Good afternoon, Subscribers! We hope you have had a productive, and above all a healthy week.
This week in APAC headlines, Singapore have charged two former bank managers for their involvement in the widely publicised S$3b (USD$2.3b / HKD$17.9b) money laundering scandal; its first criminal action against finance professionals in the case. Meanwhile, a senior member of Hong Kong's Legislative Council announced the city's plans to enhance its digital asset regulations within the next 18 months in order to cement it's position as a global hub for financial technology.
In news out of the United States, the SEC have charged 26 financial institutions a total of USD$392.75m (HKD$3.06b) for widespread and longstanding failures by the firms and their personnel to maintain and preserve electronic communications, as required by regulations, with three of the firms receiving lower penalties for self-reporting the violations. Additionally, the Consumer Financial Protection Bureau (CFPB) have taken a firm stance that existing consumer protection laws apply to the use of artificial intelligence and other emerging technologies in financial services, emphasising that innovation must not come at the expense of consumer protection or fair competition, and warning that firms should not use new technologies if they cannot manage them in a lawful way.
In EMEA headlines, the United Kingdom have proposed a new law to regulate ESG rating providers, aiming to enhance transparency and accountability in the space by addressing the current lack of transparency in ESG ratings that play a crucial role in directing billions of dollars into sustainability-focused investments. In other news, the FCA have published an update on crypto firms' compliance with rules mandating clear risk disclosures and assessments for crypto-asset financial promotions.
In news out of Australia, ASIC have sued the country's largest stock exchange operator, ASX Limited, alleging the company made misleading statements regarding a blockchain project intended to replace the exchange's existing system for managing shareholdings and settlement.
As always, please feel free to reach out to us for updates on Live Jobs, Movers and Shakers, and Market Intelligence.
Movers and Shakers
Bitget - Hon Ng, Chief Legal Officer, from Binance. (Hong Kong)
HarbourVest Partners - Hannes Valtonen, Head of Asia Compliance, from BPEA EQT. (Singapore)
Target - Amy Tu, Chief Legal & Compliance Officer, from Tyson Foods. (Minneapolis)
Customers Bank - Allen Love, Chief Compliance & AML Officer, from TD. (New York City)
News of the Week
APAC
Hong Kong Authorities Bust $1.5 Billion Crypto-Backed Money Laundering Ring—Here’s How.
4 trends financial crime compliance teams should know in APAC.
Binance resumes operations in India, confirms regulatory compliance.
Singapore charges 2 former Chinese bankers in US$2.3 billion money-laundering scandal.
HKMA, Cyberport collaborate on GenAI sandbox to foster adoption in city’s banking industry.
Hong Kong to enhance digital asset regulation in 18 months.
Hong Kong’s FPS will suspend services for 10 hours on Sunday for maintenance, HKMA says.
Adani Group shares shed billions after Hindenburg allegations against regulator.
ByteDance cracks down on corruption, bribery amid 125 cases reported in first half of 2024.
Safeguards crucial as Hong Kong seeks slice of cryptocurrency pie.
Americas
Twenty-Six Firms to Pay More Than $390 Million Combined to Settle SEC’s Charges for Widespread Record-keeping Failures.
New York financial regulator seeks AI and crypto policy specialist.
SEC subpoenas three crypto VCs in sign crackdown is gaining pace.
San Francisco tow company operator charged with insurance fraud and money laundering.
U.S. Army Intelligence Analyst Pleads Guilty to Charges of Conspiracy to Obtain and Disclose National Defense Information, Export Control Violations and Bribery.
Conflicts of Interest in Artificial Intelligence | Office Hours with Gary Gensler.
Chief Compliance Officer Pay Rises, but at a Slower Pace.
FirstEnergy to pay $19.5M to settle Ohio’s HB 6 bribery investigations.
CFPB Wants to Set the Rules for How Banks Use AI.
EMEA
Mozambique ex-minister guilty of one of Africa's biggest scandals.
UK To Introduce Mandatory Regulation For ESG Rating Providers in 2024.
A paradise for corruption: Britain tries to clean up its dirtiest secret.
FCA Reports Spotty Compliance With Crypto Financial Promotions Rules, More Interventions.
Aus&Nz
The major bank and big law ties to Cigno Australia — one of the country's most persecuted payday loan ventures.
Australia’s securities watchdog sues ASX over alleged ‘misleading’ claims on paused blockchain project.
Unfair Contract Terms Continue to be a Major Enforcement Priority for ASIC and the ACCC: Prosecutions of PayPal and Auto & General Insurance.
ASIC CEO Warren Day appointed without corporate regulator advertising role, documents show.