Anti Money Laundering Basics For Beginners

Course overview

Money laundering is the process by which criminals turn “dirty” money into “clean” money, or from monies obtained illegally (black money) to funds that are legally available and taxed (white money). By using a variety of techniques, money launderers try to hide or disguise the source of funds that are being closely monitored by regulatory authorities so that they appear to have come from reliable sources.

Such monies are frequently obtained through base crimes and are intended for use in other crimes, primarily funding terrorism. Domestic and international regulatory mechanisms require financial institutions (FIs) to have a multifaceted compliance program in place.

One of the minimal requirements for that is that all staff members complete the Compliance Program’s (as indicated below) training in a manner that is operationally appropriate and appropriate to their positions and responsibilities.

The compliance department is responsible for overseeing the functions that operate in compliance conformance given the corporate compliance risk-based strategy. Periodic training that is relevant, suitable, updated, and suggested is also required for these tasks.

The internal hotline, forms, rules, and procedures to identify and address risks in accordance with the bank’s overall risk profile, as well as current changes to regulatory standards, must all be considered by the compliance team.

All employees should be aware of these requirements in order to prevent the consequences of noncompliance, as well as the dangers posed to the bank in terms of legal action, governmental penalties, and reputational damage.

FIs are required to maintain a record of these training program and have them thoroughly documented, with information such as the training curriculum (for relevance), attendance and dates, the number of periodic sessions, the understanding and proficiency of trained staff via testing (maintaining training scores), etc.

As has been historically noted, one of the finest results of this training program is the formation of a compliance culture, which reflects the organization’s ‘Tone from the Top’ and the BoD’s dedication to compliance adherence.

Introduction

Welcome to the Level Me (Basics) Anti Money Laundering (AML) Compliance Certification Course! We will provide you a firm foundation in AML compliance in this in-depth course, giving you the information and abilities you need to fight the worldwide threat of money laundering.

The integrity of financial institutions is seriously threatened by money laundering, which gives criminals a way to hide the unsavory sources of their money. Financial institutions and personnel need to be knowledgeable about AML legislation, best practices, and risk mitigation techniques to combat this.

Our AML Compliance Certification Course’s Level I (Basics) is intended to expose you to the core ideas and tenets of AML compliance. This course will provide you the skills you need to comprehend, spot, and stop money laundering operations, regardless of your level of experience or need to brush up.

Participants will cover a wide range of subjects in this course, such as the phases of money laundering, regulatory frameworks, customer due diligence, reporting suspicious behavior, and the function of compliance program. You’ll learn more about the risk-based approach to AML compliance and examine how new trends and technology are influencing the industry.

We are The Training Bee, a global training and education firm providing services in many countries. We are specialized in capacity building and talent development solutions for individuals and organizations, with our highly customized programs and training sessions.

Learning Objectives

Upon completing Anti Money Laundering Basics for Beginners, participants will be able to:

• Describe the reasons why financial institutions need to implement anti-money laundering procedures.
• Recognize the systems in place on a national and international level for identifying and combating money laundering and associated predicate offences.
• Recognize and adhere to local regulatory authorities’ Anti-Money Laundering guidelines as set out by worldwide financial compliance governance and associated organizations.
• Align the organization’s compliance objectives with routine tasks and encourage vigilance
• Encourage a compliance-oriented culture to aid in spotting and reporting questionable activities.
• Understanding the fundamental requirements of government compliance notifications and regulatory compliance circulars
• To prevent regulatory fines, review internal rules, technology, resources, and other compliance-supporting mechanisms.

Our Unique Training Methodology

This interactive course comprises the following training methods:

• Role-playing – Participants will take part in several role-plays and understand practical ways of solving issues.
• Journaling – This consists of setting a timer and letting your thoughts flow, unedited and unscripted recording events, ideas, and thoughts over a while, related to the topic.
• Social learning – Information and expertise exchanged amongst peers via computer-based technologies and interactive conversations including Blogging, instant messaging, and forums for debate in groups.
• Project-based learning
• Mind mapping and brainstorming – A session will be carried out between participants to uncover unique ideas, thoughts, and opinions having a quality discussion.
• Interactive sessions – The course will use informative lectures to introduce key concepts and theories related to the topic.

