdictions can be difficult in the best of situations. Whatever you try, investigations inevitably run up against the laws that veil financial ownership and activity from prying eyes. But compliance officers may do well by borrowing from the pages of law enforcement agents and private investigators in performing due diligence on clients with offshore holdings, said Paul Marks, owner of KYC Offshore, a boutique investigative services firm located in Jersey, a major offshore financial center about 15 miles off the coast of France. "The vast majority of people who...