AML Conference Online: Preview

“Last year, a firm contacted me to say they’d read in the press that a client had been convicted of a drug trafficking offence, and wondering if some of the fees they’d been paid had been a result of that offence,” IFA Director of Professional Standards Tim Pinkney says. “They did the right thing and disengaged the client.”

The example shows just how easy it is for a firm to become unwittingly entangled in a client’s criminal activity, and the importance of vigilance.

Tune in to the IFA AML Conference Online on 21 May for expert advice, regulatory updates and best practice to help your firm refine its AML processes and mitigate risks. Here’s a sneak peek at the agenda highlights.

Regulatory updates

Tim Pinkney will share a regulatory update and, with the regulatory burden ever-shifting (and dare we say increasing), this one is not to be missed. Pinkney will also provide insight into the impact of the regulatory changes for accounting professionals and for their clients – do your processes and procedures need to change to account for recent updates? Register to find out.

The MLRO’s role

Pinkney and AMLCC Managing Director Richard Simms share a belief in the purposes of AML processes – they exist to protect accounting firms.

“You will not be allowed to stay in practice if you cannot demonstrate you can deliver anti-money laundering compliance and protection for your practice,” Simms told us previously.

On 21 May Simms will discuss the vital role of the money laundering reporting officer (MLRO).

Alongside the correct policies and procedures, the MLRO is a vital part of both compliance and of creating a culture of AML vigilance and compliance. In his practice, Simms is both managing director and MLRO – demonstrating to the team that AML compliance is a high priority.

Simms also speaks of the importance of training, and how to achieve effective training throughout the entire firm, including any agents: “You and your MLROs, you're responsible for this issue. If your staff aren't trained, they don't report to you what they find, they don't understand what they’re looking out for – that's your problem.”

AML reviews: What to expect

IFA Head of AML and Compliance Bill Bewes and AML Reviewer David Erichsen will share insights into the AML review process.

The IFA, of course, supports and supervises members’ compliance with money laundering regulations via regular reviews, and we’ve recently heard that one key to acing AML reviews is preparation. Erichsen knows if processes have been cobbled together the day before a review – and the review considers not just whether processes exist, but whether they are used in practice.

Whether your review is coming up next month or in three years, this session will help you refine your firm’s practices and ensure compliance is part of every day, not just review day.

Suspicious activity reports

UK Financial Intelligence Unit’s Emma-Jayne Turner will discuss the important role suspicious activity reports (SARs) play in detecting and preventing crime.

According to the UKFIU, 5,863 SARs were submitted by accountants in 2021–22, up by 25 per cent on the previous year’s reports, but it’s highly likely many more suspicions go unreported. The impact? Preventable crime causing real harm goes undetected.

Turner recently hosted a deep dive on SARs with the IFA’s Tim Pinkney on the UKFIU podcast – listen to the episode in the player below or on Spotify for a preview of Turner’s session.

The real-life impact of financial crime

This session – a video screening and interactive discussion – shows how human the impact of financial crime is.

The video depicts two accounting businesses that both, for various reasons, do not conduct adequate due diligence or act on plausible suspicions about a client’s money-laundering risk.

The consequences are profound – action could have prevented serious crimes against multiple victims, as well as considerable impact on the operations of both firms.

You can read more about the video here, but really it needs to be seen.

After the screening, Pinkney and IFA Director and Regional Ambassador Ian Hornsey will host a discussion on the issues raised in the video and the lessons it offers for those in practice.

The Institute of Financial Accountants’ upcoming AML Conference online offers valuable insights from experts about AML regulatory updates and how best practice can protect your business. Find out more and register.