November 13, 2015

AML/CFT, Sanctions, Anti-Corruption for Banks

A Challenging Regulatory and Compliance Landscape

MassPoint works with clients to develop and execute real, practical compliance solutions that do not just look good on paper, but address the practical operating and regulatory challenges facing banks– and in particular foreign banks– in a complex and often unfamiliar regulatory environment. 

Complex International Compliance Obligations

Banks operating internationally are coping with multiple legal obligations, heightened regulatory and public scrutiny, and the prospects of costly and multi-jurisdictional penalties and reputational damage for compliance failures.

Foreign Banks Face Greater Challenges Complying With U.S. Law

Foreign banks needing access to the U.S. financial system have the added burden of complying with U.S. law and regulation, the applicability and mechanics of which are often confounding (and in some cases frustrating), particularly in connection with counter-parties and transactions that are seemingly disconnected from the United States.

Complexity of Operations, Personnel Diversity

The task of managing compliance obligations today is compounded by the sheer size of banks, their multiple lines of business, and organizational challenges associated with having personnel that are scattered across the globe, possess disparate qualifications and attitudes toward legal and compliance obligations, and are subject to differing internal incentives and pressures.

Increasing Local Non-Compliance Risk

At the same time, legal, regulatory, and enforcement trends in emerging and other markets may further compound banks’ non-compliance risk, as regulatory regimes converge across borders, and national and local authorities in increasingly seek legitimacy, alongside economic growth.

MassPoint’s Customized Approach to Bank Compliance

MassPoint provides compliance services that are customized to specific jurisdictions, business lines, counter-party types, and internal personnel and other operating dynamics and priorities. 

For banks and non-bank financial services providers that are based overseas or operate internationally with diverse legal, business, and compliance personnel, MassPoint provides compliance analyses and training that are written and/or delivered to resonate with audiences having differing legal and business backgrounds, particularly personnel that may not be well-versed in the mechanics and extraterritorial application of of U.S. anti-money laundering, sanctions, and anti-corruption laws and regulations (MassPoint’s Principal, Hdeel Abdelhady, has taught foreign educated and qualified lawyers for over 12 years and has over the same period worked closely with diverse counsel and business personnel within and outside of the United States).

With a focus on the practicality of compliance and the challenges facing foreign banks and U.S. banks with complex and/or multi-jurisdictional operations, MassPoint offers the following compliance and compliance capacity-building services. 

Customized AML, Sanctions, and Anti-Corruption Compliance 

  • Customized, risk-based anti-money laundering (AML) counseling and compliance programs (development, training, periodic review) under U.S. and international AML (e.g., FATF) and related standards. 
  • Customized U.S. economic sanctions compliance analyses and training.
  • Customized, risk-based anti-corruption counseling and compliance programs (development, training, periodic review) under the U.S. Foreign Corrupt Practices Act (FCPA) and international anti-corruption standards.

Customized Educational/Compliance Tools and Programming 

  • Customized written and visual analytical and compliance tools and compliance programs formulated in consultation with clients and delivered on an agreed schedule.