No products in the cart.
- Latest
- Trending
ADVERTISEMENT
The Dutch Central Bank (DNB) has lost a lawsuit filed by Amsterdam-based neobank Bunq, challenging its anti-money laundering (AML) strategy.
bank announced
On Tuesday, it won a lawsuit questioning DNB’s claims that it employs a method that relies on unsolicited reports from account holders.
Challenger Bank believes the system “depends on the honesty of the fraudsters” and is “outdated and ineffective”.
He noted that banks have advocated using cutting-edge technologies such as artificial intelligence and machine learning to effectively combat money laundering.
European digital banks have sued DNB and said they took the matter to court earlier this year.
It is the first time a bank has sued a regulator on such a fundamental issue, as banks prefer to settle disputes with DNB behind closed doors, Bunq said.
We are proud to announce that the Dutch court has ruled in favor of using modern technology to combat money laundering. For more information, see CEO and Founder Ali Niknam’s post. https://t.co/8tkmovRayW pic.twitter.com/LUDZ4kwDg0
bunq (@bunq) October 18, 2022
Mobile Bank explained that it decided to file a lawsuit because of the long-term danger of its AML policy to users and the stability of the country’s banking system.
Bunq founder and CEO Ali Niknam said the company made history today (Tuesday), adding that the court ruling “paved the way for progress.”
Meanwhile, DNB published a study about a month ago calling for a technology-based approach to tackling AML, Bunq said.
Using spreadsheets and other manual processes to meet financial crime prevention obligations has become a major problem among banks, including neobanks.
The UK’s Financial Conduct Authority (FCA) recently revealed that it had found that many banks were poorly assessed for financial crime risk.
This gap, in addition to the inability to collect proper Know Your Customer (KYC) data and uphold customer due diligence, especially among high-risk customers, is a major pain point for AML efforts, the FCA said. increase.
One concern is the cost of onboarding new technology to automate processes.
However, to address this issue, some banks are turning to regulatory technology (regtech) solution providers to meet their compliance obligations.
In May, Dutch neobank Brand New Day joined the services of Sentinels, a regtech company that deploys artificial intelligence for transaction monitoring, to expand its AML control mechanisms.
financial king reports that this integration will help Brand New Day conserve resources by relying on Sentinels’ automated development of client risk profiles.
The Dutch Central Bank (DNB) has lost a lawsuit filed by Amsterdam-based neobank Bunq, challenging its anti-money laundering (AML) strategy.
bank announced
On Tuesday, it won a lawsuit questioning DNB’s claims that it employs a method that relies on unsolicited reports from account holders.
Challenger Bank believes the system “depends on the honesty of the fraudsters” and is “outdated and ineffective”.
He noted that banks have advocated using cutting-edge technologies such as artificial intelligence and machine learning to effectively combat money laundering.
European digital banks have sued DNB and said they took the matter to court earlier this year.
It is the first time a bank has sued a regulator on such a fundamental issue, as banks prefer to settle disputes with DNB behind closed doors, Bunq said.
We are proud to announce that the Dutch court has ruled in favor of using modern technology to combat money laundering. For more information, see CEO and Founder Ali Niknam’s post. https://t.co/8tkmovRayW pic.twitter.com/LUDZ4kwDg0
bunq (@bunq) October 18, 2022
Mobile Bank explained that it decided to file a lawsuit because of the long-term danger of its AML policy to users and the stability of the country’s banking system.
Bunq founder and CEO Ali Niknam said the company made history today (Tuesday), adding that the court ruling “paved the way for progress.”
Meanwhile, DNB published a study about a month ago calling for a technology-based approach to tackling AML, Bunq said.
Using spreadsheets and other manual processes to meet financial crime prevention obligations has become a major problem among banks, including neobanks.
The UK’s Financial Conduct Authority (FCA) recently revealed that many banks’ financial crime risk assessments were found to be inadequate.
The gap, in addition to the failure to collect proper Know Your Customer (KYC) data and uphold customer due diligence, especially among high-risk customers, is a major pain point for AML efforts, the FCA said. I’m here.
One concern is the cost of onboarding new technology to automate processes.
However, to address this issue, some banks are turning to regulatory technology (regtech) solution providers to meet their compliance obligations.
In May, Dutch neobank Brand New Day expanded its AML control mechanisms by joining the services of Sentinels, a regtech company deploying artificial intelligence for transaction monitoring.
financial king reports that this integration will help Brand New Day conserve resources by relying on Sentinels’ automated development of client risk profiles.
