PIMFA
FINANCIAL CRIME
Financial Crime is broadly any criminal conduct relating to money or financial services, including, for example, fraud, money laundering, the misuse of information (such as insider trading), bribery and corruption, handling the proceeds of crime, financing terrorism, or cybercrime. According to the Office of National Statistics, fraud was the most common crime type between April 2022-March 2023, with an estimated 3.5 million incidents of fraud in the UK experienced by adults aged 16 and over.
The PIMFA Financial Crime Committee facilitates discussion across all significant matters of financial crime, ensuring that member firms are kept fully informed and compliant with legislative and regulatory developments and are provided with the latest intelligence, approaches and tools to combat financial crime effectively.
The guide in collaboration with Avyse offers practical, risk-based examples and recommendations tailored to the specific structures, client profiles, and transaction patterns typically found in the investment and wealth management sector
latest news
FCA Fighting financial crime: FCA Firm Checker
The FCA has requested firms to link to the FCA Firm Checker (rather than the FCA Register) on consumer-facing webpages to make it easier for people to confirm if a firm is authorised and helps them to avoid scams.
Firms are advised the Register will remain in place as the full regulatory record of the authorised financial services firm and individual population.
Home Office progress report from the Chair of the Independent Review of Disclosure and Fraud Offences
The Home Office has published a progress update from the Chair of the Independent Review of Disclosure and Fraud Offices.
The report identifies several systemic issues including weak deterrence, fragmented enforcement structures and persistent gaps in the framework governing corporate and platform accountability.
The growing impact of emerging technologies that enable criminals to operate at scale and with increasing sophistication, often from outside UK, was also highlighted.
Access the report here
FCA Launch of Firm Checker to fight financial crime
The FCA has published a new tool in response to FCA research that showed c.800,000 people reported losing money to investments or pensions‑related scams (in the 12 months to May 2024).
To help fight financial crime the FCA has launched Firm Checker. This tool aims to help consumers avoid scams by allowing them to check if a firm is authorised and has the correct permissions to provide services.
Read more here.
Access the Firm Checker tool here.
FCA failings in financial crime controls
The FCA has fined Nationwide Building Society £44m for inadequate anti-financial crime systems and controls between October 2016 to July 2021.
Historical issues noted by the regulator include ineffective systems for due diligence, risk assessments and transaction monitoring.
Read more details here.
