Tag: money laundering
This year, the act passed, as expected, the committee stage smoothly with only one minor bump in the road: Senator Ron Wyden (D-OR).…
It agreed to pay back $586m, retrain its staff, and submit to three years of independent oversight. "Western Union owes a responsibility to American consumers to guard against fraud, but instead the company looked the other way, and its system facilitated scammers and rip-offs," said FTC Chairwoman Edith Ramirez. "The agreements we are announcing today will ensure Western Union changes the way it conducts its business and provides more than a half billion dollars for refunds to consumers who were harmed by the company's unlawful behavior." The amount of the, effectively, nine-figure fine is certainly larger than the usual slap on the wrist that US regulators hand out. Last year, Western Union banked a net income of $837.8m, so the forfeit accounts for over eight months of profits – although considering that the complaint [PDF] states that the company has been carrying on in this way for at least eight years, Western Union is still in black from its activities. The FTC complaint states that Western Union must have been aware that they were carrying fraudulent transfers on their network and did nothing to stop them, or to rein in rogue agents in its employ.
In doing so, it violated banking secrecy laws and FTC reporting requirements. The government stated that Western Union agents were used in a number of scams, including internet fraud and online gambling.
It says that some of the funds identified came from scammers who took over social media accounts to declare they have been mugged and asking friends to send funds via Western Union to help. It also highlighted large numbers of transactions designed to send just under $10,000 overseas.
If someone sends more than that abroad it must be reported, so scammers do multiple smaller transactions that Western Union must have known were dodgy, the complaint claims. "As a major player in the money transmittal business, Western Union had an obligation to its customers to ensure they offered honest services, which include upholding the Bank Secrecy Act, as well as other US laws," said Chief Richard Weber of Internal Revenue Service–Criminal Investigation (IRS-CI). "Western Union's blatant disregard of their anti-money laundering compliance responsibilities was criminal and significant.
IRS-CI special agents – working with their investigative agency partners – uncovered the massive financial fraud and is proud to be part of this historic criminal resolution." ® Sponsored: Customer Identity and Access Management
eProseed will participate as a Supporting Partner in the 11th MENA Regulatory Summit on February 5th & 6th in Dubai, United Arab Emirates.
The summit will cover the main topical challenges faced by the regulatory authorities and the GRC community, a debate in which eProseed has a pivotal role to play as the publisher of FSIP, a comprehensive financial supervision solution dedicated to Central Banks, Financial Regulators and Supervisory Authorities.
The 11th MENA Regulatory Summit will take place in Dubai, UAE, in association with the Dubai Financial Services Authority (DFSA) and under the patronage of H.E.
Sultan bin Saeed Al Mansouri, the UAE Minister of Economy.
Formerly known as the GCC Regulators' Summit, the event has been renamed in an effort to ensure the utmost involvement of the governance, risk and compliance (GRC) community across the MENA (Middle East and North Africa) region, and to expand the dialogue to neighboring countries that share the same topical risk challenges and regulatory outlook.
"With increasing demands from many international regulatory bodies, financial supervisory authorities are required to monitor the compliance of their financial institutions against numerous new national and international requirements.
In the MENA region, the recent macroeconomic developments have also triggered an unprecedented demand for collection of high precision data at high frequency from all financial institutions to support a better risk based supervision", comments Geoffroy de Lamalle, Chief Executive Officer of eProseed.
MENA: an increasing role in global compliance and combating financial crime
The 11th MENA Regulatory Summit will be attended and supported by regional and international regulators, financial services professionals, law practitioners, advisors and market players.
The participants will highlight the recent macroeconomic developments in the MENA region including the US election, Brexit aftermath, regional regulatory responses to the financial crisis, the digital revolution in financial services, block chain technology, and crowd funding.
The speakers will set the landscape for international anti-financial crime trends, FATF perspective on terrorist financing and emergent types of financial crimes, and the dangers of withdrawal of correspondent banking relationships. Panelists will also discuss trade-based money laundering and trade finance activities, compliance culture, business conduct, business ethics, and compliance conflicts.
eProseed, the Solution Provider for Financial Supervision
Leveraging the proven expertise in developing and implementing end-to-end business solutions based on Oracle's world-class software technology stack and a close collaboration with major Financial Institutions and Regulators, eProseed has developed eProseed Financial Supervision Insight Platform (FSIP), an end-to-end financial supervision solution dedicated to Central Banks, Financial Regulators and Supervisory Authorities.
"In essence, eProseed FSIP is a comprehensive, highly agile, and plug-and-play financial supervision solution, enabling efficient and pro-active collection of high precision data at high frequency from all financial institutions, as well as automating and integrating all regulatory and supervisory functions in one single software solution", says Geoffroy de Lamalle.
eProseed is an ICT services provider and a software publisher. Honored with 8 Oracle ACE Directors and 14 Oracle Excellence Awards in the last 7 years, eProseed is an Oracle Platinum Partner with in-depth expertise in Oracle Database, Oracle Fusion Middleware and Oracle Engineered Systems.
eProseed’s portfolio of business applications and business accelerators is built on state-of-the-art, reliable technologies and sound knowledge of today’s challenges, developed and maintained with the highest standards in mind.
Comprehensive training and support are provided by eProseed’s experts for both applications and underlying technologies.
Headquartered in Luxembourg, in the heart of Europe, eProseed has offices in Beirut (LB), Brussels (BE), Dubai (AE), London (UK), New York (USA), Porto (PT), Riyadh (SAU), Sydney (AU), and Utrecht (NL).