By STEPHEN RAE for AML Intelligence
IT HAS long been said that up to now the United States has been Europe’s regulator when it comes to AML? Will that continue to be the case?
After all, the major fines – Danske, Deutsche were all US investigations.
The most high profile European instigated probe I can think of is the Swedbank inquiry – which again originated out of the US-led Danske investigation.
The wholesale cutting and re-formulating of federal agencies and their regulatory remit over the past few weeks has been chasmic. Moreover, President Trump’s decision to pause provisions regarding foreign bribery have caused widespread dismay.
As we can see more clearly than ever the US domestically will be led thru a business-centric lens which will lead to less push on AML domestically. Of course because of 9/11 the US will never take its foot off the fight against financial crime.
What could happen is what we have seen already, the US regulators will pursue European and foreign banks over their own domestic lenders.
You can see that with how they have pursued financial institutions in the European Union with multi-billion euro fines. Witness also the way the US pursued Canadian lender TD Bank. It’s clear domestic banks were probably equally culpable but it is the foreign banks that are pursued – and not without considerable justification!
Expect the Trump administration to amplify that narrative.
This can also be the opportunity for the EU – as envisaged by the European Parliament – to put in place an agile and nimble form of FCC overseen by AMLA.
Somewhat provocatively this week, former NATO chief Anders Rasmussen claimed the US, the world’s policeman had gone “rogue.” Will this also apply to financial crime compliance and regulation?
What is your view? Comment below or email me in confidence at: srae@amlintelligence.com
Share this on:
Follow us on:
We hope you enjoyed reading this article
If you would like unlimited access to AML Intelligence premium articles, newsletter delivered twice a week, access to our Global Bank Fines and Penalties database, free access to Boardroom Series events and much more, select one of our subscription options and become a subscriber!
Leave a Reply