KYC360 Weekly Roundup - 31st May 2024

Published on May 31, 2024

Top stories this week: 

EBA Recommends Overhaul of Virtual IBANs Due to Money Laundering Risks | BaFin Eases Growth Restrictions on N26 Bank | Woman Jailed in the UK for Laundering Bitcoin 

Welcome to this week’s edition of the KYC Roundup - your gateway to the most impactful developments in the world of Anti-Money Laundering and financial crime. In the AML arena, the top stories feature the EBA recommending an overhaul of virtual IBANs, BaFin easing growth restrictions on N26 bank and a woman being jailed in the UK for laundering Bitcoin.  

In the fast-paced world of sanctions, the EU considers potential sanctions against Israel and the U.S. Deputy Treasury calls for tightening of sanctions against Russia.  

In the corruption space, the former Malta PM Joseph Muscat faces corruption charges. 

We round off this week’s roundup with an opportunity to learn more about KYC360’s recent recognition as a category leader in the Chartis RiskTech Watchlist Monitoring Report. 

Financial_ServicesKYC & AML

EBA recommends overhaul of virtual IBANs due to money laundering risks  
A European Banking Authority (EBA) report reveals that inconsistencies in the interpretation and application of regulatory laws across national authorities related to virtual IBANs is raising concerns over the risks of money laundering and terrorist financing. 

BaFin eases growth restrictions on N26 Bank 
The European digital bank was limited by the German regulatory authority BaFin to onboard a maximum number of 60,000 customers a month as a result of AML failings. The restriction will be lifted from June 1st 2024.  

Woman jailed in the UK for laundering Bitcoin  
Jian Wen helped hide the proceeds of over £5 billion worth of fraud and was found with over 61,000 Bitcoin worth £1.4 billion at the time of her arrest in 2021. She has been jailed for six years and eight months.  

TD Bank downgraded to ‘negative’ outlook amid AML probes  
The rating agency S&P Global revised its outlook to negative for the Canadian bank as a result of the business risks it faces due to ongoing anti-money laundering probes. The bank has set aside $450 million to cover potential fines.  

European financial watchdog says Vatican is making progress in combatting money laundering  
The watchdog Moneyval gave the Vatican higher marks for improving its compliance measures and stated that it had addressed technical compliance deficiencies which were first found in 2021. 

 

SanctionsSanctions

EU considers sanctions against Israel due to Rafah operations 
Irish Foreign Minister Micheál Martin stated, “For the first time at an EU meeting, in a real way, I’ve seen significant discussion on sanctions.” The International Court of Justice (ICJ) has urged Israel to cease its offensive in Rafah immediately.  

U.S. Deputy Treasury calls for tightening of sanctions against Russia 
Deputy Treasury Wally Adeyemo said, "We need to do everything we can to go after that military-industrialised complex using sanctions and export controls, and thinking about what we do going forward has been a big part of our conversations with Ukrainian officials."   

 

CryptoCorruption

Former Malta PM Joseph Muscat faces corruption charges  
Prosecutors formally charged the ex-PM with corruption relating to a 2015 public health contract. Muscat has pleaded not guilty to the charges.  

Gambling_GamingGaming and Gambling

Sportsbet commits to remediation to comply with AML laws  
The Australian regulator AUSTRAC has mandated the online betting company Sportsbet to uplift its compliance with anti-money laundering and illicit financing laws. AUSTRAC CEO Brendan Thomas stated, "The enforceable undertaking is designed to help prevent Sportsbet becoming a place criminals can funnel their illicit funds through.”  

Resources

KYC360 News

KYC360 recognised as a category leader in Chartis RiskTech Watchlist Monitoring Report 
KYC360 is proud to be featured in the prestigious 2024 Chartis RiskTech report, gaining recognition as a category leader for Adverse Media Monitoring Solutions and Name and Transaction Screening Solutions. 

Read more

 

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