In This Article
MK Malta’s Head of Compliance, Dr Mark Gatt is an expert when it comes to AML and CFT Compliance in Malta. If you own a business, it is inevitably subjected to AML & CFT compliance rules. How does money laundering affect your company or firm? What are the steps you need to take in order to ensure that you remain compliant, not only vis-à-vis the respective authorities, but also in terms of maintaining an impeccable reputation with your current and future customers? Answers to these questions will be provided in this article. Contact us at infomalta@kyprianou.com | +356 2016 1010 for your tailored legal assistance.
The Importance of Compliance for Your Business
AML and CFT Compliance in Malta
- Eliminate risk to your reputation
In order to avoid adverse publicity for your business practices and associations, you must protect the integrity of your organisation. It is a must that customers and investors keep wanting to do business with you, and not get withdrawn by a potential scandal or a reputation of dealing with shady entities. - Avoid any operational risk
Inadequate internal processes, personnel or systems lead to losses for your organisation. Furthermore, your operational risk may be compounded with increased borrowing or further funding costs. - Eliminate legal risks
Lawsuits, adverse judgments, unenforceable contracts, fines and penalties are legal risks which will drive your organisation’s financial losses. Legal compliance is essential to ensure that your business is not involved, albeit unwillingly, with financial crime. - Reduce Concentration risk
Through the vicious cycle of financial losses, your organisation may need more and more credit or loans from banks, further exposing your business.
Compliance Programmes and Individual Accountability
AML and CFT Compliance in Malta
In order to combat these risks, international bodies have issued statements and guidelines, such as the Basel Committee on Banking Supervision’s 2014 guidelines on the Sound Management of Risks Related to Money Laundering and Financing of Terrorism and the FATF’s International Standards on Combating Money Laundering and the Financing of Terrorism & Proliferation.
In addition, laws have been enacted seeking individual accountability at the senior levels of regulated financial institutions that have contributed to deficiencies in AML and sanctions compliance programmes, stemming from the Financial Crimes Enforcement Network (FinCEN) of the U.S. Department of the Treasury, the United States’ Financial Intelligence Unit (FIU) and the UK’s Financial Conduct Authority (FCA).
How Can MK Malta Help Your Business Remain Compliant?
A comprehensive AML/CFT framework curbs the risks emanating from criminal activities and money laundering.
Creating a culture of compliance
One of the best and most important ways in which organisations can combat the risks that money laundering and terrorist financing pose to their businesses is by embedding a culture of compliance throughout the entire organisation. It is vital that such a culture is embedded from the top ranking management officials and all throughout the business. Each employee and official is vital in ensuring that an organisation adopts and implements the best possible AML/CFT framework in an effective and efficient manner.
MK can assist you in creating such a compliant culture by:
- Helping you create and maintain your AML/CFT framework.
- Provide your staff with generalised and specialised training in various areas of AML/CFT compliance.
- Conduct external audits of your existing AML/CFT framework.
- Provide you with the necessary advice required to ensure that you have peace of mind that your organisation has the necessary tools to combat the risks of Money Laundering and Terrorist Financing.
Keep in mind that in this day and age, compliance is taken extremely seriously and any company is subject to rigorous examination by the FIAU and other National/EU authorities. Luckily, at MK Services, we have Certified Anti-Money Laundering Specialists (CAMS), such as Dr Mark Gatt, who can help out your business with any AML/CFT compliance needs!
Contact us on infomalta@kyprianou.com | +356 2016 1010
The content of this article is valid as at the date of its first publication. It is intended to provide a general guide to the subject matter and does not constitute legal advice. We recommend that you seek professional advice on a specific matter before acting on any information provided. For further information, please contact us at MK Fintech Partners via email at infomalta@kyprianou.com or by telephone +356 2016 1010.