U.S. financial institutions and their regulators will eventually need to collect and analyze increasingly large volumes of information on their clients and compliance efforts, bankers and officials said Monday. Increasing digitization and vast improvements in how information can be managed has made it possible for more financial institutions to utilize so-called "big data" as part of their efforts to curb financial crimes, according to panelists at the 2013 ABA/ABA Money Laundering Enforcement Conference in Washington, D.C. "I actually am starting to embrace the idea of big data," said Rick Small, a senior vice president in the anti-money laundering (AML) division...
The U.S. Treasury Department issued rules Friday broadening the types of law enforcement data requests banks can receive to include queries from foreign officials and investigations tied to additional crimes.
A proposed rule that would empower foreign and U.S. state and local law enforcement agencies to make information requests under a provision of the Patriot Act is meeting stiff resistance from banks and has raised concerns within the law enforcement community.
Banks need better legal safeguards when sharing customer information with other financial institutions in mortgage fraud investigations, say bank compliance professionals. At least one bank industry group wants to get Congress to consider such safeguards.