Let the trainer take the strain

One of my favourite publications of the year has just appeared.  No, not the Donny Osmond Christmas Annual, but KPMG’s “Global Anti-Money Laundering Survey“.  (Actually, it’s not an annual publication but only triennial, so this really is a red letter day.)  To set the scene, the survey was distributed to “AML and compliance professionals in the top 1,000 global banks”, of whom 317 submitted responses.  The resulting report is full of juicy statistics to scare the Board and educate the staff, but today I am concentrating – for obvious reasons – on the rather scary training findings.

Even amongst the firms employing those AML and compliance professionals who care enough to think about things and respond to a survey, only 62% give their Board any AML training.  Can I stamp my little training trotter and just say this: how can directors (NEDs or otherwise) meet their overriding AML responsibility of confirming that their firm’s AML approach is appropriate and proportionate to the current AML risks facing it IF THEY DON’T KNOW WHAT THOSE RISKS ARE?  And if the Board cannot be bothered to spend time on AML training, how can they be surprised if other staff treat it with contempt?  Stamp stamp!

And talking of other staff, the survey also revealed that 86% of respondents confirm that their employers provide AML training to front office staff.  *stand by for further trotter-stamping*  SO WHAT ABOUT THE OTHER 14%?  This means that in a significant proportion of the world’s top 1,000 banks (so we’re not talking about tinpot institutions, or about recent entrants to the AML family), the front office (client-facing!) staff are not given AML training.  Never mind stamping – it’s a veritable trotter-tango in Grossey Mansions today.  Olé!

This entry was posted in AML, Money laundering and tagged , , , , , , , . Bookmark the permalink.

9 Responses to Let the trainer take the strain

  1. It is unfortunate that there is such negativity and a reticence to need for effective training in this area. Without people being aware of their obligations to the rules and the regulations nevermind the wider ethical considerations, criminals will be able to by pass ineffective controls managed by those who do not have sufficient knowledge and understanding.

  2. Dear Lance
    And with AML training having everything you could want from top-quality entertainment (drama,high finance, drugs, sex,violence, humour), what’s not to like? I am always surprised when people are so reluctant to do something so important when it’s really interesting as well. Stamp stamp!
    Best wishes from Susan

  3. Claire says:

    As a former bank employee and former wife to a money launderer in one of the sunny tax paradises (mmm, winter Is getting to me), I definitely recommend the importance of AML training. To be sure your employees attend, just serve food.

    • I couldn’t agree more, Claire. I honestly believe that many staff are not anti-AML; they just don’t see its importance – and it’s my job to try to convince them. As for food, I find bacon butties work wonders for morning sessions, and anything with skewers (satay, prawn dippers) for lunchtime!
      Best wishes from Susan

  4. Roy McCarthy says:

    Erm, isn’t such training mandatory in the jurisdictions concerned?

  5. That would be yes, Roy. Worrying,isn’t it? And these are the institutions that admit it – presumably there are many more who wouldn’t even respond to such a survey, perhaps knowing that their AML systems and controls are too frightening to write about.
    Best wishes from Susan

  6. helenogorman says:

    Reblogged this on Financial Crime Asia and commented:
    The training itself needs to be revamped, I agree with Ihatemoneylaundering – this is a fascinating topic – who doesn’t enjoy getting an inside view on crime?

  7. helenogorman says:

    Great blog – thanks.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s