Anti-Money Laundering (What it means to you?)
As per Investopedia.com, Anti-money laundering (AML) refers to a set of procedures, laws or regulations designed to stop the practice of generating income through illegal actions. In most cases, money launderers hide their actions through a series of steps that make it look like money that came from illegal or unethical sources was earned legitimately.
Though AML laws cover only a relatively limited number of transactions and criminal behaviors, their implications are extremely far-reaching. For example, AML regulations require financial institutions issuing credit or allowing customers open accounts to complete due-diligence procedures to ensure that these financial institutions are not aiding in money-laundering activities. The onus to perform these procedures is on the financial institutions, not on the criminals or the government.
Major countries who play a key role in global economy have laws to prevent or deter Anti-Money Laundering e.g.
United States enacted ‘Foreign Corrupt Practices Act’ or United Kingdom ‘Bribery Act’. Financial Institutions or other corporates who transact or do business or listed in stock exchanges of some these countries will be required to comply with Anti-Money Laundering and Bribery Act.
Career advancement options
These days there are lot of opportunities for the budding compliance officer and money laundering reporting officer in banks and large organisations.
Anti-Money Laundering Monitoring is a complex job as it requires ability to gather information, link seemingly unconnected incidents and bring it together in a clear concise manner so that a case can be successfully evaluated against the law. Anti-Money Laundering requires new skill and so it is high profile job.
To become Anti-Money Laundering Professional, a professional qualification like ICA’s (International Compliance Association) International Diploma in Anti Money Laundering will be advantageous.
Typical career path will be a compliance officer in a compliance department and then opportunity to grow to become Chief Compliance Officer. This role requires interactions with multiple business units and senior management interactions.
Those IT Professionals who have good analytical skills and data analytics skills, this career option is worth considering.