Organized crime relies on money transferred among people in various countries. Funds are often used to promote further criminal activity such as terrorist acts, drug use or human trafficking. However, compliance officers in financial organizations are on the frontline to help stop these criminal behaviors. Find out how to explain the importance of a suspicious report to your compliance staff.

Identifying and Prosecuting Criminals

Use one suspicious activity report to show your compliance team how they may have a large impact on whether criminals are prosecuted for illegal activities. Authorities analyze the reported information to determine patterns that may indicate organized crime and require further investigation. For example, a customer may frequently send wire transfers to foreign countries they have no connection with, or a customer may not want to provide proper documentation for the source of a deposit. Filling out a suspicious activity report may help uncover criminal activities and bring down many of the people involved.

Protecting the Public

Stress how vital filling out suspicious activity reports are in helping protect public confidence in the banking system. If an institution insured by the FDIC becomes a victim of fraud, it could lose millions of dollars and may eventually end up failing. However, by promptly filling out and submitting a suspicious activity report, bank supervisory agencies may start investigating potential fraud before it escalates. This strengthens the banking system and Deposit Insurance Fund and helps put the public at ease.

Instilling a Culture of Compliance

Instill a culture of compliance within your organization. For example, use compliance as a performance metric at the executive level. You may determine how well your top leaders comply with laws and regulations and whether breaches in operations have occurred. Also, continually review the quality and accuracy of the transaction monitoring systems being used to comply with suspicious activity reporting requirements. For example, use technology to create processes that are faster, more efficient and more reliable for identification and verification, risk scoring, suspicious activity reporting, and other areas that may be automated.

Work with a Top Financial Compliance Recruiter

For help filling your financial compliance needs, reach out to the financial compliance recruiting experts at CarterWill Search and Flex.

Leave a Reply