Losing the War Against Dirty Money: Rethinking Global Standards on Preventing Money Laundering and Terrorism Financing

Following a brief overview in Part I.A of the overall system to prevent money laundering, Part I.B describes the role of the private sector, which is to identify customers, create a profile of their legitimate activities, keep detailed records of clients and their transactions, monitor their transactions to see if they conform to their profile, examine further any unusual transactions, and report to the government any suspicious transactions. Part I.C continues the description of the preventive measures system by describing the government\u27s role, which is to assist the private sector in identifying suspicious transactions, ensure compliance with the preventive measures requirements, and analyze suspicious transaction reports to determine those that should be investigated. Parts I.D and I.E examine the effectiveness of this system. Part I.D discusses successes and failures in the private sector\u27s role. Borrowing from theory concerning the effectiveness of private sector unfunded mandates, this Part reviews why many aspects of the system are failing, focusing on the subjectivity of the mandate, the disincentives to comply, and the lack of comprehensive data on client identification and transactions. It notes that the system includes an inherent contradiction: the public sector is tasked with informing the private sector how best to detect launderers and terrorists, but to do so could act as a road map on how to avoid detection should such information fall into the wrong hands. Part I.D discusses how financial institutions do not and cannot use scientifically tested statistical means to determine if a particular client or set of transactions is more likely than others to indicate criminal activity. Part I.D then turns to a discussion of a few issues regarding the impact the system has but that are not related to effectiveness, followed by a summary and analysis of how flaws might be addressed. Part I.E continues by discussing the successes and failures in the public sector\u27s role. It reviews why the system is failing, focusing on the lack of assistance to the private sector in and the lack of necessary data on client identification and transactions. It also discusses how financial intelligence units, like financial institutions, do not and cannot use scientifically tested statistical means to determine probabilities of criminal activity. Part I concludes with a summary and analysis tying both private and public roles together. Part II then turns to a review of certain current techniques for selecting income tax returns for audit. After an overview of the system, Part II first discusses the limited role of the private sector in providing tax administrators with information, comparing this to the far greater role the private sector plays in implementing preventive measures. Next, this Part turns to consider how tax administrators, particularly the U.S. Internal Revenue Service, select taxpayers for audit, comparing this to the role of both the private and public sectors in implementing preventive measures. It focuses on how some tax administrations use scientifically tested statistical means to determine probabilities of tax evasion. Part II then suggests how flaws in both private and public roles of implementing money laundering and terrorism financing preventive measures might be theoretically addressed by borrowing from the experience of tax administration. Part II concludes with a short summary and analysis that relates these conclusions to the preventive measures system. Referring to the analyses in Parts I and II, Part III suggests changes to the current preventive measures standard. It suggests that financial intelligence units should be uniquely tasked with analyzing and selecting clients and transactions for further investigation for money laundering and terrorism financing. The private sector\u27s role should be restricted to identifying customers, creating an initial profile of their legitimate activities, and reporting such information and all client transactions to financial intelligence units

Application of Text Analytics in Public Service Co-Creation: Literature Review and Research Framework

The public sector faces several challenges, such as a number of external and internal demands for change, citizens' dissatisfaction and frustration with public sector organizations, that need to be addressed. An alternative to the traditional top-down development of public services is co-creation of public services. Co-creation promotes collaboration between stakeholders with the aim to create better public services and achieve public values. At the same time, data analytics has been fuelled by the availability of immense amounts of textual data. Whilst both co-creation and TA have been used in the private sector, we study existing works on the application of Text Analytics (TA) techniques on text data to support public service co-creation. We systematically review 75 of the 979 papers that focus directly or indirectly on the application of TA in the context of public service development. In our review, we analyze the TA techniques, the public service they support, public value outcomes, and the co-creation phase they are used in. Our findings indicate that the TA implementation for co-creation is still in its early stages and thus still limited. Our research framework promotes the concept and stimulates the strengthening of the role of Text Analytics techniques to support public sector organisations and their use of co-creation process. From policy-makers' and public administration managers' standpoints, our findings and the proposed research framework can be used as a guideline in developing a strategy for the designing co-created and user-centred public services

Digital interaction: where are we going?

