ADVANCED TECHNOLOGY FOR COMPLIANCE
R&C: To what extent is the international regulatory landscape becoming more complex and challenging? How would you describe the compliance burden that companies now face?
Pimlott: The international regulatory landscape is particularly complex and challenging at present because new sanctions on entities and individuals are used to apply political pressure, placing a greater burden on companies already under heavy regulatory scrutiny. In the past few years, we have seen banks agree to pay settlements in the billions to US prosecutors over allegations of sanctions violations – penalties that regulators intend to be a clear warning signal. A regulatory breach does not just impact a business financially, but also causes severe reputational damage. Compliance teams are expected to detect and prevent regulatory violations taking place, yet money launderers are becoming increasingly savvy with their technical applications, navigating almost with ease through any barriers applied. The constant increase of data, new technological developments, FinTech, Cloud innovations, GDPR, Brexit – to name just a few – are all adding to the pressure and escalating expectations on the compliance department.
Apr-Jun 2019 Issue