The release of the long anticipated Bank Secrecy Act/Anti-Money Laundering Examination Manual for Money Services Businesses (MSB Manual) has left many regulators, money services business (MSB) and banks struggling to understand what the manual means for them. Uncertainty exists as to how the manual will affect the efforts of MSBs to meet recordkeeping and reporting obligations and prevent them from being used to facilitate money laundering and terrorist financing activities. Examiner Concerns. Examiners have a more detailed roadmap for examining MSBs and face the question of whether they have adequate resources to undertake examinations with the breadth and scope contemplated...
A federal letter asking money services businesses to turn over data on their agents marks the first broad U.S. effort in 14 years to better understand the scope of the fractured money transmitter market.
The division of investigatory and enforcement powers between two U.S. Treasury Department agencies has resulted in few monetary penalties for anti-money laundering compliance lapses by money services businesses and tension between the two agencies, say current and former government officials.
Money services businesses are jumping through a new hoop to prove they have adequate anti-money laundering programs: in response to demands from banks, they are turning over copies of the independent reviews of their programs meant for regulators.
A stalled economy and expanding compliance requirements are prompting many financial institutions to seek innovative ways to improve their compliance functions. One approach a growing number of financial institutions are considering is combining their anti-money laundering and fraud units.
Federal and state regulators have been conducting Bank Secrecy Act compliance examinations on money services businesses using a draft of a soon-to-be-released examination manual for the industry, according to regulators.
If AML training is to be embraced in your organization, employees must take ownership of it, Patrick Fogerty of the Union Bank of California writes. The most effective way to do that is to have the business units of your enterprise create and maintain their own training programs.
The manual, issued by the Federal Financial Institutions Examination Council, will include language from a FinCEN ruling on due diligence for certain correspondent accounts for foreign banks, according to people familiar with the matter.