International Cooperation to Combat Money Laundering in the Southeast Asia: A Narrative Perspective in Vietnam

The fight against money laundering is a special concern of international, regional, and national scale. In recent years, Vietnam is a country that is significantly affected by this type of crime. To combat money laundering need not only to strengthen domestic legislation’s system and professional task forces, but also to enhance international cooperation among multilateral and bilateral agreements between host countries and their counterparts. Using the document analysis combined with legal norm’s analysis, this paper draws the nature of money laundering in Vietnam and also analysis Vietnam’s perspectives to implement their national efforts to curb this crime. The research highlights the significant role of international cooperation in this battle rather than building national improvements. Some recommendations to improve the effectiveness of international cooperation to fight money laundering in general as well as to enhance policing plans of Vietnam’s law enforcement agencies that call for special attentions in the end of the research.Keywords: Money laundering, money laundering prevention, international cooperation, VietnamDOI: 10.7176/JLPG/96-09Publication date: April 30th 202

The Economic Impact of Deficient Anti-Money Laundering Program to a Multinational Bank

Money laundering is a financial crime that threatens the stability of a country\u27s financial sector. The purpose of this qualitative case study was to explore the strategies that compliance officers used to improve the AML program in a multinational bank in the northeastern United States. The target population was purposefully selected using bank compliance officers because they have experience with the strategies to improve the AML program. The normative neo-institutional theory framed the discussion of this study. Data were collected from interviews with 10 AML compliance officers and the achieved data. The Krippendorff method of content analysis was used to analyze the data. Six themes emerged from the findings including strategies to improve AML compliance in a multinational bank and the economic consequences of inadequate AML programs. The findings of the study show that advanced technology, employee trainings and management oversight are essential to improve AML program. The results of these analyses suggested the pervasive economic and social repercussions of money laundering on the multinational bank. The findings of the study may contribute to positive social change by identifying strategies that banking leaders could incorporate in the AML programs to reduce the risk of bank failures, promote the bank\u27s participation in social development projects, and provide employment opportunities to the community members

Global overview of modern financing typologies to mitigate financial risks in development countries

In this study, we reviewed the laws and legal regulations that mandate banks and financial services organizations to implement anti-money laundering efforts which are responsible to detect and mitigate the risks of money laundering and modern financing. We examined the topics of money laundering and modern financing in greater depth to understand the risk factors related to each financial crime. Understanding the aspects of each financial crime is necessary to comprehend predicate offense typologies. We continued with a review and synthesis of the literature on money laundering and modern financing typologies. We concluded the review with an analysis of Gary Becker’s economic theory of criminal behavior and the neoclassical approach to criminal behavior. As suggested by the key concepts reviewed in this literature review, predicate offenses are evolving as prevailing conditions of society change. A major global challenge in recent times is the Covid-19 pandemic crisis which has increased financial risks worldwide (Klimczak et al., 2021). Understanding the different types of predicate offenses and typologies portrays a holistic process of how criminals launder money or finance modern acts. A review of the existing literature demonstrated intensive research on the topic of financial crime but there is a gap in the current legislative and financial risk management framework. The legislative and financial risk management framework detects economic uncertainties and risk factors requiring a reevaluation of financial risk measurement methodologies to mitigate the risk consequences of money laundering and modern financing activities. A best practice to provide a sound framework to manage financial risks is for U.S. banking and financial service company compliance managers to identify predicate offense typologies. American society could benefit from the results of the study (Klimczak et al., 2021). The banking and financial industries ought to be prepared for the future and continue to adapt to new emerging threats, varying consumer classification, and changing environment. It is essential for compliance leaders to implement public education initiatives and help their customers recognize their role in combating money laundering and modern financing activities. Overall, the study has contributed to positive social change by identifying predicate offense typologies that can help U.S. banking and financial services company compliance managers reduce the risks of money laundering and modern financing activities (Klimczak et al., 2021)

The impact of blockchain technology on anti-money laundering and counter-terrorism financing management by financial institutions

Money laundering and financing of terrorism are serious criminal offences that contribute to the parallel economy and harm the overall society wellbeing, as they generate further crime. The ever-evolving technological field makes it so that ML/FT schemes are becoming increasingly complex and dynamic, hindering the efforts conducted by regulators and authorities to suppress these events. Financial institutions, being an attractive vehicle for this type of criminal offences, also play an important role in fighting ML/FT. Hence, financial entities must ensure adequate controls and procedures to comply with the prevailing AML/CFT legislation. Blockchain technology first arose in the context of cryptocurrencies. However, its inherent characteristics and flexibility make it suitable for numerous areas, including the financial services industry. The goal of this dissertation is to assess the overall impact of the adoption of blockchain based solutions by financial institutions in compliance with AML/CFT legal requirements, particularly when the use case directly affects the AML/CFT process. Moreover, a comprehensive academic research was conducted to gain an in-depth understanding of both topics beforehand. Due to the lack of quantitative data available, literature review alongside with practical know-how were the basis used to reach the conclusions. The results show that the impact of the adoption of blockchain based solutions by financial institutions on AML/CFT management is positive in the context of private or hybrid networks. Public blockchains, on the other hand, are not compliant with AML/CFT standards. Nonetheless, legislation on the matter is required and each use case must be addressed independently.O branqueamento de capitais e financiamento do terrorismo são atos criminosos graves que contribuem para a economia paralela e prejudicam o bem-estar da sociedade. A evolução constante do ramo tecnológico, faz com que os crimes de BC/FT se tornem cada vez mais complexos e dinâmicos, dificultando os esforços conduzidos pelos reguladores e autoridades competentes. As instituições financeiras, veículos atrativos para este tipo de crimes, também desempenham um papel fundamental no combate ao BC/FT. Assim, estas devem dispor de controlos adequados, de forma a assegurar o cumprimento com os requisitos legais. A tecnologia blockchain surgiu no contexto das criptomoedas. No entanto, as propriedades e flexibilidade de que dispõe, permitem que esta seja utilizada nas mais diversas áreas, incluindo na indústria dos serviços financeiros. O objetivo desta dissertação passa por avaliar o impacto da adoção de soluções tecnológicas baseadas na blockchain por parte das instituições financeiras no cumprimento dos requisitos legais em termos de PBC/FT, especialmente em cenários que afetem diretamente o referido processo. Devido à escassez de dados quantitativos relevantes, as conclusões foram geradas com base em revisão literária sobre ambos os tópicos, juntamente com conhecimentos práticos. Os resultados mostram que o impacto da adoção de soluções tecnológicas baseadas na blockchain por parte das instituições financeiras na gestão do PBC/FT é positivo no contexto de redes privadas ou híbridas. Por outro lado, as redes públicas não cumprem com os requisitos legais de PBC/FT. Não obstante, é necessária a produção de legislação específica e cada caso particular deverá ser analisado individualmente