Chapter 5: International Leaks Data

Your Trustworthy Partner For International Leaks Screening

As per FATF, more than 200 countries have agreed to mandate financial and non-banking institutions to identify and verify beneficial ownership information for companies within their jurisdictions. However, “mutual evaluations by FATF show that only one-third of these countries have compliant laws and just 10% take effective measures for transparency.”

So, Recommendation 24 from the FATF calls for enhanced transparency regarding the beneficial ownership of legal entities. It mandates that member states make sure they adopt a public beneficial ownership register, or something comparable, to make BO information easier to obtain. Businesses need to adopt a “multi-pronged approach” and gather BO data from several sources.

Emphasizes The Risk-Based Strategy

It also states that countries should adopt a risk-based strategy and take into account risks associated with having legal persons in their territories. This includes not just the risks posed by local legal persons but also the risks posed by foreign legal persons who have sufficient ties to their nation.

This measure aims to prevent the use of shell companies for illicit activities by requiring clear records and making ownership details available to authorities.

Stay Alert & Proactively Screen Risky Profiles

Therefore, International leaks, such as the Panama Papers, Paradise Papers, or Dubai Leaks are crucial in uncovering these hidden ownerships, showing the true beneficiaries behind complex corporate structures, and individuals and entities involved in money laundering and tax evasion. These leaks expose patterns of illicit financial activities and networks, providing organizations with the detailed information needed for enhanced due diligence.

The outcomes of these leaks may not show links to any financial crime but may raise the need for a thorough investigation to ensure compliance and protection against financial crimes.

By incorporating data from these leaks, organizations can significantly improve their risk assessment and monitoring processes, ensuring compliance with global regulatory standards and reducing the risk of facilitating illegal activities.

This integration helps identify potential high-risk clients who might otherwise evade detection, ultimately strengthening the organization’s ability to prevent financial crimes.

AML Watcher’s Approach of Screening Through International Leaks

• Easy Screening With Structured Data Integration

AML Watcher integrates data from international leaks into a structured and standardized format, ensuring comprehensive and efficient screening. Our in-house data experts continuously review, extract, verify, and compile authentic data from various international leak documents.

Provides a clear and organized dataset that enhances the ability to screen names against these leaks.

• Accurate Results With Real-Time Updates

AML Watcher continuously updates its database with new information from international leaks as it becomes available. This ensures that users have access to the latest data, improving the timeliness and accuracy of risk detection. By providing recent international leak data we ensure that your compliance team proactively manages a risk evaluation and makes informed decisions for client onboarding, existing screening, and rescreening them.