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More gatekeepers needed to tackle money laundering, notes report

AvantiKumar | Nov. 8, 2016
The UK report finds that criminals have been diversifying their tactics to try and avoid digital scrutiny by banks.

Cybercrime - CSO Online

Image (CSO Online) - Cyber crime


Criminals have been diversifying their tactics to avoid digital scrutiny by banks in their efforts to move 'dirty money,' according to a new global report from the UK.

Sanjay Samuel, Asia-Pacific managing director, of UK-headquartered defence, aerospace and security systems provider BAE Systems Applied Intelligence, announced a new study, called How Dirty Money Moves' to help the security and financial services industry better understand global money laundering tactics.

Samuel said the crime was a growing global problem. "We have seen money laundering activities rising rapidly in various regions and evolving at a faster pace than many organisations, financial institutions and governments can detect and prevent today."

He said the study showed that laundered money now represented between two and five percent of global GDP (gross domestic product).

There is a need for these companies to not only prevent such activities from occurring, but to be cautious in ensuring that 'dirty money' is not present inside their business operations, said Samuel.

"The key to this is understanding how the criminals operate. Criminals today, for instance, are diversifying their tactics through peer-to-peer lending, casino gambling, real estate, fake invoicing - the list goes on," he said.

"In doing so, they can spread their risk and avoid the area under most scrutiny: banks. It's time for the other 'gatekeepers' to the financial industry to start to combat these fraudsters too," Samuel added.

"The eradication of money laundering is impossible but what we can do is to make the environment riskier and create difficult proposition for criminals. Naturally, this has to be complemented with a set of effective legislations and regulations," he said.

The full report is available now to download from

BAE Systems has a long history of cooperation with industry
and organisations in Malaysia including the building of new infosecurity talent. Meanwhile its Applied Intelligence entity has established a regional centre for financial industry security services in Kuala Lumpur.


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