Sanctions and AML Insights

Bank of America has publicly acknowledged the cease-and-desist order issued by the OCC and affirmed its commitment to improving its anti-money laundering (AML) and sanctions compliance programmes. The bank has been engaging with regulators over the past year to address existing gaps and has stated that it is well-positioned to meet the requirements outlined in the enforcement action. In its October 2024 filing, Bank of America had already indicated that regulatory discussions were underway and signalled the likelihood of future actions. Despite the seriousness of the OCC's findings, the bank does not anticipate any material adverse financial impact resulting from the order.

In today’s data-driven world, the Open Source Intelligence (OSINT) framework has emerged as a powerful approach to extracting actionable insights from publicly accessible information across digital platforms. From cybersecurity and national security to business strategy and humanitarian response, OSINT enables organisations to monitor, analyse, and respond to developments in real-time—cost-effectively and ethically. It leverages diverse sources such as social media, news outlets, public records, and geospatial data, turning unstructured data into strategic intelligence through automated tools and expert analysis. While its advantages include scalability, comprehensive coverage, and legal transparency, OSINT also presents challenges related to data overload, accuracy, and ethical use. As technology advances, the integration of AI, real-time visualisation, and cross-domain intelligence sharing is poised to enhance OSINT’s impact, making it a cornerstone of modern intelligence practices in both public and private sectors.

The OFAC alert regarding Russia's SPFS system highlights the growing challenges financial institutions face in navigating sanctions compliance. With SPFS facilitating potential sanctions evasion, banks must reassess their risk management frameworks, scrutinise correspondent relationships, and leverage specialised data sources to identify exposures. Divergent regulatory approaches between the US and EU further complicate compliance efforts, necessitating robust, adaptable strategies. Proactive measures, including the integration of advanced screening tools and real-time data, are essential for institutions to mitigate risks and uphold the integrity of the global financial system.

The Corporate Transparency Act marks a significant advance in the fight against financial crime by requiring companies to disclose beneficial ownership information to US authorities. Aimed at increasing transparency, closing regulatory gaps, and aligning with international standards, the Act imposes new compliance obligations on many small and medium-sized businesses. While it strengthens accountability and corporate governance, it also presents challenges around privacy, enforcement, and administrative burden, highlighting the need for businesses to establish robust compliance systems and embrace transparency as a core principle of responsible operation.

Anti-Money Laundering (AML) is getting a boost from Artificial Intelligence (AI). This article explores how AI is revolutionizing AML by detecting hidden criminal patterns, but also discusses the challenges of data privacy and ensuring fair AI models.

The New York State Department of Financial Services (NYDFS) serves as a central regulatory authority overseeing a broad spectrum of financial institutions within New York. Established in 2011, the department's mission encompasses the supervision of banks, insurance companies, and emerging financial technologies, ensuring compliance with state laws and protecting consumers from financial misconduct. Through rigorous enforcement, consumer education, and the promotion of cybersecurity and innovation, the NYDFS maintains the integrity and stability of New York's financial system, reinforcing its status as a global financial leader.

The FBI Watch List Search is a vital tool for organisations seeking to manage risk and ensure compliance with regulatory requirements. By screening clients, partners, and transactions against databases of individuals linked to criminal or terrorist activities, businesses can proactively identify potential threats and protect their operations. Effective watchlist screening, supported by advanced technology and robust internal processes, not only enhances security and governance but also helps maintain trust, regulatory compliance, and operational resilience in an increasingly complex global environment.

Sanctions and embargoes are essential tools in international relations, enabling nations to uphold global norms, protect national security, promote human rights, and deter unlawful behaviour without resorting to military force. By imposing economic and diplomatic restrictions, countries can pressure rogue states to comply with international standards, limit access to strategic resources, and signal collective moral opposition to aggression or oppression. While their effectiveness depends on careful design, enforcement, and multilateral cooperation, sanctions remain a crucial means of maintaining international law, encouraging peaceful resolutions, and safeguarding global stability.

The UK has a robust framework to combat money laundering and terrorist financing. This guide explores key AML regulations, compliance requirements, and best practices for businesses. Learn how to implement effective AML policies and controls to protect your organisation.