UK launches new probe into its ‘fragmented’ AML system amidst new TBML concerns

The UK’s treasury committee has launched a new inquiry into the country’s anti-money laundering (AML) system, its efforts to combat economic crime and its sanctions regime.

In its last AML report published nearly two years ago, the committee highlighted an anticipated increased vulnerability to trade-based money laundering (TBML).

Focus areas

The new inquiry is expected to focus on the activities of the Office for Professional Body Anti-Money Laundering Supervision (OPBAS), corporate liability for economic crime and the activities of Companies House, the UK registrar of companies.

In its 2019 report, which describes the UK’s AML system as “fragmented”, the committee considered what impact the UK’s exit from the EU might have on the country’s efforts to combat economic crime.

TBML concerns

The report pointed to TBML as a key concern, pointing specifically to a National Crime Agency (NCA) report published in 2018 that said as the UK exits the EU, UK-based businesses will almost certainly look to increase the amount of trade they have with non-EU countries.

“We judge this will increase opportunities for criminals to carry out TBML” the NCA’s National Strategic Assessment of Serious and  Organised Crime 2018 report says.

Categories: Trade Based Financial crimes News

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