Top stories this week:
$750 Billion in Illicit Funds Flowed Through Europe in 2024 | UK Police Raid Turkish Barber Shops in Money Laundering Crackdown
Welcome to this week's edition of the KYC Roundup, your gateway to the most impactful developments in the world of Anti-Money Laundering (AML) and financial crime. In the AML arena, a report finds that $750 billion in illicit funds flowed through Europe in 2024 and UK police raid Turkish barber shops in money laundering crackdown.
In the fast-paced world of sanctions, the UK applies sanctions against a pro-Russian network and the U.S. applies sanctions against an Iranian weapons procurement network.
In the corruption space, the case against New York Mayor Eric Adams is dropped and a UK solicitor is suspended after allowing millions to go through his firm’s account.
We round off this week’s roundup with our latest report, “TD Bank AML Failures: What Went Wrong.”
KYC & AML
$750 billion in illicit funds flowed through Europe in 2024
A report from Nasdaq Verafin estimates that approximately $750 billion in illicit funds flowed through Europe’s financial system in 2024, representing 2.3% of the continent’s GDP.
UK police raid Turkish barber shops in money laundering crackdown
UK law enforcement agencies have conducted raids on numerous barber shops suspected of being used as fronts for money laundering activities. The establishments, primarily Turkish-owned, are suspected of concealing proceeds from criminal enterprises such as drug trafficking and human smuggling.
AUSTRAC identifies AML deficiencies in crypto ATMs
Australian regulator, AUSTRAC has identified AML/CTF deficiencies in some crypto ATM providers. An internal taskforce has been put into place to engage with businesses and address compliance issues.
FinCEN issues warning over ISIS financing
The U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) has issued an advisory warning that ISIS is receiving financial support from sympathisers internationally. The advisory provides red flags to assist financial institutions identify and report suspicious activity.
Transparency International urges Switzerland to bolster AML reforms
Transparency International has called on Switzerland to address gaps in its AML reforms, with recent changes introduced in parliament leading to the risk of loopholes.
Swiss regulator FINMA restructures after resignation of deputy CEO
The Swiss Financial Market Supervisory Authority (FINMA) has announced organisational changes. The restructuring, which includes the addition of an “Integrated Risk Expertise” division aims to enhance the regulator’s effectiveness in overseeing Switzerland’s financial markets. This follows the resignation of Deputy CEO Birgit Rutishauser.
UK Solicitor suspended after allowing millions to go through firm account
Solicitor William Osmond has been suspended after permitting a client to use the firm’s account as a banking facility, resulting in millions of pounds passing through without proper oversight.
Saudi Arabia implements beneficial ownership reporting
Saudi Arabia has introduced new Ultimate Beneficial Ownership (UBO) rules requiring most companies to disclose their beneficial owners to the Ministry of Commerce. This initiative aims to enhance corporate transparency.
Sanctions
UK applies sanctions against pro-Russian network
The UK has imposed sanctions on the Russian-based Evrazia group, accusing it of attempting to destabilize Moldova’s democracy through election interference.
U.S. applies sanctions against Iranian weapons procurement network
The U.S. has sanctioned six entities and two individuals based in Iran, the UAE and China for their involvement in Iran’s UAV and ballistic missile procurement networks.
Corruption
Corruption case dropped against New York Mayor Eric Adams
A U.S. District Court judge has dismissed the corruption case against New York City Mayor Eric Adams, citing the court’s lack of authority to compel prosecution. The charges alleged that Adams accepted bribes from Turkish officials, but the case was dropped amid concerns over political interference.
KYC360 News
Report: TD Bank AML Failures
TD Bank received a record $3 billion penalty in 2024 for shocking AML failures caused by significant compliance gaps and a toxic corporate culture. Discover the critical lapses and the key lessons for financial institutions to avoid similar mistakes in this in-depth report.
Your latest weekly update from the worlds of money laundering, legislation and regulation, sustainability, gaming and gambling, crypto and sanctions.
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