ERROR alert, if you have been sent here via the May newsletter you can find the TikTok story here (apologies)
Our monthly round up of news items relevant to AML regulated businesses
Cyber Security
According to SonicWire, 2023 could be a big year for cybercriminals. The entire European continent saw increased levels of malicious software (10%+), with Ukraine suffering a record 25.6 million attempts. The latter likely to be connected to the war against the country by Russia.
There also appears to be greater exploitation of IOT (Internet Of Things), think any device connected to the Internet, so called smart devices. In this space global volume rose by 87% in 2022, totalling 112 million hits last year. If you have these devices please ensure that any default password (one set by the manufacturer) is changed.
A growing trend apparently and so simple!
So many people walk around with their sole attention on their phone. Guess what, criminals notice that too. There appears to be an increase in what you may call ‘shoulder surfing’.
So, a timely reminder about your situational awareness when using your mobile devices. Criminals, or those with malicious intent, can easily watch you enter your password, over your shoulder in a café, in an elevator, a bar, the list goes one. You can then be a target for a robbery or a theft. Armed with your credentials they will access your whole digital life and potentially your business.
Due Diligence
South Africa and Nigeria are now grey listed by the Financial Action Task Force (FATF) so from a risk point of view remember to factor this into any assessments or proposed/current business.
It can take up to five years for countries in the grey list to address the issues and be removed, so this should not be considered temporary.
Qatar has also received a warning from FATF. They have been told to improve the availability and access to beneficial ownership information by law enforcement and competent authorities and strengthen the implementation of targeted financial sanctions for proliferation financing.
Regulatory
Dame Margaret Hodge MP is critical of the way the UK has handled sanctions against Russia, writing in a blog she says, “enabled by a network of professionals – bankers, accountants, lawyers, and estate agents. Our flimsy rulebook, weak enforcement and opaque financial services sector have turned Britain into the money laundering destination of choice.” It makes for an interesting and relevant read, click source link for the original article.
Another Interesting article appearing on a blog criticising the real estate sector in the UK. In fairness this could be anywhere in the world. According to the author, half of property professionals are not improving their AML processes because they either don’t care or don’t think they will get fined. Not for the first time this area of business has been slammed.
With sanctions against Russia still on the agenda this is a worrying trend.
