7 Feb 2018
Speaking at the University of New South Wales on Monday, University of Hong Kong law professor Douglas Arner called into question the aims and the efficacy of anti-money laundering and counter-terrorism financing regulatory bodies.
“Is the point of [anti-money laundering agencies] about producing suspicious transaction reports? Not really,” he said. “It's about reducing the criminal and terrorist use of the financial system.” He said that producing reports was only an attempt that had “developed over time” to reduce criminal and terrorist activity, but that it “doesn’t really work very well”.
“But it ends up, for a number of jurisdictions, with warehousefuls of suspicious transaction reports which regulators will typically only look at after something happens,” he said.
“They are completely useless from the standpoint of prevention. They are only useful from the standpoint of ex post facto (with retrospective action or force) pursuit.”... Click here to read the full article.