In a recent article, the International Bar Association considers the impact of Russia’s invasion of Ukraine and the tightening of anti-money laundering (AML) regulations and compliance. Partner Peter Binning is quoted commenting on what this means for the UK AML regime.
“There’s no doubt that the UK AML regime now has sharper enforcement teeth as a result of recent activity by the FCA and the professional regulators, says Peter Binning, a partner at Corker Binning and also a Member of the IBA Anti-Money Laundering Legislation Implementation Group. ‘Compliance officers, professional advisors, senior managers and board directors with risk and compliance responsibilities need to take notice,’ he says. ‘The prospect of enforcement action, including criminal prosecution, against individuals is very real now. The deterrent effect of prosecuting individuals is far, far higher than extracting large fines from companies, even in corporate plea deals like the NatWest case.’
Binning says there will be more of these cases, not just in the UK but in the US and other countries as well, particularly as global geopolitical tensions continue to build in relation to Russia and China. ‘The East/West standoff also brings sanctions centre stage which carry with them further risk for the professional advisor and the regulated financial sectors around the world,’ he says.”
Read the full article here.