FIN.

Category - Financial Crime Prevention

FCA publicly censures former Sonali Bank CEO

FCA has at last issued its final notice which publicly censures Mohammed Ataur Rahman Prodhan, former CEO of Sonali Bank UK.  FCA had already taken regulatory action against both the bank and its MLRO in relation to AML...

FCA reacts to FTX failure

FCA has noted that UK customers of FTX may be alarmed following its provisional liquidation in the Bahamas and filing for bankruptcy in the US. It had previously warned customers that FTX is not regulated in the UK and...

Final day of FSMB debate published

In the morning and afternoon of the final day of the Public Bills Committee debate on the FSM Bill, the remaining tabled new clauses were discussed: that the Chair of the PSR should be a member of the FCA board:  this...

Andrew Griffith letters on FSMB

The House of Commons has published a letter from Andrew Griffith on the FSM Bill dated 10 October to Tulip Siddiq and Abena Oppong-Asare. The letter followed the second reading of the Bill and addresses: the...

OFSI updates Russian sanctions guidance

The FCDO, OFSI and the ECJU have updated its guidance on the scope of the sanctions against Russia and when a licence might be available.  The update caters for the most recent regulations (Amendment number 15), which...

Highlights of FSMB debates from 25 October

The 3rd and 4th sittings of the Public Bill Committee debate on the FSM Bill took place on 25 October.  After the evidence sessions from witnesses on 19 October, the line-by-line scrutiny of the Bill has now started...

FATF consults on BO guidance

FTAF is consulting on updates to its guidance on Recommendation 24, following the amendments to the Recommendation that it adopted in March. The draft guidance explains the purpose of gathering beneficial ownership...

Further FSMB revisions released

Parliament has published the latest raft of proposed amendments to the FSM Bill. These include: a change to the very first sub-clause, replacing the revocation of the EU and EU-derived legislation in the schedule so...

Call for evidence on Economic Crime Bill

The Public Bill Committee has invited written evidence on the Economic Crime and Corporate Transparency Bill, which is due to start its scrutiny in the Public Bill Committee on 25 October, and to conclude by 24 November...

OFSI and OFCA announce enhanced partnership

OFSI and OFAC held a multi-day technical exchange designed to aid collaboration between the agencies in future. In practice, this means that OFAC and OFSI officials will more often exchange best practices and pool...

FSMB Committee stage timetable published

Following the announcement that the Committee stage in the Commons will begin on 19 October, a timetable for the sessions has now been published. Key witnesses scheduled to appear on that day include BoE, PRA, FCA and...

FCA fines Gatehouse Bank for AML failings

FCA has fined Gatehouse Bank £1.5m (after a 30% reduction for early settlement) for significant weaknesses in its AML controls which lasted for 3 years to July 2017. It found the bank generally failed to conduct...

FSMB Committee stage scheduled for 19 October

An update to the Parliament website shows the Committee stage for the Financial Services and Markets Bill will start on 19 October.  After the line by line debate is complete, the Bill will be republished for report...

PSR sets out APP scam protection proposals

PSR is consulting on how to increase consumer support for APP scams.  Following the initiatives it has taken to date, the new measures will: require reimbursement in all but exceptional cases; improve and make...

OFSI fines for sanctions breach

OFSI has published details of a monetary penalty imposed on Hong Kong International Wine and Spirits Competition Ltd. The fine, of £30,000 related to 3 payments and 78 wine bottles the company had received from a...

FOS publishes latest complaints data

FOS has published its latest quarterly data on complaints in relation to financial products. The data covers the period of April to June 2022, and can be accessed in full as a spreadsheet. Over the period, the average...

FCA speaks on “force multiplier effect”

Sarah Pritchard, Executive Director of Markets at the FCA has recently given a speech on how the “force multiplier effect” is key to fighting financial crime. She said the role of those in the first line of...

OFSI updates sanctions guidance

OFSI has published a blog on who needs to make reports to it in relation to financial sanctions issues and how, and also also updated its general guidance on financial sanctions to give greater guidance on reporting.

JMLSG updates Motor Finance guidance

JMLSG has published revisions to its sectoral guidance on Motor Finance. It has submitted the new guidance to Treasury for approval. The additions to the existing guidance comprise of an FLA industry standard annex...

MLR amendments made

The Money Laundering and Terrorist Financing (Amendment)(No 2) Regulations 2022 were made on 21 July. The changes implement Treasury’s conclusions following its consultation and will mainly take effect from 1...

FCA publishes Annual Report

FCA has published its Annual Report and supporting papers. It highlighted: how nearly 600,000 people are paying less in interest and charges on credit card debt following rule changes; how further rule changes have...

EU reaches agreement on crypto measures

The EU has reached agreement on critical elements of crypto-asset regulation. The European Parliament and the European Council have reached a provisional deal new legislation aiming to ensure that crypto transfers can...

UK sanctions more Russian oligarchs

New sanctions under the Russian regime designate more individuals within Vladimir Putin’s inner circle, including Russia’s second richest man, and a relation to Putin’s who is president of a large...