Training Medium

This Anti Money Laundering Basics for Beginners training is designed in a way that it can be delivered face-to-face and virtually.

Course Duration

This training is versatile in its delivery. The training can be delivered as a full-fledged 40-hour training program or a 15- hours crash course covering 5 hours of content each day over 3 days

Pre-course Assessment

Before you enroll in this course all we wanted to know is your exact mindset and your way of thinking.
For that, we have designed this questionnaire attached below.

• What is money laundering, and why is it a serious issue for the banking sector?
• List the three steps in the laundering of money and briefly describe each one.
• What do Know Your Customer (KYC) rules for AML compliance serve?
• Explain what a “politically exposed person” (PEP) is and why it’s a high-risk group of people.
• What distinguishes the steps of money laundering known as placement, layering, and integration?
• How can the compliance program of a financial institution aid in avoiding money laundering?

Course Modules

This Anti Money Laundering Basics for Beginners covers the following topics for understanding the essentials of the Agile Workplace:

Module 1 – Basic Overview of Methods & Mechanism

• Money Laundering: What Is It?
• Banks and Other Depositories
• Building societies and credit unions
• Institutions of Nonbank Finance
• Businesses and Professions Outside of Finance
• Activity in International Trade

Module 2 – Terrorism financing

• Financing of Terrorism
• Distinctions from AML
• Operating Methods for Funding and Moving of Funds

Module 3 – International ML Countermeasures

• FATF is the Financial Action Task Force.
• Bank supervision is overseen by the Basel Committee.
• Regional Bodies (FSRBs) Modeled After FATF
• America’s Organization of States
• Important US Regulatory and Legislative Initiatives Regarding Transactions Important international projects on a global scale

Module 4 – Compliance Initiative

• Risk Assessment for AML/CFT
• AML/CFT Initiative
• AML/CFT Training Creating a Compliance Culture

Module 5 – Understand your policies

• Identify Your Client
• Know Your Workforce
• Know Your Suppliers and Vendors

Module 6 – Adherence to Internal Compliance

• Financial Sanctions
• Checking the sanctions list
• Screening for Politically Exposed Persons

Module 7 – assisting law enforcement

• Financial Institution-Initiated Investigations in Response to a Law Enforcement investigations inquiries opened by law enforcement
• WARRANT FOR SUBPOENA SEARCH

Module 8 – Corporate Perspective

• Obtain Legal Counsel for a Financial Institution Under Investigation in Response to MLAT for AML/CFT International Cooperation Organization Reputation Management
• Correspondence with the media

Post-course Assessment

Participants need to complete an assessment post-course completion so our mentors will get to know their understanding of the course. A mentor will also have interrogative conversations with participants and provide valuable feedback.

• Explain the meaning of “beneficial ownership” and how it relates to AML compliance.
• Describe the steps taken during the customer risk assessment process to exercise due diligence.
• Describe the idea of transaction monitoring and how it helps to catch suspicious activity.
• How may correspondent banking ties help a financial institution reduce the risk of money laundering?
• Talk about the value of continual employee training and awareness programs for ensuring AML compliance.
• What are the warning signs or telltale signs that can point to possible money laundering activities?

Lessons Learned

Participants should have gained knowledge of the three steps of money laundering—placement, layering, and integration—as well as its nature and breadth. They should now understand fully why money laundering is a serious issue in the banking sector.

Regulatory Framework: Participants have to be aware of the legal principles guiding AML compliance. They should be knowledgeable about the important rules and regulations, such as the Know Your Customer (KYC) standards, the function of Financial Intelligence Units (FIUs), and suspicious activity reporting (SAR).

Participants have to be familiar with the risk-based approach to AML compliance, which emphasizes the value of doing client risk assessments and putting in place suitable risk mitigation measures.

“Gaining Professional Experience Knowledge of AML Compliance: Level I (Basics) Certification Program”