About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

Global AML Fines Quadruple in 2019, Could Break Records

Subscribe to our newsletter

New analysis from KYC solutions provider Encompass Corporation has found that a total of $8.07 billion of anti-money laundering (AML) fines were imposed globally between January 1 to August 31 this year – approximately 4.3 times higher than the $1.87 billion handed out over the same period in 2018.

Over the four months May to August 2019, 20 AML penalties were handed down totalling over $352.5 million, compared to four fines totalling $707 million over the same period last year. Notably, penalties were also handed down by a diverse array of regulators across multiple jurisdictions beyond the USA and UK: including Latvia, Norway, India and the Netherlands – with the largest fine originating from Belgium.

“As 2019 runs on, we have seen yet another fine in the hundreds of millions, and we expect to see more large penalties over the remainder of the year. As we have noted previously, multi-million dollar fines are commonplace these days, as evidenced by the fact that seven of the 20 penalties given out from May to August were $1 million or higher,” notes Wayne Johnson, Co-Founder and CEO of Encompass Corporation.

“In the year to date, around two-thirds of AML penalties were given to banks, but approximately a sixth were imposed on companies in the gambling/gaming and cryptocurrency sectors – highlighting the increasing attention these industries are getting as channels for money laundering. We expect to see this shift to non-financial services businesses continue in the future.”

Given the current pace, 2019 has every chance of breaking the 2014 record for the highest value of AML fines given out in a year.

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: Leveraging the cloud in market data and trading technology environments

The promise of greater flexibility, lower operating costs and a reduced local IT footprint is driving acceptance of the cloud as the delivery mechanism for key front-office capabilities, including market data and trading applications. Progress in security and hybrid solutions is making cloud delivery viable for trading firms of all types, particularly smaller players keen...

BLOG

ThetaRay Extends Agentic AI into AML Investigations with Ray

As regulatory expectations around anti-money-laundering (AML) effectiveness continue to rise, many financial institutions are finding that the greatest operational pressure now sits in investigations rather than detection. While transaction monitoring models have advanced, the downstream work of reviewing alerts, assembling evidence and documenting decisions remains labour-intensive and difficult to standardise. ThetaRay is addressing this challenge...

EVENT

Eagle Alpha Alternative Data Conference, London, hosted by A-Team Group

Now in its 8th year, the Eagle Alpha Alternative Data Conference managed by A-Team Group, is the premier content forum and networking event for investment firms and hedge funds.

GUIDE

ESG Handbook 2023

The ESG Handbook 2023 edition is the essential guide to everything you need to know about ESG and how to manage requirements if you work in financial data and technology. Download your free copy to understand: What ESG Covers: The scope and definition of ESG Regulations: The evolution of global regulations, especially in the UK...