Welcome to Finextra. We use cookies to help us to deliver our services. We'll assume you're ok with this, but you may change your preferences at our Cookie Centre.
Please read our Privacy Policy.

Accept
/crime
Channels

/financial crime

News and resources on financial crime, including fraud, scams, Anti Money Laundering and Know Your Customer.

More /crime announcements »
FCA urges Brits to watch out for loan fee fraud

FCA urges Brits to watch out for loan fee fraud

With Brits under increasing financial strain this summer, the Financial Conduct Authority is urging Brits to watch out for signs of loan fee fraud.

Continue reading »

How instant payments will impact financial crime mitigation

How instant payments will impact financial crime mitigation

Pushing Fraud Controls to the Next Level

Pushing Fraud Controls to the Next Level

Spanish banks form fraud fighting JV

Spanish banks form fraud fighting JV

FTX sues Sam Bankman-Fried for $1bn

FTX sues Sam Bankman-Fried for $1bn

Martin Lewis calls for regulation after featuring in deepfake AI scam

Martin Lewis calls for regulation after featuring in deepfake AI scam

Mastercard AI tool helps UK banks take on real-time payment scams

Mastercard AI tool helps UK banks take on real-time payment scams

BBVA builds global financial crime prevention unit

BBVA builds global financial crime prevention unit

Payments Association warns UK govt on APP fraud plans

Payments Association warns UK govt on APP fraud plans

EBAday: Collaboration and the future of fraud prevention in PaaS

EBAday: Collaboration and the future of fraud prevention in PaaS

UK banks expect rise in cyber crime due to economic downturn

UK banks expect rise in cyber crime due to economic downturn

More news
[New Report] The Future of Fintech in Africa 2023[New Report] The Future of Fintech in Africa 2023
Financial Crime blogs
Artificial Intelligence and Financial Services  

AI: Do Regulators Have a Hope of Keeping Pace?

Evgeniy Ivantsov

Evgeniy Ivantsov - FYST - Riga

Artificial Intelligence and Financial Services  

AI is getting smarter, but it still needs human guidance when it comes to fraud detection

Oliver Tearle

Oliver Tearle - The ai Corporation - London

Transaction Fraud Systems and Analysis  

The Rise of the Digital Catfish: How ChatGPT and Deep-Fake Personas are Changing Financial Fraud

Greg Woolf

Greg Woolf - Fiverity - Boston

 

Hidden value: how to uncover the dark origins behind unusual wealth types

Simon Luke

Simon Luke - First AML - London

See all /crime blogs »
Latest TV
See all TV »
Pushing Fraud Controls to the Next Level

Pushing Fraud Controls to the Next Level

Isabel Schmidt, Co-Head of Global Payments Products, BNY Mellon, joins us at EBAday 2023 to discuss real-time payments and the ways to improve fraud controls with data validation services and cross-industry collaboration.
Unveiling the Impact of Instant Payments on Financial Crime Mitigation

Unveiling the Impact of Instant Payments on Financial Crime Mitigation

Speaking at TCF 2023, Adam Gable, Product Director Financial Crime, Treasury & Risk, Temenos, and Hani Hagras, Chief Science Officer, Temenos, discuss what the spread of instant payments means for financial crime mitigation and how AI and automation can help prevent fraud and maintain compliance.
Trends shaping the State of Financial Crime 2023

Trends shaping the State of Financial Crime 2023

Iain Armstrong, Practice Lead, Regulatory Affairs, ComplyAdvantage, and Alia Mahmud, Practice Lead, Regulatory Affairs, ComplyAdvantage, discuss the key findings in their recent research report on the state of Financial Crime in 2023, offering insights into what financial institutions need to consider regarding reputational risk and exploring the practices that are navigating compliance process challenges.
The future of resilient CBDC systems & cross-border architecture

The future of resilient CBDC systems & cross-border architecture

Beju Shah, Head of Nordic Centre, BIS Innovation Hub, Bank for International Settlements, speaks at NextGen Nordics 2023, about the Hub's latest projects that are looking into creating resilient CBDC systems, building a new architecture for cross-border retail CBDCs, and using data to combat money laundering across firms and boarders.
The long read
See all »
Sehrish Alikhan

New ways of customer authentication in payments

Sehrish Alikhan - Editorial Assistant, Finextra
Discussion
AI: Do Regulators Have a Hope of Keeping Pace?
Ketharaman Swaminathan

