Newsletter 11 Nov 2024: NRA Guidance, AML Privacy, AML Official Arrested, RBI KYC Changes, Criminal Probe Settled, 5 Financial Crime Cases

Newsletter 11 Nov 2024: NRA Guidance, AML Privacy, AML Official Arrested, RBI KYC Changes, Criminal Probe Settled, 5 Financial Crime Cases

Newsletter (04 Nov – 10 Nov 2024)

Welcome to this week’s edition of the Global AML News Weekly Digest. Here are the top stories making headlines around the world:

FATF’s New Guidance on Money Laundering Risk Assessments

The Financial Action Task Force (FATF) released updated guidance for countries conducting a National Risk Assessment (NRA) to better understand and address money laundering risks. Drawing insights from over 90 countries and over 500 respondents to a public consultation, this guidance aims to assist nations in identifying vulnerabilities within their financial systems and implementing targeted countermeasures to mitigate these risks.

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China’s Draft Law Revision Prioritizes Privacy in AML Efforts

In a move to enhance privacy protections within anti-money laundering (AML) frameworks, China is considering a draft revision to its AML Law. According to Huang Haihua, spokesperson for the Legislative Affairs Commission of the National People’s Congress Standing Committee, the draft revision will be reviewed by the legislature next week. This update reflects China’s focus on balancing AML enforcement with individual privacy protections.

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Spanish Anti-Money Laundering Officials Arrested Amid Corruption Probe

Spain is grappling with a significant AML scandal as top AML officers were arrested following the discovery of €20 million in their residence. This investigation is part of a larger crackdown connected to Spain’s biggest cocaine seizure. The Central Investigative Court in Madrid has ordered provisional detention for 15 suspects, including tax advisors and economists, amid allegations of drug trafficking, money laundering, and bribery, exposing systemic corruption within law enforcement ranks.

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RBI Updates KYC Norms in Line with AML Rules

India’s Reserve Bank has announced revisions to its Know Your Customer (KYC) norms to align with recent updates to the Prevention of Money Laundering (Maintenance of Records) Rules. Regulated entities (REs) are now required to conduct customer due diligence (CDD) at the unique customer identification code (UCIC) level, strengthening efforts to prevent illicit financial activities within India’s banking system.

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Russian Tycoon Settles German Money Laundering Probe

Sanctioned Russian billionaire Alisher Usmanov has paid €4 million to settle a German money laundering investigation, effectively closing the case without an admission of guilt. The settlement includes €2.5 million for the government and €1.5 million for charities. German prosecutors indicated that the alleged offenses were dated and caused no financial harm in Germany, underscoring the effectiveness of settlements in swiftly resolving complex international financial crime cases.

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Ministry of Public Security Unveils Five Financial Crime Cases

China’s Ministry of Public Security recently disclosed details of five major financial crime cases, underscoring an intensified crackdown on financial misconduct. One high-profile case involved a predatory lending scheme led by a suspect surnamed Zhang, who allegedly recruited dozens to operate 26 overseas lending apps. The group targeted borrowers with weekly interest rates as high as 35%, loaning over 560 million yuan to more than 50,000 individuals. In a recent raid, Shanghai police apprehended Zhang and 21 other members of the organization.

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