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Criminals and others who act against the interests of society at large are almost always ahead of financial crime and other risk managers when it comes to the the planning and execution of activity. Criminal and anti-social activity are magnified in relation to the effect on economies, even ultimately being an accelerant in the fires that led to the global financial crisis that only the most naive or self-centred deny is over. The fascinating thing is this: while they don't know it, the seeds of major, even pandemic, crime are easily visible. You just need to know where to look.

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The Monetary Authority of Singapore (MAS) yesterday issued for consultation proposed requirements for financial institutions (FIs) in Singapore to implement essential cyber security measures to protect their IT systems. These requirements will help FIs strengthen their cyber resilience and guard against cyber attacks, says MAS.

BIScom Subsection: 

There's much jargon flying around in the world of counter-money laundering. It starts with the mistaken name of "anti-money laundering," via the equally erroneous "red flags" to the current vogue terms of "artificial intelligence" and "machine learning." As FinTech and RegTech have passed their media bubble phases, the next wave is so-called "AI AML."

Think about this: when you install any form of AI, you are outsourcing to the software providers the function that the law requires that your staff perform.

Before you even meet the representatives of the start-ups that want to either bolt onto or supplant your existing technology provider, there are several questions you must ask. Here they are.

This paper, by Nigel Morris-Cotterill, was first presented in June 1997 in Milan and first published in the UK that same month.

It deals with internet banking, cyber-currencies, inter-bank regulatory risk and a host of other topics that are seen as trendy today.

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Fraud using technology is not a new occurrence Over the centuries, it has been called by many names - cheating, false accounting, confidence tricks, forgery, impersonation - all are examples of fraud in the widest sense.

Every so often, Bitcoin hits the news because a criminal gang is using it for some nefarious purpose. We examined BitCoin in a special issue (see here) in 2013. It was not our first look at virtual currencies: that was way back in the mid 1990s, before we even launched World Money Laundering Report, and we've kept a watching brief ever since. Here's the current scary stuff.

For decades we have been told that we should address everyone by their Christian or first name, even if we have never met. In the past ten years or so, we have been subjected to the constant diminishing of the term "Friend." It's time to stop this and to return to a world where there are boundaries and where everyone knows where they are. And more, it's time to return to formality in business correspondence and, most importantly, to start to show respect for each other instead of a presumption of homogenisation. Why? Because we need healthy scepticism not blind acceptance of everyone and everything.

To rescue the UK's economy from the 1973-75 crisis, one of the measures adopted was to increase consumer credit and to reduce the constraints on lending. One concept has been a contributory factor to almost every financial crisis, in the UK and elsewhere, since: the ability of the banks to lay off risk for bad lending decisions.

In Part two of his examination of the question of insurance against on-line crime, Nigel Morris-Cotterill says welcome to the world of insurance as an excuse for negligence.

Insurance companies live or die by the risks they take and the premiums they charge. It is time that companies offer insurance to consumers against the risks of on-line crime?

Nigel Morris-Cotterill, Author, Cleaning up the 'Net examines what's involved starting with an explanation of how lack of moral hazard has been a major contributor to a succession of banking and economic crises over a period of some 40 years. And why that is relevant to questions of insurance against on-line crime.

 


 

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