FCA seeks retrial in insider dealing case

Following the Court’s decision to discharge the jury after they were unable to reach a verdict following an 8-week trial, the FCA has announced that it will pursue a retrial of Stuart Bayes and Jonathan Swann for...

Outcomes of FATF plenary

The latest FATF Plenary meeting took place from 14-17 June. At it, FATF agreed to severely limit the role of Russia and its influence in FATF; approved a report to help the real estate sector better detect and prevent...

FCA update on market abuse and manipulation

Tackling market abuse is one of the FCA’s strategic priorities. Given recent press reports about the FCA’s approach, the FCA outlined the work it does to tackle insider trading and manipulation and to warn...

NCA updates SAR Glossary codes

NCA has published updated guidance on SAR Glossary Codes and Reporting Routes. The booklet follows the familiar form, providing: a checklist aimed at establishing whether the circumstances require immediate attention...

Treasury feeds back on MLR changes

Treasury has published the feedback on its consultation from last summer on amendments to the MLRs. It has now analysed the responses to the consultation, made the legislative changes, and most of the changes will take...

EBA publishes MLRO role guidelines

EBA has published its final guidelines on the role and responsibilities of the officer in charge of compliance with AML and CTF and of the management body of credit and financial institutions. As ever, the Guidelines...

FATF publishes UK follow up report

FATF has carried out its latest assessment of the UK’s compliance with its Recommendations, following the 2018 report. FATF says the report from the UK on the actions taken since the last evaluation has enabled it...

FCA speaks on regulating finance in the UK

Charles Randell, FCA and PSR Chair, has delivered a speech on regulating finance for the whole of the UK. Highlights include: Importance of partnerships and policy coherence – the FCA recognises the continued importance...

FCA asks for reports of sanctions evasions

A new page on the FCA website asks for reports of sanctions evasion by firms on any of FCA’s registered or by companies with UK listed securities. The new page gives details of how: individuals can report as...

Queen’s Speech 2022 – FS elements

The Queen’s Speech 2022 outlined the government’s legislative priorities for the next parliamentary session. The measures announced include two bills of particular interest to financial services...

FCA talks of a “digital regulator”

Jessica Rusu, FCA’s Chief Data, Information and Intelligence Officer, has spoken on how FCA is building its digital regulatory future. Its work will focus on fostering innovation, being intelligence led and...

MEPs vote on draft crypto legislation

MEPs from ECON and the Committee on Civil Liberties have voted to adopt their position on draft crypto legislation which forms part of the EU’s wider package of measures aimed at strengthening AML/CFT rules in the...

Regulators remind firms of crypto risks

PRA and FCA have written to firms reminding them of their obligations when interacting with or exposed to crypto-assets and related services. FCA reminds firms that crypto can offer benefits but also increased risk to...

Update on Overseas Entities Register

Read our updated article on the creation of the Overseas Entities Register under the Economic Crime (Transparency and Enforcement) Act 2022.  The article highlights that the grace period given to overseas entities to...

EP reports on crypto Regulation proposal

The European Parliament has published its report on the proposal for a Regulation of crypto asset service providers.  A key change is to specify that any person providing any relevant services to EU citizens must both...

Treasury updates AML advisory

The latest AML advisory to update the list of high risk third countries has been updated to reflect FATF’s latest list. The list now comprises Albania, Barbados, Burkina Faso, Cambodia, Cayman Islands, DPRK...

New rules on cryptocurrencies in the EU

MEPs have agreed on draft rules on supervision, consumer protection and environmental sustainability of crypto-assets, including cryptocurrencies such as bitcoins. For those issuing and trading crypto-assets, the new...

Economic Crime Act gets Royal Assent

The Economic Crime (Transparency and Enforcement) Act 2022 got Royal Assent on 15 March only 14 days after its introduction into Parliament. As noted in previous posts and articles, the main focus of the Act is: the...

Treasury and FCA on investing in Russia

The Chancellor has called on all UK firms to think very carefully about any investments that might support the Putin regime, and has welcomed commitments to divest away from Russian assets. The Government recognises...

FCA warns on illegal crypto ATMs

FCA has warned operators of crypto ATMs that they must shut down their machines. Any firm operating a crypto ATM in the UK must be registered under the MLRs, but no firm that does operate one has yet been approved by...

FCA creates Ukraine-focussed webpage

FCA has created a new webpage to bring together its various resources and publications relating to the Russian invasion of Ukraine. It includes FCA’s notices about the effect of the invasion on financial markets...

AML Levy Regulations made

The Economic Crime (Anti-Money Laundering) Levy Regulations have been made and will take effect on 1 April. The Regulations: specify the FCA, Gambling Commission or HMRC as appropriate as the collection agencies; and...

Sanctions and Economic Crime update 11 March

Over the last couple of days: OFSI has published a blog on the evolving Russian sanctions, including calling out the intent of the Economic Crime bill to introduce a strict civil liability test, and confirming that it...