Fenergo released its findings on financial institution fines which shows that in December 2019 global penalties totalled $36 billion for non-compliance with Anti-Money Laundering (AML), Know your Customer (KYC) and sanctions regulations.
Fines related to AML, KYC and sanctions violations increased in the 15 months since the last report by 160% as the ramifications from the global financial crisis bear a significant impact. The 2019 report also includes fines for Markets in Financial Instruments Directive (MiFID) and data privacy regulations such as Global Data Protection Regulation (GDPR) to the value of $82.7 million.
12 of the world’s top 50 banks were fined for non-compliance with AML, KYC and sanctions violations in 2019. By country, Switzerland was the biggest offender after a tier one Swiss bank received the biggest single fine at $5.1 billion for AML breaches by the French Criminal Court. The fine exceeds the bank’s 2018 net profit of $4.9 billion by 4%. Italian banks were the second biggest offenders in 2019, racking up almost $1.5 billion in total fines for sanctions violations and GDPR breaches.
In today’s climate there is no other option but to leverage next generation technology to achieve a more effective and streamlined approach to regulation that allows financial institutions to approach regulatory compliance in a ‘business as usual’ manner. This will leave room for more value-add tasks that will achieve competitive edge in the race to win on customer experience.”
See original source: Paymentcards & Mobile, by Alex Rolfe
We are glad that we have invested time in the right direction and will be happy to help others with KYC, AML, PSD2, DIGITAL ACQUIRING. www.pmgc.eu