Read our latest article on Anti-Money Laundering and Technolgy. And check out Trustnet.Trade® from Cargodian, our innovative compliance-as-a-service solution for SME.
Terrorists and other criminals are using the most advanced technologies to fund illegal operations, swindle innocent victims, and generally do harm. The European Union’s sixth anti-money laundering directive makes punishment for these criminals, as well as anyone who aids or abets them.
It is not only individuals who may be held responsible for money laundering and funding terrorist activities—the 6AMLD has extended culpability to “legal persons” such as businesses and partnerships who do not do their due diligence to ensure none of their employees or associates are engaged in legal activities.
If criminals are going to rely on technology, the only way to stay ahead of them is to employ even more advanced solutions. Your most effective partners in AML compliance are going to be smart technologies like machine learning, natural language processing, cloud-based APIs, and artificial intelligence.
What can technology do that your human compliance officers can’t? Preventing money laundering and other financial and cyber-crimes requires making sense of huge amounts of data. Depending on how expansive your business is, there could be millions of data points to comb through. Your compliance officers would also need to make meaningful connections between all those data points and recognize suspicious patterns.
Algorithms can perform this work in a matter of seconds and are not prone to making mistakes as humans are.
Programs like Trustnet.Trade® can collect and analyse high-quality data in real-time to flag activity from partners or clients that warrants further investigation. In the event any suspicious changes are taking place, acting in a timely manner can protect your business from charges and penalties.