What is the role of Artificial Intelligence in compliance? What about Machine Learning? Are you using ChatGPT? These are but three questions we will explore in this cutting-edge podcast series, Compliance and AI, hosted by Tom Fox, the award-winning Voice of Compliance.
In this episode, Tom visits with Art Mueller, a thought leader in using AI to help fight financial crime.
Art Mueller, a seasoned expert with over 20 years in compliance programs and anti-financial crime initiatives, offers a transformative perspective on the role of AI and machine learning in financial crime programs. As the current lead at WorkFusion, he emphasizes the critical shift from manual processes to AI and automated solutions, enhancing efficiency and significantly reducing false positives. Mueller champions using AI to provide valuable insights into client risks and transactions, thereby improving job satisfaction for analysts and decreasing turnover rates. Drawing on his extensive field experience, he highlights the substantial advancements and benefits these technologies bring to risk management and mitigation in the financial sector through AI.
Key Highlights:
Financial Crime Prevention Solutions with AI Technology
AI-enhanced Adverse Media Screening for Compliance
Enhancing Risk Management Through Anomaly Detection with AI
A lawyer by training and an entrepreneur by vocation, Oonagh van den Berg founded the compliance consultancy and training firm RAW Compliance. She is a highly regarded international compliance professional with two decades of experience in London, Hong Kong, and Singapore.
Growing up in Northern Ireland against the violent backdrop of “The Troubles” during the tumultuous 1980s, she’s a veteran at weathering the sharp, harsh curveballs that life sometimes throws us. She went on to become a lawyer, compliance officer, recruiter, and later, a consultant and educator despite the hardships she encountered as a young girl, such as the Irish Republican Army shooting her police officer father.
This episode of Regulatory Ramblings is topical, timely, and deeply poignant. Oonagh talks to our host, Ajay Shamdasani, about the need for artificial intelligence (AI), mainly by international banking and financial institutions and multinational corporations more generally, to combat financial scams, deep fakes, and sextortion:
It is an issue that hit close to home earlier this summer as Oonagh while working to raise awareness of the matter, learned that her 13-year-old daughter and a few of her school friends became the victims of blackmail because of some innocent photos shared on Snapchat. Raising awareness, Oonagh says, can help prevent others from experiencing the same thing. She shares that RAW Compliance has been working on important awareness videos about social media scams and sextortion targeting pre-teens, teenagers, and young adults.
A recent poll by Europol revealed that cybercriminals are increasingly exploiting new technologies to commit complex and dangerous crimes – and, in many instances, using AI to commit vile acts of violation against the unwitting. For example, malicious large language models (LLM) are used to develop scripts, phishing emails, and online fraud advertisements and to overcome language barriers that allow sex offenders to groom victims in any language and impersonate peers.
Then there is the threat of generative AI because AI-altered and fully artificial child sexual abuse materials are now so realistic and used in sextortion cases that it has resulted in the blackmail and subsequent suicide of some victims.
Additionally, AI deepfakes are becoming more sophisticated and accessible. Such technologies make it vexatious for law enforcement to identify victims and find the appropriate legal framework to charge criminals. Yet, law enforcement has grown more tech-savvy and started using more advanced detection tools. It is still an uphill battle, however, as the authorities are all too often playing catch-up.
Oonagh also discusses her firm’s groundbreaking collaboration to support victims of financial scams and help recover their assets. Together with Nick Leeson, the infamous former 90s-era Barrings trader, the pair combine their expertise to make a tangible difference in the fight against financial fraud. (Links below)
Oonagh says it matters because “Financial scams leave lasting impacts and destroy lives, with little to no help available. Recovery can feel overwhelming. By joining forces, we aim to turn the tide and provide the help and guidance victims need to reclaim their financial futures.”
In her view, banks are not doing enough to help victims of financial scams, mainly due to shortcomings in their technology and fraud detection systems. In the UK, for example, financial crime is a growing issue, with over 3.5 million people affected by scams annually, leading to losses exceeding £1.2 billion.
