Looking for the Answers to the Questions Raised by AMLA

by | Nov 28, 2021 | AML Compliance Conference, Fiba Blog

It has been over a year since the Anti-Money Laundering Act (AMLA) of 2020 was passed through Congress, and yet, there is not a clear or defined path as to how the new regulations will be implemented.

“Contained in AMLA 2020, are many provisions that are going to impact the way banks do business and look at AML programs, but the financial sector is still waiting on guidelines on how to comply,” said David Schwartz, FIBA Bankers’ CEO.

The executive points out that for example, for the Corporate Transparency Act -which requires FinCEN to create a beneficial ownership registry for all companies formed in the US, “we are still waiting on details on how the registry is going to be implemented.”

The same goes for the National Priorities List. It was recently issued, but the topics included are broad and already considered by the compliance teams of most banks. Would what banks have been doing in this regard suffice or do they need to up their game?

“The sector faces many challenges already and now under ALMA we should expect further scrutiny,” he said, adding that he expects regulators including the Treasury Department, and FinCEN, to answer these and more questions regarding implementation of AMLA during FIBA´s 2022 AML Compliance Conference, in late February.

Schwartz is also concerned about what will happen to the Bank Secrecy Act. The over 50 years old regulation has suffered from data leaks fueling investigations such as the Panama, Paradise, and Pandora papers, opening the debate as to whether the ends justify the means. “What happens with bank secrecy when all these leaks keep happening? Is this the result of cybercrime or are employees breaking client confidentiality?” He wonders.

Section 6308 of AMLA, which impacts corresponding banking by allowing the US to ask foreign banks with correspondent accounts in the U.S. for customers’ records in their home country, will also be covered, as well as the human consequences of human trafficking, sanctions under the new administration, the corruption initiative in Latin America, and the relationship between marijuana businesses and the potential passage of the Safe Act.

A debate about what will happen around Cryptocurrency regulations, and how to deal with risks associated with them is also scheduled at the event that will gather over 1,500 participants, from over 300 financial institutions.

Speakers from the SEC, FinCEN, the Treasury Department, the FBI, OCC, and more will look to explain how all these new rules and regulations work, and what it means for banks in the US and their customers, as well as for banks in LATAM and the Caribbean.

With more than 35 exhibitors, participants will also be able to learn about the latest trends, products, and strategies to meet the new regulatory environment, leaving with new connections, new ideas for current and future projects, as well as CE credits.

The event that connects regulators, law enforcement, and industry experts in 3-day information exchange and collaboration, will take place between February 28th and March 2nd, 2022, at the Trump National Doral Miami.

Known as a bucket list golf destination, the world-renowned course is a golfer’s haven and the setting for FIBA’s 1st ever AML Compliance Golf tournament which will take place on February 27th, 2022.