Banks and regulators are more wary of AML than ever

Author: Jimmie Franklin | Published: 11 Jun 2019

Despite 2019 being a historic year for anti-money laundering (AML) fines, lawyers in London suggest that the dynamic between banks and regulators is proving closer than ever. 

Research undertaken by Encompass shows 2019 as a record year for AML fines, overtaking 2014, when $10.89 billion in fines was collected by regulators. Meanwhile this year, they handed out $7.7 billion between January and April 2019 – versus $1.16 billion in the same period in 2018. 

Broadly in line with expectation, the US was found to have come down hardest on institutions, swiftly followed by the UK. With an average fine of $155 million over the last 17 years, research revealed that banks can still expect to receive the majority of penalties, but other sectors are also beginning to face consequences.

Discussing the record amount, Jonathan Peddie, partner at Baker McKenzie said that "we are seeing the output...