Chin Yong Kwek, Associate Managing Director in the Business Intelligence and Investigations practice at Kroll was recently interviewed on Channel News Asia’s business program “MoneyMind.”
Chin Yong explains how banks should deal with suspicious transaction reports (STRs). He states, “Once banks have the STRs, at that point, they are required to do enhanced due diligence, so they are supposed to try and find out more. They also have an ongoing monitoring requirement, so if information comes up along the way, they are supposed to reassess their client relationship. And if they think that there is something which is more than suspicious, in theory, they should terminate the relationship. Otherwise, they could be found to be actively facilitating money laundering.”
He also suggests that transposing illicit money flows isn’t as easy for banks sometimes. This happens because money comes in of “correspondent” or “intermediary” banks and, therefore, banks would not be able to trace the source of those funds.
Watch Chin Yong’s segment (which begins at 08:15 in the program) here.
