Selecting, Building, and Operating a Sustainable BSA Monitoring Process (03/13/2014-03/13/2014)
Suspicious activity monitoring and reporting are essential components of an effective BSA/AML Compliance Program.
A financial institution must implement monitoring solutions that properly address its risk profile, with particular emphasis on higher-risk products, services, customers, entities, and geographies. Institutions that have failed to implement and maintain monitoring systems that adequately identify suspicious activities have come under criticism from regulatory supervisors and often face monetary penalties.
One bank in particular failed to implement and maintain an adequate transaction monitoring regime reasonably designed to detect and report money laundering and other illicit activity. A regulatory exam by government supervisors determined the bank had failed to detect and report suspicious activities to FinCEN. Since this had also been an issue in earlier exams that had not been corrected, the bank was placed under a Cease and Desist Order and was assessed a monetary penalty in the amount of $800,000.
Agenda Effective monitoring and reporting systems form the cornerstone of BSA/AML compliance requirements, and they have never been more important. Whether you already have an effective BSA/AML monitoring system in place or plan to purchase a solution soon, there are many questions to be addressed:
• How do you install it and make it an effective tool, aligned with your BSA/AML Risk Assessment?
• How do you keep false positives at a minimum and maintain efficient processes while meeting regulatory expectations?
• Can you build sustainable and efficient monitoring processes, or is this just added expense requiring additional personnel and increased operating resources?
• How will regulators or independent program examiners evaluate your monitoring system?
• How will they measurement its effectiveness?
Benefits Log-on for answers to these questions as more! Our expert will discuss the issues that impact your decision to successfully install and operate a monitoring solution that works for your organization. Some of the topics to be covered include:
• What to do before you call the software vendors
• Now you have it, what’s next?
• Not a silver bullet, but a tool
• How do you optimize it for you financial institution?
• Can it save you money or is it added expense?
• Building sustainable processes
• Tuning the system
• What should I expect the system to do?
• How will I measure success?
• Maintaining an unbroken audit trail
• Documentation requirements
• What will the regulators look for?
Location: Your office or conference room
Prerequisites: 1-2 years of banking experience
Speaker: Nelson Everhardt
Course Level: Intermediate
Duration: 90 minutes
CPE Credits: 1.0 Credit hour