FCA Data on UK Financial Crime

Of relevance to: All firms In a speech by Megan Butler, Executive Director of Supervision – Investment, Wholesale and Specialists at the Financial Conduct Authority (“FCA”), delivered at the Anti-Money Laundering TechSprint event on 22 May 2018, the FCA revealed that 2,100 firms, including all the major banks and life [...]

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Information Sharing in the Private Sector

Of relevance to: All firms, particularly those within groups of companies The Financial Action Task Force (FATF) have issued additional guidance on Private Sector Information Sharing which aims to improve effective information sharing, one of the cornerstones of the FATF Recommendations. Information sharing is crucial for combatting money laundering, terrorist [...]

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Money Laundering: Changes to Guidance

Of Relevance to: All regulated firms The Joint Money Laundering Steering Group (“JMLSG”) is consulting on changes to Part I of the Guidance – the current version was last amended in November 2014. The proposed revisions reflect the draft Money Laundering and Transfer of Funds (Information on the Payer) Regulations [...]

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REP-CRIM

Of Relevance to: Firms falling within the criteria within SUP 16.23; those persons with responsibility for oversight of financial crime A reminder that a new financial crime data return (REP-CRIM) comes into force on 31 December 2016 – see Regulatory Roundup 75 and 78. The draft rules first appeared in [...]

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FCA Anti-money Laundering Annual Report

Of Relevance to: All firms The FCA has published its Anti-money Laundering Report for 2015/16 on its website. Highlights include: Financial crime was a top priority in 2015/16 and will remain so in 2016/17. Proactive AML supervision continues via both SAMLP (Systematic Anti-Money Laundering Programme) which covers 14 major retail [...]

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Market Abuse: Delegated Regulation

The new market abuse regime deriving from Market Abuse Regulation 596/2014 (EU MAR) applies from 3 July 2016 – see Regulatory Roundup 70 for further details. The European Commission has published a Delegated Regulation (and accompanying Annexes), addressing various matters including: extending the exemption to certain public bodies etc. from [...]

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Market Abuse

The FCA has released consultation paper CP15/35 on the revised market abuse regime “Policy proposals and Handbook changes related to the implementation of the Market Abuse Regulation (2014/596/EU)”. The current UK market abuse regime is largely centred around the 2003 Market Abuse Directive (MAD) with UK ‘bolt-ons’ that were based [...]

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Whistleblowing

SYSC 18 promotes, in the sense that it contains guidance rather than rules, the use of the Public Disclosure Act 1998 in making protected disclosures (‘whistleblowing’).  SYSC 18.2.2 specifically encourages firms to adopt internal procedures which will encourage workers with concerns to whistleblow internally about matters which are relevant to [...]

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AML: UK Risk Management

HM Treasury has published the first money laundering and terrorist financing (AML/CTF) national risk assessment (NRA).  It may be recalled that earlier this year it published a supervision report on AML/CTF for 2013-14 – see Regulatory Roundup 64. Chapter 6 concerns the ‘regulated sector’; for the purposes of the paper [...]

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Money Laundering: Due Diligence Risk Factors

Under Article 17 (‘simplified due diligence’) and Article 18(4) (‘enhanced due diligence’)  of the fourth Money Laundering Directive (2015/849), the European Supervisory Authorities (ESAs) are required to issue guidelines to both firms and competent authorities on the risk factors to be taken into consideration when applying the required due diligence. [...]

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Cyber Security 101: Educate

AIMA, the Alternative Investment Management Association, launched its Guide to Sound Practices for Cyber Security yesterday with a panel discussion hosted by MacFarlanes. The guide is relatively short for such a large subject, but information dense. It is pragmatic and helpful and has been targeted at the hedge fund and [...]

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AML Regulations for Registered Investment Advisers

On 25 August 2015, the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury, proposed new rules (the Proposed Rules), requiring “certain” registered investment advisers (those registered with the United States Securities and Exchange Commission (SEC)) to establish anti-money laundering (AML) programs and to report [...]

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