Regulated sector professionals and reporting suspicion of money laundering: is it a disproportionate burden?
JOURNAL OF MONEY LAUNDERING CONTROL, cilt.26, sa.3, ss.462-473, 2023 (ESCI, Scopus)
- Yayın Türü: Makale / Tam Makale
- Cilt numarası: 26 Sayı: 3
- Basım Tarihi: 2023
- Doi Numarası: 10.1108/jmlc-01-2022-0018
- Dergi Adı: JOURNAL OF MONEY LAUNDERING CONTROL
- Derginin Tarandığı İndeksler: Emerging Sources Citation Index (ESCI), Scopus, ABI/INFORM, Business Source Elite, Business Source Premier, Criminal Justice Abstracts, Index Islamicus, vLex
- Sayfa Sayıları: ss.462-473
- Anahtar Kelimeler: FATF, Money laundering, Regulation, Risk-based approach, All crimes, Regulated sector
- Açık Arşiv Koleksiyonu: AVESİS Açık Erişim Koleksiyonu
- İstanbul Üniversitesi Adresli: Hayır
Özet
Purpose The purpose of the research paper is to determine the efficiency of all crimes approach, their relationship with a risk-based approach and the consequences on regulated sector professionals. And, therefore, what is meant by suspicion, how employees follow the requirements and how it affects the quality and quantity of suspicious activity reports. It also considers the economic and legal challenges the regulated sector faces while dealing with customers or clients. All in all, this paper investigates what does the anti-money laundering (AML) regime means for legal practice and how lawyers' responsibility is affected. Design/methodology/approach As the research is being conducted through the analytical methodology, the specific topic of "regulated sector professionals and reporting suspicion of money laundering" is analyzed. It evaluates the fact that the risk-based approach followed in Financial Action Task Force (FATF) recommendations and its adaptation in the UK with all crimes approach caused discrepancy in the judicial system and influenced regulated sector professionals negatively. Findings The paper points out that in spite of protective amendments in terms of jurisdictional immunity, UK legislation has caused problems for regulated sector professionals, such as the potential of breaching a client confidentiality agreement and avoiding tipping-off, thus remaining under pressure by clients and facing the risk of losing their clients or obligation to record suspicions in case of court investigation. Originality/value The question of money laundering and the FATF recommendations has had a considerable scholarship. However, the proposed study intends to precisely look at the efficiency of all crime approaches, their relationship with a risk-based approach and the consequences on regulated sector professionals. The proposed research will further determine the regulated sector's economic and legal challenges while dealing with customers or clients. Unlike the existing scholarship, the proposed thesis will focus on what the AML regime means for legal practice and how lawyers' responsibility is affected.