Anti-Money Laundering FAQs
What is money laundering?
It is legally obtaining money and then concealing where it came from. It often involves transfers using foreign banks and legitimate businesses.
Why do you need to perform anti-money laundering checks?
Failure to report suspicious activity can be illegal and lead to substantial fines. There are numerous regulations that can be used to prosecute people concealing money laundering.
What is AML supervision?
All firms that provide accountancy services, company services, trust or related services (tax or audits) are required to be supervised by a professional body. As stated by the Money Laundering Regulations 2017.
What are the red flags for suspicious activity?
- Large amounts of cash being used to purchase cashiers cheques or money orders
- Large cash deposits or large bank balances
- Transitions that stand out from normal bank activity
- Multiple tax IDs & unverified documents
- Transactions of money that are complicated and designed to hide where the money is coming from.
- Concealing information about the business e.g. owner, partners and clients.
Why is bribery wrong?
Bribery is wrong because it causes those receiving the bribery to have their opinion influenced. It causes the individual to base their decision on what gives them the largest personal profit, rather than the best interest of the matter in hand. These decisions could then have knock-on effects within a business. Bribery is illegal.
Who are the regulatory bodies?
There are 3 regulatory bodies:
- ICAEW (Institute of Chartered Accountants in England & Wales, plus other Accountancy bodies)
- Office for Professional Body Anti-Money Laundering Supervision (OPBAS).
- Financial Conduct Authority (FCA)
How can I prevent bribery?
There are a number of effective ways you can prevent bribery from happening, including:
- Having an effective anti-bribery policy in place
- Make sure hospitality or gifts meet the right criteria
- Conduct due diligence on parties giving gifts or hospitalities
- Take extra care around foreign officials
- Avoid facilitation payments
- Report any concerns immediately
How can I stop bribery?
Whistleblowing has legislation in place to help those that want to come forward about bribery taking place to not get punished at work. For more information about reporting bribery, visit the National Crime Agency website
What is bribery?
Bribery is offering gifts or money with the intention of influencing the recipient's decision favourably to the people providing the bribe.
What types of bribery are there?
There are many forms of bribery but some of the most common types include:
- Bribery of/by public officials
- Bribery of/by a witness
- Bribery of a foreign official
- Bank Bribery
- Sporting contest bribery
What is the difference between a bribe and a gift?
A Bribe is a gift of value given in the hope of influence or benefit.
A Gift is something of value given with nothing expected in return.
What is the bribery act?
The Bribery Act entails the 4 ways in which you can commit a crime of bribery. This Act makes it possible to convict people of committing bribery offences with a possibility of 10 years imprisonment, an unlimited fine and possibly confiscation of property. The 4 classifications of bribery are:
- Receiving a bribe
- Bribing a foreign public official
- Failure to prevent bribery
FAQs regarding our Anti-Money Laundering & Anti-Bribery courses
How long does this course take?
This Anti-Money Laundering course takes 30 minutes to complete and the Anti-Bribery training takes 25 minutes to complete.
What approvals does this course have?
This course is CPD Accredited.
Why is this Anti-Money Laundering training important?
This training is important to ensure that employees are aware of the legislation surrounding money laundering as well as the regulations and responsibilities that the employees have. There is also an emphasis on the duty to report suspicious activity.
Who should take the anti-bribery training course and why?
This course is suitable for employees are in the possibility of being in situations where they could be exposed to the possibility of bribery or corruption. You should take anti-bribery training to ensure that you and your employees know the sign of bribery and the difference between gifting and bribery.
How long is my certificate valid for?
It is up to the training administrator of the employee as to when training needs to be refreshed. However, to stay up-to-date with legislation, we recommend that training should be renewed every year.
What devices can I get this course on?
Our courses can be completed on a range of devices, they’re compatible with Desktops, laptops, mobile phones, iPads and other tablets.
Documents and resources
Anti-Money Laundering - Behaviour
Be aware of odd behaviour, such as transactions or activities which seem unusual for your business, or for the specific customer involved.
This resource is a list of potential suspicious activity you should be on the look out for.
Anti-Money Laundering - Counter Terrorism Act
There are different UK laws designed to DETER financial crime, DETECT abuse of the financial system and DISRUPT criminal activity. This resource provides some information about the Counter Terrorism Act.
Anti-Money Laundering - External Suspicious Activity Report
It’s the nominated officer’s job to make an EXTERNAL Suspicious Activity Report if, after assessing an INTERNAL Suspicious Activity Report, they decide it’s necessary. Here’s a little more information about EXTERNAL Suspicious Activity Reports.
Anti-Money Laundering - Identity
Be aware of your customers.
Our resource lists things that should raise your suspicions.
Anti-Money Laundering - Individuals not Resident in the UK
Customers not resident in the UK may have documents in a foreign language - you must satisfy yourself that they really do prove the customer’s identity.
Anti-Money Laundering - Location
Think about where your customer’s transactions are taking place.
Anti-Money Laundering - Money Laundering Offences
This resource provides information about the different Money Laundering Offences and the penalties for committing them.
Anti-Money Laundering - Money Laundering Regulations
There are different UK laws designed to DETER financial crime, DETECT abuse of the financial system and DISRUPT criminal activity. The Money Laundering Regulations are the most important set of regulations relating to money laundering.
Anti-Money Laundering - Politically Exposed Person
A Politically Exposed Person is someone who is, or has, at any time in the preceding year, been entrusted with a prominent public function by a state; a community institution; or an international body.
Anti-Money Laundering - Seeking Consent for a Suspicious Transaction
In a situation where there’s advance knowledge of a suspicious transaction the nominated officer must ask for permission to go ahead with the transaction.
Anti-Money Laundering - Terrorism Act
There are different UK laws designed to DETER financial crime, DETECT abuse of the financial system and DISRUPT criminal activity. This resource provides some information about the Terrorism Act.