The problem is equally severe in continental Europe, with countries like Ireland and the Netherlands reporting significant increases in scam-related incidents, resulting in hundreds of millions of euros in losses.
Similarly, in the US, financial scams cost consumers over $3.3 billion annually.
The conversation continues with Oonagh fleshing out how financial institutions can navigate evolving regulations and effectively monitor child sexual abuse materials (CSAM). She also discusses the challenges and strategies for investigating CSAM and human trafficking in traditional and decentralized financial systems. She emphasizes the hurdles of global technology in combating such crimes and estimates the value of suspected CSAM transactions using fiat versus cryptocurrency.
The discussion concludes with Oonagh pointing out that the financial sector has often shirked its responsibility when it comes to anti-money laundering, ‘pig butchering,” human trafficking, and financial scams. The sad truth is that many victims will never truly be made whole.
She stresses that when it comes to law enforcement and investigators, the biggest takeaway for traditional financial crime compliance professionals and blockchain investigators is understanding suspicious red flags and other typologies supporting investigations.
We are bringing you the Regulatory Ramblings podcasts with assistance from the HKU Faculty of Law, the University of Hong Kong’s Reg/Tech Lab, HKU-SCF Fintech Academy, Asia Global Institute, and HKU-edX Professional Certificate in Fintech.
Oonagh van den Berg with Nick Leeson, through FundsRehab.com, offers support and solutions for those impacted by financial scams, guiding them through asset recovery. Assistance is available for those in need. FundsRehab.com is dedicated to combating financial fraud and driving change, with updates on their efforts on the website.
Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen to the Daily Compliance News. All from the Compliance Podcast Network.
Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.
Innovation comes in many forms, and compliance professionals must be ready for and embrace it. Join Tom Fox, the Voice of Compliance, as he visits with top innovative minds, thinkers, and creators in the award-winning Innovation in Compliance podcast. In this episode, Tom welcomes compliance aficionado Maria Villanueva to dive deeply into healthcare compliance.
In this episode, Tom and Maria discuss her diverse career trajectory from accounting to healthcare compliance and delve into the complexities of ethical selling, aggregate spending challenges, and the growing role of AI in the compliance industry. Drawing on her extensive experience, she offers valuable insights on balancing roles in compliance and HR, the impact of data analytics, and the future landscape of healthcare compliance.
Welcome to the only roundtable podcast in compliance as we celebrate our second century of shows. We have a plethora of topics for this episode, including the DOJ Whistleblower Incentive Program, a look at Solar Winds, a new Caremark decision, an effective internal audit and the new AI law in the EU, which we slice and dice from a variety of perspectives.
We have the full quintet of Matt Kelly, Jonathan Armstrong, Karen Woody, Jonathan Marks, and our newest panelist, Karen Moore, all hosted by Tom Fox.
1. Jonathan Armstrong takes a look at the new EU Low regarding AI. He shouts out to Sir Andy Murray for a great career and life.
2. Matt Kelly asks multiple questions about the form of the guilty plea and what it may mean for compliance professionals going forward. He rants about Wyoming Senator Cynthia Lummis and her legislation for a Strategic Bitcoin Reserve.
3. Karen Moore considers the Centene case, which denied a Caremark claim. She rants about German TV only showing German competitors in their Olympic coverage and she shouts out to the perseverance of Ukrainians, where students attending class at the Kyiv School of Economics will stop class during an air raid and start class again when the All Clear is given.
4. Tom Fox shouts out to Simone Biles and the beauty, power, and grace of women’s gymnastics at the Olympics, going back to Olga Korbut.
5. Karen Woody takes a deep dive into the district court’s recent dismissal of the SEC complaint against SolarWinds. She shouts out to President Biden for bringing hostages home from Russia and a job well done.
6. Jonathan Marks reviews what makes internal controls effective.
The members of Everything Compliance are:
Karen Woody is one of the top academic experts on the SEC. Woody can be reached at kwoody@wlu.edu
Jonathan Armstrong is a UK colleague and an experienced data privacy/data protection lawyer in London. He can be reached at his new law firm, jonathan.armstrong@puntersouthall.law
The host, producer, rantor (and sometimes panelist) of Everything Compliance is Tom Fox, the Voice of Compliance. He can be reached at tfox@tfoxlaw.com. Everything Compliance is a part of the award-winning Compliance Podcast Network.
