Compliance, Risk & Due Diligence
How to Perform KYC Checks: A Step-by-Step Guide
In today's rapidly evolving business landscape, the importance of Know Your Customer (KYC) checks cannot be overstated. KYC checks are a critical component of compliance strategies, designed to verify the identity of clients and assess potential risks of illegal intentions, particularly in financial transactions. These checks serve as the first line of defence against financial crimes such as money laundering , fraud...
Money Laundering with NFTs
Money laundering , in its simplest terms, refers to the act of making illegally-gained proceeds appear legal by disguising the origins of such funds. Traditionally, this process involved a series of transactions through banks or other financial institutions, often spanning multiple countries to add layers of complexity. However, as the digital economy has evolved, so too have the methods of money laundering. Enter Non...
Essential Steps in Conducting Due Diligence Checks
Every business transaction, whether it's a merger, an acquisition, or a simple investment, carries its share of risks. Identifying, understanding, and addressing these risks is fundamental to ensuring the security and success of the transaction. This critical process of assessment is known as due diligence. Conducting thorough due diligence checks has become an indispensable part of modern business practices, serving...
What Companies Can Learn From 5 Recent Fines by Global Regulators for Alleged Money Laundering
Alleged breaches of Anti-Money Laundering regulations are leading to increasingly large fines against companies, as we have shown over the course of this AML Risk series . In this blog, we dive deeper into five recent enforcement actions by regulators around the world to find lessons all companies can learn to improve their compliance and better manage money laundering risk. 1. Take a risk-based approach to due diligence...
Anti-money laundering fines are up by 50%. Here's how your company can avoid being next
Avoiding a breach of Anti-Money Laundering (AML) regulations–and the fine that follows–should be a priority for any company in 2023. The financial costs of a compliance failure is increasing, with global fines against companies rising by 50% year-on-year. In the latest blog in our AML series, we look some recent global fines for alleged money laundering failures. We then highlight four ways for firms can avoid a compliance...
The EU’s Human Rights Due Diligence Directive is expected next year – and other countries could introduce their own legislation. How should companies prepare?
The EU’s proposed new Directive would mandate large companies in the EU or doing business there to implement strict new due diligence obligations. The regulation is now close to being finalized, which would start the clock ticking for individual countries to change their laws. We analyse what companies should expect from the Directive, as well as the wider trend towards global human rights due diligence regulations. We...
Global spread of Human Rights Due Diligence continues after initiative from Japanese government targets responsible business
One of the major themes in compliance in recent years has been the rise of Human Rights Due Diligence (HRDD) legislation in Europe and the US. Now, this trend appears to be expanding into the Asia-Pacific region after a recent initiative by the Japanese government. In this blog, we look at the latest developments in HRDD and ESG assessments, and explain how companies can expand their due diligence programme to capture...
Step-by-Step Guide to Politically Exposed Persons Checks
A Step-by-Step Guide to Conducting Politically Exposed Persons Checks Politically Exposed Persons (PEPs) refer to individuals who are or have been entrusted with a prominent public function, either domestically or internationally. Such persons can include high-ranking officials, politicians, and their immediate family members or close associates. In the ever-evolving landscape of business and finance, Politically...
All You Need to Know About Global AML Regulations
All You Need to Know About Global AML Regulations Across the globe, governments, financial institutions, and international regulatory bodies are diligently working to enforce stringent Anti-Money Laundering (AML) regulations. These measures are established to curb financial crimes, maintain economic stability, and ensure transparency in all types of financial transactions. The primary objective of AML regulations...
Nexis Diligence+™︎: Taking Your Due Diligence to a Higher Level
When it comes to business, it’s important to have high standards—especially when evaluating risk and protecting your reputation. To do so requires a comprehensive due diligence process that’s powered by information that you can trust. And with so many other responsibilities to manage, it can be difficult to perform an appropriately thorough due diligence investigation on a short timeline. If you’re looking to bring...
Recent regulatory enforcement actions against alleged bribery and sanctions breaches show the rising risks of a failure of due diligence
Alleged compliance breaches have led to combined fines and settlements worth hundreds of millions of dollars in Q2 of 2023. Regulators have taken enforcement action against companies over their activities in jurisdictions spanning four continents. In this blog, we look at some of the most significant regulatory interventions in recent months and suggest how companies should retool their compliance approach to mitigate...