Money Laundering Regulation and Bank Compliance Costs: What Do Your Customers Know? Economics and the Italian Experience

Masciandaro, Donato; Filotto, Umberto

doi:10.1108/eb027299

Cited by 44 publications

(32 citation statements)

References 9 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Masciandaro [9] is the first to build an economic model of money laundering. Masciandaro and Filloto [2] demonstrated the connection between the effectiveness of the anti-money laundering regulations and the characteristics of the compliance costs involved for the bank. Their key finding is that collective gains can be produced in war of anti-money laundering only if the problem of compliance cost will be given due consideration by the regulations.…”

Section: Related Workmentioning

confidence: 98%

See 1 more Smart Citation

An adaptive resource allocation model in anti-money laundering system

Hong

Liang

Gao

et al. 2016

Peer-to-Peer Netw. Appl.

View full text Add to dashboard Cite

The importance of the global combating of money laundering and financing of terrorism has increased significantly over the past decade. One of the most fundamental research issues in Anti-Money Laundering (AML) area is how to efficiently and adaptively allocate the limited AML resource to analyze suspicious transactions to achieve the maximal AML rewards. In this paper, a novel Adaptive AML Resource Allocation Model (AAMLRAM) based on Semi-Markov Decision Process (SMDP) is proposed to

show abstract

Section: Related Workmentioning

confidence: 98%

“…Especially in combating money laundering, it is the primary vehicle for money laundering activity [2]. Globalization and rapid economic development lead to increasing money laundering activities in all jurisdictions.…”

Section: Introductionmentioning

confidence: 99%

An adaptive resource allocation model in anti-money laundering system

Hong

Liang

Gao

et al. 2016

Peer-to-Peer Netw. Appl.

View full text Add to dashboard Cite

show abstract

“…Previous empirical research has highlighted problems of data access when working in this field [18,44,[61][62][63][64]. In consequence, use is made (often unquestioningly) of statistics drawn from official government 23 and law enforcement records, with less emphasis on primary data gathered from experienced, knowledgeable AML stakeholders.…”

Section: Methods Employedmentioning

confidence: 99%

Prevention of money laundering and the role of asset recovery

Sittlington

Harvey

2018

Crime Law Soc Change

View full text Add to dashboard Cite

The purpose of this paper is to examine the increasing emphasis of the UK anti-money laundering (AML) legislative framework, on the financial arrangements of criminals. Our qualitative study engaged key stakeholders from the AML environment through a series of focus groups. This included law enforcement; accountants; prosecutors; bankers and, importantly, ex-offenders. We argue that the inclusion of the views of a traditionally hard to reach group of ex-offenders, adds significantly to knowledge and understanding about effectiveness of AML. The research findings suggest that, at first glance, the focus on asset recovery has been successful. However, our respondents shared with us areas of tension and inconsistencies in application of the law, in particular between police and the courts. For example, whether it was better to prosecute the predicate offence separately or in addition to the offence of money laundering; or whether to pursue criminal or civil recovery. We further find that criminals have been able to use their knowledge to circumvent the system, suggesting that greater effort is needed to promote cooperation, rather than competition, in successfully detecting and prosecuting offenders.

show abstract

“…Several scholars have examined the problems arising from the risk-based approach (Anna, 2011;Demetis & Angell, 2007) with a number examining through application of game theory (Araujo, 2010;Arnone & Borlini, 2010); or agency theory (Araujo, 2008;Masciandaro, 1999Masciandaro, , 2005Masciandaro & Filotto, 2001;Pellegrina & Masciandaro, 2009;Takats, 2011) the conditions under which the approach would be effective. We follow a different line of reasoning arguing that the risk-based approach is proving to be difficult to implement because the traditional theories of risk are not easily transferable to the arena of AML.…”

Section: Introductionmentioning

confidence: 99%

From a risk-based to an uncertainty-based approach to anti-money laundering compliance

Bello¹,

Harvey

2016

Secur J

View full text Add to dashboard Cite

The prescriptive nature of the rule-based approach to anti-money laundering (AML) compliance and the exponential growth of suspicious activity reports (SAR) resulting from the use of 'tick-box' method led to the adoption of the risk-based approach (RBA) to AML.However, the RBA, suffers from a number of difficulties and this has resulted in its ineffective implementation. The difficulty in implementing the approach can mainly be traced back to the inappropriateness of the risk theoretical framework for AML. We argue that an uncertainty based approach will provide a more fruitful basis for an effective AML regime.The paper, therefore, outlines how an uncertainty-based approach could be considered as an alternative to the existing risk-based approach in order to improve the effectiveness of the AML compliance regime.

show abstract

Money Laundering Regulation and Bank Compliance Costs: What Do Your Customers Know? Economics and the Italian Experience

Cited by 44 publications

References 9 publications

An adaptive resource allocation model in anti-money laundering system

An adaptive resource allocation model in anti-money laundering system

Prevention of money laundering and the role of asset recovery

From a risk-based to an uncertainty-based approach to anti-money laundering compliance

Contact Info

Product

Resources

About