The Treasury Department's customer due-diligence rule has forced U.S. credit unions to re-evaluate the risks posed by corporate clients, but the industry faces a unique challenge: strict limits governing the closure of accounts, sources told ACAMS moneylaundering.com.
The U.S. Treasury Department’s customer-due diligence rule promises to not only impact anti-money laundering obligations when it takes effect next month, but sanctions and anti-bribery compliance as well, say sources.
Many compliance officers may have never heard of "circular ownership"- a corporate structure of holding companies and subsidiaries that financial institutions often struggle to map out and unravel during the customer-onboarding process.