FinCEN proposes additional risk assessments for AML/CFT programs
By 
Aaron Nicodemus2024-06-28T17:00:00
Financial institutions would be required to conduct more thorough risk assessments on their anti-money laundering/countering the financing of terrorism (AML/CFT) programs under a new rule proposed by the Treasury Department’s Financial Crimes Enforcement Network (FinCEN).
The proposed rule would “explicitly require that such programs be effective, risk-based, and reasonably designed, enabling financial institutions to focus their resources and attention in a manner consistent with their risk profiles,” FinCEN said Friday in a press release.
The new requirements were included in the AML Act of 2020, which became law in 2021 as part of the National Defense Authorization Act for FY2021. The law comprehensively updated the Bank Secrecy Act (BSA) for the first time in decades, according to FinCEN.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
PremiumTreasury official slams Florida ‘anti-woke’ law for ‘undermining’ BSA compliance
Brian Nelson, Treasury Department under secretary for terrorism and financial intelligence, warned in a letter that Florida’s “anti-woke” banking bill may “materially undermine” financial institutions’ compliance with federal AML/CFT laws and U.S. sanctions.
-
News BriefGreen Dot fined $44M by Fed over compliance deficiencies, deceptive practices
The Federal Reserve Board of Governors fined financial technology and bank holding company Green Dot $44 million for numerous unfair and deceptive practices and a deficient consumer compliance risk management program.
-
News BriefBanking regs join FinCEN in proposing AML/CFT risk assessment rule
Four federal banking regulators have joined the Treasury Department’s Financial Crimes Enforcement Network in issuing a notice of proposed rulemaking that would require financial institutions to conduct more thorough risk assessments on their anti-money laundering/countering the financing of terrorism programs.
More from Regulatory Policy
-
PremiumUK’s deregulation drive raises compliance risk, say top lawyers
The United Kingdom’s latest effort to encourage regulators to pare down rules to attract companies and investment as a way to stimulate the economy has received mixed reviews from lawyers.
-
News BriefIs Google headed for a breakup? Second federal judge calls it a monopoly
A federal judge has ruled that Google “willfully engaged in a series of anticompetitive acts” in the advertising technology industry, the latest antitrust setback in what could become a string of losses for tech companies.
-
PremiumAI regulation: U.K. sits on regulatory fence between U.S. and E.U.
The U.K. has pressed pause on artificial intelligence regulation as its government comes under twin pressures from those who fear the growing power of unregulated AI and the overriding need to generate growth. The postponement of long-expected legislation means that the U.K. is left sitting on the fence between federal ...