- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Kyle Brasseur2023-08-01T15:57:00
Broker-dealers complying with anti-money laundering/countering the financing of terrorism (AML/CFT) requirements put forward by the Securities and Exchange Commission (SEC) must be mindful of the resources they are providing for their programs during the current heightened risk environment.
The SEC’s Division of Examinations released a risk alert Monday in which it said it found some registrants “did not appear to devote sufficient resources, including staffing, to AML compliance given the volume and risks of their business.” The division cited increasing sanctions being imposed by the Treasury Department’s Office of Foreign Assets Control (OFAC) as a growing risk that could exacerbate deficiencies, most notably at firms where the same personnel perform AML and sanctions compliance functions.
The risk alert also noted implementation deficiencies regarding AML policies, procedures, and internal controls.
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