In the framework of the AVI 2018 Conference, the interuniversity center ECONA has organized a thematic workshop on "Digital Interaction: where are we going?". Six contributions from the ECONA members investigate different perspectives around this thematic

All Change: Preventing Trafficking in the UK.

This document is part of a digital collection provided by the Martin P. Catherwood Library, ILR School, Cornell University, pertaining to the effects of globalization on the workplace worldwide. Special emphasis is placed on labor rights, working conditions, labor market changes, and union organizing.ASI_2012_HT_UK_All_Change.pdf: 187 downloads, before Oct. 1, 2020.0-ASI_2012_HT_UK_All Change Summary.pdf: 16 downloads, before Oct. 1, 2020

Complex systems science: expert consultation report

Executive SummaryA new programme of research in Complex Systems Science must be initiated by FETThe science of complex systems (CS) is essential to establish rigorous scientific principles on which to develop the future ICT systems that are critical to the well-being, safety and prosperity of Europe and its citizens. As the “ICT incubator and pathfinder for new ideas and themes for long-term research in the area of information and communication technologies” FET must initiate a significant new programme of research in complex systems science to underpin research and development in ICT. Complex Systems Science is a “blue sky” research laboratory for R&D in ICT and their applications. In July 2009, ASSYST was given a set of probing questions concerning FET funding for ICT-related complex systems research. This document is based on the CS community’s response.Complex systems research has made considerable progress and is delivering new scienceSince FET began supporting CS research, considerable progress has been made. Building on previous understanding of concepts such as emergence from interactions, far-from-equilibrium systems, border of chaos and self-organised criticality, recent CS research is now delivering rigorous theory through methods of statistical physics, network theory, and computer simulation. CS research increasingly demands high-throughput data streams and new ICT-based methods of observing and reconstructing, i.e. modelling, the dynamics from those data in areas as diverse as embryogenesis, neuroscience, transport, epidemics, linguistics, meteorology, and robotics. CS research is also beginning to address the problem of engineering robust systems of systems of systems that can adapt to changing environments, including the perplexing problem that ICT systems are too often fragile and non-adaptive.Recommendation: A Programme of Research in Complex Systems Science to Support ICTFundamental theory in Complex Systems Science is needed, but this can only be achieved through real-world applications involving large, heterogeneous, and messy data sets, including people and organisations. A long-term vision is needed. Realistic targets can be set. Fundamental research can be ensured by requiring that teams include mathematicians, computer scientists, physicists and computational social scientists.One research priority is to develop a formalism for multilevel systems of systems of systems, applicable to all areas including biology, economics, security, transportation, robotics, health, agriculture, ecology, and climate change. Another related research priority is a scientific perspective on the integration of the new science with policy and its implementation, including ethical problems related to privacy and equality.A further priority is the need for education in complex systems science. Conventional education continues to be domain-dominated, producing scientists who are for the most part still lacking fundamental knowledge in core areas of mathematics, computation, statistical physics, and social systems. Therefore:1. We recommend that FET fund a new programme of work in complex systems science as essential research for progress in the development of new kinds of ICT systems.2. We have identified the dynamics of multilevel systems as the area in complex systems science requiring a major paradigm shift, beyond which significant scientific progress cannot be made.3. We propose a call requiring: fundamental research in complex systems science; new mathematical and computational formalisms to be developed; involving a large ‘guinea pig’ organisation; research into policy and its meta-level information dynamics; and that all research staff have interdisciplinary knowledge through an education programme.Tangible outcomes, potential users of the new science, its impact and measures of successUsers include (i) the private and public sectors using ICT to manage complex systems and (ii) researchers in ICT, CSS, and all complex domains. The tangible output of a call will be new knowledge on the nature of complex systems in general, new knowledge of the particular complex system(s) studied, and new knowledge of the fundamental role played by ICT in the research and implementation to create real systems addressing real-world problems. The impact of the call will be seen through new high added-value opportunities in the public and private sectors, new high added-value ICT technologies, and new high added-value science to support innovation in ICT research and development. The measure of success will be through the delivery of these high added-value outcomes, and new science to better understand failures