Aaron McAllister

TD Bank's admission of guilt to a long list of money laundering sins tells us that we don't have the bank supervision in Canada that we thought we did. Some thoughts on what needs to happen now: #AML #TD #Compliance #Banking #DOJ #cdnpoli

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Great summary on how Canada’s anti-money laundering (#AML) regime can be improved by focusing on priority risks, high-value reporting, prosecutions, and statistics that enable evidence-based policies. Thanks Hartland Elcock for elaborating the Canadian Bankers Association's recommendation on adjusting to a suspicious activity reporting framework. Details here: https://lnkd.in/gmAVQYEg

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Office of the Superintendent of Financial Institutions Canada (OSFI) has announced that the Guideline B-10 – Third-Party Risk Management, goes into effect today (May 1, 2024). This guideline sets out OSFI’s expectations for federally regulated financial institutions (FRFIs) regarding the management of risks posed by third parties. Guideline B-10 includes clear governance and accountability structures, and outlines how FRFIs should implement comprehensive risk management strategies and frameworks.   The updated guideline is a significant step towards strengthening the security and resilience of Canada’s financial system against risks. Is your organization ready? As the world's largest provider of IT infrastructure services, Kyndryl is prepared to help organizations mitigate the risks and implement strategies to meet Guideline B-10 objectives. Third-party risk management programs are foundational for organizations to better anticipate IT threats that might impact their operations, and should be included and assessed as part of the overall risk posture for an organization.   Learn more about how Kyndryl can help your organization mitigate the cyber risks associated with third-party providers: https://lnkd.in/guDYdAN3

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🇨🇦 Simplifying FINTRAC Reporting for Canadian Compliance Teams 🇨🇦 FINTRAC’s reporting obligations may seem complex, but they are important in Canada’s efforts in combating financial crime. For compliance teams, staying on top of these requirements is about more than regulatory adherence, it’s about protecting your organization and the financial ecosystem. Key reporting categories include: ✅ Suspicious Transaction Reports (STRs): Identify and report transactions with unusual patterns or links to illegal activities. ✅ Large Cash Transaction Reports (LCTRs): Submit reports for cash transactions of $10,000+ within the required timeline. ✅ Electronic Funds Transfer Reports (EFTRs): Monitor and report high-value international wire transfers to prevent misuse. ✅ Terrorist Property Reports (TPRs): Stay vigilant and report property connected to terrorism financing. The key to compliance? 💡❓️ 👉 A proactive approach that includes regular training 👉 Clear processes and; 👉 The right technology By focusing on efficiency and accuracy, organizations can minimize risk and meet their obligations. To learn more click on the link: https://lnkd.in/gnkumVzn #AML #FINTRAC #ReportingSimplified #CanadianCompliance #FinancialIntegrity

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What does the TD Bank #moneylaundering scandal in the US and the meth and fentanyl superlab bust in British Columbia have to do with your business? TD was used to help launder over $670 million, while the lab drugs could have netted $485 million. Operations at this scale rarely happen in isolation. They’re often just one part of a sprawling, interconnected criminal enterprise that combines elements such as strategic corruption, foreign political interference, media manipulation, illicit financial flows, terrorism financing, and cybercrime. We need to ask not only who was behind these activities and why, but how they can affect your organization’s security, finances, and reputation. To learn how these threats intersect on a global scale, and what you can do to strengthen your organization’s resilience, join the terrific lineup of global leaders, security experts, policymakers, and industry innovators on November 25-26 for the Vancouver International Security Summit (VISS) - Addressing Foreign Threats and Ensuring Economic & Political Resiliency, Vancouver’s premier event for private and public sector leaders. Registration is through the link below. Hope to see you there! https://lnkd.in/g5Tra_RS

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Kudos to Toronto Police Service and partnering agencies for their announcement today of the arrests in a Synthetic Identify theft fraud. https://lnkd.in/gzJsNeg4 Thank you to CBC for inviting me to talk about this ever growing fraud and some measures that people can do to protect themselves. According to the TPS news release, this matter involved the creation of 680 synthetic profiles that were used to commit fraud. Many times these types of profiles are created using a mix of synthetic and real victim identifiers. Here are some red flag to watch for and measures to protect yourself from identity theft Red Flags. 1. Unfamiliar inquiries or drop on your credit score 2. Calls from creditors or debt collectors 3. Unfamiliar charges on your bank accounts 4. Being denied new credit 5. Receiving mail to your address not in your name Measures to protect yourself 1. Check for any of your breached credentials 2. Monitor your credit report and history 3. Be careful how much personal information you post online 4. Be careful of phishing emails or other methods to gather your information 5. Try to use online statements for your banking and other services rather than printed statements. #fraudprevention MNP

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This is a huge problem. Every risk assessment available indicates that this is a top risk. Yet the Government of Canada falls short according to this audit by the Office of the Auditor General of Canada / Bureau du vérificateur général du Canada https://lnkd.in/gsTCx6S5 #ITsecurity #it #cybercrime #itaudit #audit #performanceaudit

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Have you shared the CBA’s cyber security toolkit for newcomers to Canada? Developed in partnership with Get Cyber Safe the toolkit helps those settling in Canada protect themselves from frauds and scams. Share a copy now: https://ow.ly/9EYK50TzXs8 #CyberMonth2024

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Manitoba Liquor and Lotteries is actively monitoring and taking measures to prevent criminals from using casinos as a means to launder illicit money. This initiative comes in response to several high-profile cases involving millions of dollars in unlawfully obtained funds. The organization is vigilant in its efforts to detect and deter money laundering activities, ensuring that casinos do not become a conduit for financial crimes. The measures are part of a broader strategy to maintain the integrity of the gaming industry and protect the economy from the negative impacts of money laundering. For the complete article visit The Winnipeg Free Press https://bit.ly/4eK9TLH ***ONGIA does not endorse The Winnipeg Free Press, this article is shared for information only***

