Japanese laws to combat money laundering and terrorist financing fall short in over half of the 49 international standards set by an influential intergovernmental watchdog. The Paris-based Financial Action Task Force (FATF) said Thursday that Japan was non-compliant with 10 and partially compliant with 15 of its recommendations to counter money laundering and terrorist financing. Japan's report contains the most non-compliant and partially compliant ratings of any G7 member nation evaluated by the FATF. Japan failed to meet standards on customer due diligence, politically exposed persons, correspondent banking, new technologies, designated non-financial businesses and professions, internal controls and audits and...
Japan's financial regulator ordered Citibank's Japanese arm to suspend its retail sales operations for a month over anti-money laundering deficiencies, marking the second high-profile enforcement action against the bank.
Japan will impose anti-money laundering requirements on credit card companies, real estate agencies and other nonfinancial industries beginning March 1 as a global watchdog prepares to evaluate the nation's AML regime.
The Financial Services Agency ordered Bank of Tokyo to improve its New York branchs policies for identifying politically exposed persons, correspondent accountholders and other high-risk customers, including those who conduct frequent wire transactions.
The Federal Reserve and New York State Banking Department entered into a written agreement with Sumitomo Mitsui Banking Corp. on Wednesday ordering its New York branch to improve Bank Secrecy Act compliance deficiencies a month after another Japanese bank was cited for risk management deficiencies.