Ketharaman Swaminathan

  No. Regulators cannot keep up with AI.  Take ChatGPT itself as an example. It's the pinnacle of leveraging of Regulatory Gap, which has been the strategy followed by fintech, rideshare, room share and many startup industries in regulated industries.  While training ChatGPT, OpenAI scraped data from billions of websites without their express permission and probably in violation of their TOS. Now that ChatGPT is launched and popular, OpenAI has announced steps that website owners can take to prevent their websites from getting scraped by OpenAI's bot. This is unethical, if not also illegal in some jurisdictions. But will any regulator shut ChatGPT down now? Had OpenAI announced, in advance, its plans to slurp the content of billions of websites when it started doing so a few years ago, I can bet that ChatGPT would have been DOA.

Reply Read article

AI is getting smarter, but it still needs human guidance when it comes to fraud detection
Ketharaman Swaminathan

Ketharaman Swaminathan

  I published a paper on Controlling Credit Card Fraud Through Predictive Analytics back in 2008. In the subsequent 15 years, AI has made rapid strides. Accordingly, it might be able to challenge conventional wisdom in many areas e.g. "AI models live or die by the data they are trained on."  Today, AI models use not only the data YOU provide (first party data) but have access to huge amount of third party data sourced from e.g. Data Brokers. Accordingly, even if first party data has an error, it's conceivable that AI might be able to correct it. For example, if first party data mentions address as, say, "75 Meridian Place, Off Marsh Wall, SW17 6FF, London, UK", AI can correct the postal code to "E14 9FF". (For all I know, LLMs might be powerful enough to be able to make this correction even without third party data.)  To the extent that AI has growing resilience to bad quality data, I see the old quip GIGO becoming obsolete in the forseeable future.   I agree that, at the highest level, it's always about Man + Technology, whether it's AI or any other technology, but, historically, technology has always brought about a change to the nature of the "Man" required to do the job. In line with that, if AI goes mainstream in payment fraud detection and prevention, Prompt Engineers may replace Fraud Case Managers!

Reply Read article

Rough Diamonds: Is that really how money laundering works?
Ketharaman Swaminathan

Ketharaman Swaminathan

  LOL. I thought OZARK portrayed money laundering in a more realistic manner, what with its actual use of washing machines, and all! While on the subject of fact v. fiction in showbiz, many movies and shows have the victim initiating a fund transfer in millions to some offshore bank from their laptop / mobile phone, the perp sighting good funds in their offshore account instantly on their laptop / mobile phone, and releasing the kidnaped person or whatever "across the table". I've always wondered if such a realtime crossborder payment system exists anywhere in practice (apart from crypto and SEPA-Inst, which probably does not cover the usual suspect offshore venues).

Reply Read article

Embracing Instant Payments: A New Era and Its Challenges for Fraud Fighters
Ketharaman Swaminathan

Ketharaman Swaminathan

  For all their love and affection for A2A RTPs, customers don't seem to be ready to pay for the FPSs and UPIs and Zelles of the world, and regs like ZeroMDR in some jurisdictions like India don't even require merchants to pay for them.   Against that backdrop, smart move for banks might be to ignore scam prevention solutions in A2A RTP and point payors to the UK Supreme Court's latest verdict in favor of Barclays in APP reimbursement claims?

Reply Read article

Featured
See all news »
European banks hit by Russian hackers

European banks hit by Russian hackers

Tide calls for tax on social media and telcos to fund fight on fraud

Tide calls for tax on social media and telcos to fund fight on fraud

US says crooks using DeFi to launder illicit proceeds

US says crooks using DeFi to launder illicit proceeds

EBAday 2023: Agenda now live!

EBAday 2023: Agenda now live!

The long read
See all »
Sehrish Alikhan

Fraud prevention and cybersecurity in the era of PaaS

Sehrish Alikhan - Editorial Assistant, Finextra
Elsewhere...

  1. New Money Review

    Dark money concerns over Boris Johnson donor

  2. Raconteur

    Challenger banks challenged on fraud

  3. The Guardian

    Credit Suisse leak unmasks criminals, fraudsters and corrupt politicians

  4. Sydney Morning Herald

    'Integrity' of financial system at stake as $1.3b Westpac fine upheld: Federal Court

  5. Quartz

    Uganda’s banks have been plunged into chaos by a mobile money fraud hack

The long read
See all »
Arvin Abraham

The tip of the iceberg: Assessing the CFTC’s lawsuit against Binance

Arvin Abraham - UK Fintech Partner, McDermott Will & Emery