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T-1 day. As the November 1st deadline approaches, many compliance professionals are intensifying their preparations, driven by a mix of anticipation and urgency. It’s an exciting time as we all adapt to the evolving regulatory landscape. How is everyone feeling as we reach this pivotal moment? Let’s support one another in this journey! 💪🔍 Great resource: #Compliance #Payments #Fintech #RPAA #Registration #OperationalRisk #RegulatoryUpdates

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The Canadian Bankers Association’s Cyber Security Toolkit for Newcomers to Canada, developed in collaboration with Get Cyber Safe, aims to educate newcomers on cyber hygiene best practices and empower them so that they are equipped to recognize and avoid common scams in Canada. https://lnkd.in/eYYb3mKE

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The introduction of a capital floor in Canadian banking is a significant step towards enhancing model risk discipline and ensuring competitive balance among financial institutions. The Office of the Superintendent of Financial Institutions (OSFI) has announced a one-year delay in the full implementation of this capital floor, which is set at 72.5%. This delay allows banks additional time to adjust to the new requirements, ensuring they can meet the standards without compromising their operational stability. According to OSFI, the capital floor is designed to provide a minimum level of capital that banks must maintain, which is crucial for safeguarding the financial system. The capital floor aims to mitigate risks associated with internal models that banks use to calculate their capital requirements. By establishing a baseline, OSFI seeks to ensure that all banks operate on a level playing field, reducing competitive disadvantages that may arise from differing capital calculations. More read on https://lnkd.in/gQbkWGPZ Check out Capital floor implementation note of Big 6 (Table 3- https://lnkd.in/guqydFc8)

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Interesting read on a recent fraudulent scheme using the hawala money remittance methods. another reminder of the importance of timely filing of suspicious activity where there are reasonable grounds to suspect.

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🇨🇦 Stay Safe This Holiday Season: Protect Yourself from Common Scams in Canada🇨🇦 Yesterday I created a post about fraud, with the holiday season closing in, I thought it was important to also outline some common scams to watch for in Canada this season: 1️⃣ Fake Holiday Promotions: Fraudsters will create counterfeit ads or emails offering great deals on popular items. Once you pay, you never receive the product. Tip🔎- Stick to trusted retailers and verify promotions on official websites. 2️⃣ E-Transfer Scams: You will be asked to e-transfer funds for a product or service, but the seller disappears after payment. Tip 🔎 Only e-transfer people or businesses you trust. 3️⃣ Travel Scams: Fraudulent travel sites or agencies offer cheap vacation packages, but the deals don’t exist. Tip🔎: Book directly through airlines, hotels, or verified travel agents. 4️⃣Fake Job Offers: Fraudsters advertise seasonal jobs requiring upfront payments for training or supplies. ( don't fall for this) Tip 🔎: Real jobs will never ask for upfront fees. Research the company before applying. 5️⃣ Emergency or “Grandparent” Scams: Fraudsters will pose as a relative in distress, urgently needing money for an emergency. Tip🔎: Verify the story by contacting your family member directly before sending any funds. 6️⃣ Counterfeit Tickets: Fake tickets being sold for concerts, sporting events, or holiday shows are sold online. Tip🔎: Only purchase tickets from official vendors or trusted platforms. Holiday Tip🎄.. If it seems too good to be true, it probably is. Stay informed, stay vigilant, and share this knowledge with friends and family to ensure a safe and scam free holiday season! #FraudAwareness #StaySafe #HolidayTips #FinancialSecurity #FraudPrevention

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AML issues and mitigation strategies are a consistent topic on the boardroom. In addition to having a robust testing and control framework, routine training and awareness programs and the use of data analytics are important components of the AML risk management strategy. #AML #AMLFC #NACD #DataScience https://lnkd.in/eRYFuyhZ

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Joke of the day: "Money laundering in Canada: A problem government is happy to overlook?" "The recent US$3-billion settlement TD Bank Group reached with US regulators over money laundering oversight failures has exposed what experts see as Canada's comparatively lax approach to such violations, according to experts. Denis Meunier, former deputy director of Canada’s Financial Transactions and Reports Analysis Centre (FINTRAC), believes that penalties in Canada are far too low to act as a true deterrent. "It's time we take off the kid gloves," Meunier said. "You need penalties to punish, to really send a message: we're serious. And these penalties should be in the millions and potentially billions of dollars." While US regulations allowed a penalty of up to US$500,000 per day for non-compliance, Canada's maximum penalty for a severe violation is CAD$500,000 in total. Earlier this year, TD was hit with the largest penalty ever issued by FINTRAC, totalling $9.2 million, which pales in comparison to its US settlement. Experts said that Canada’s lack of tough enforcement has created an environment where financial institutions face little risk for non-compliance. Christian Leuprecht, professor at the Royal Military College of Canada, said money laundering has been a “pervasive problem in Canada that governments have largely been happy to ignore.” Leuprecht noted that between CAD$45 billion and CAD$113 billion is believed to be laundered annually in Canada. The scale of the issue, he warned, requires more than just bigger fines." What a joke ... https://lnkd.in/g23t5y6p

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This should not be happening! We need to create some national and provincial standards that everyone is required to follow especially governments and crown corporations. We have to take our heads out of the sand and address cybersecurity threats in a more proactive and modern approach. #cybersecurity #stratejm

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