🎙 📣 🎙 It’s #GWIC Roundtable Wednesday, and Lisa Fine & Ellen Hunt are talking with two experts, Diana Kelley and Gwen Hassan, about putting AI to Use for Ethics & Compliance Teams.
Tune in to learn about:
How Ethics & Compliance Teams streamline their workload and amplify their impact with AI solutions
What frameworks and safeguards should you utilize to protect against hallucinations and unintended consequences?
What disclosures or opt-out features should you consider to alert users that the interactions are AI-based?
If you are using AI in your Ethics & Compliance function in a way we didn’t mention, please tell us in the comments.
#GWIC is proud to announce that it has been nominated for the #WomenInPodcastAwards. This is a people’s choice award, and whether you vote for #GWIC or other nominees, we ask that you send the elevator back down by voting. Voting opens August 1, 2024, and details can be found on the #GWIC LinkedIn page at http://www.linkedin.com/groups/12156164
Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee and listen to the Daily Compliance News. All from the Compliance Podcast Network.
Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.
In today’s edition of Daily Compliance News:
Mozambique wins the ‘hidden debt’ case. (Barron’s)
The ABA says lawyer’s using AI must heed ethical rules. (Reuters)
DOJ says the short seller used bait and switch. (NYT)
Innovation comes in many areas, and compliance professionals need to be ready for it and embrace it. Join Tom Fox, the Voice of Compliance, as he visits with top innovative minds, thinkers, and creators in the award-winning Innovation in Compliance podcast.
In this episode, Tom speaks with John Byrne, founder and CEO of Corlytics.
John shares his background as a serial entrepreneur focusing on technology and finance and discusses the inception and mission of Corlytics. The conversation delves into the complexities of regulatory compliance, the need for real-time risk assessments, and the integration of AI and machine learning in regulatory monitoring.
John also explores how Corlytics helps financial institutions navigate evolving regulations, including ESG metrics, and forecasts the future regulatory landscape. This episode offers valuable insights for professionals interested in compliance, risk management, and the role of technology in these fields.
Key Highlights:
Founding Corlytics and Its Mission
Real-Time Risk Assessment
Policy Management and Global Compliance
Impact of Current Events on Financial Institutions
What happens when two top compliance commentators get together?
They talk compliance of course. Join Tom Fox and Kristy Grant-Hart in 2 Gurus Talk Compliance as they discuss the latest compliance issues in this week’s episode!
In this episode Kristy and Tom delve into an array of timely topics. They discuss a filmmaker turned vigilante’s impact on corporate DEI programs and the repercussions of the UK elections on compliance and law enforcement. The duo takes a deep dive into the essentials of the European AI Act, emphasizing its imminent enforcement and the potential penalties.
They also bring attention to the importance of a robust document retention policy, especially in international contexts. Of course, Florida man makes an appearance swimming away from the police to evade his girlfriend’s probing questions.
Tune in for a comprehensive mix of compliance nuts and bolts insights and current events.
In this episode of Trekking Through Compliance, we consider the episode The Ultimate Computer, which aired on March 8, 1968, and occurred on Star Date 4729.4.
The Enterprise is ordered to be part of a test of the new M5 Multitronic System, a computer designed to replace a starship crew. In an unscheduled drill at Alpha Carinae 2, M5 defends the Enterprise against attacks from the starships Excalibur and Lexington. The M5 is declared the victor of the simulated contest, prompting Commodore Bob Wesley to call Kirk “Captain Dunsel.” Spock explains the meaning of “dunsel” to McCoy as a term used by midshipmen at the Federation Academy for a part that serves no useful purpose.
In a short time, however, M5 takes control of the Enterprise. Daystrom is surprised by the M5’s actions but views its behavior as mistakes made by a “child” who is still learning. At the scheduled rendezvous point, the M5 attacks the Excalibur, Lexington, Hood, and Potemkin.
Kirk finally shuts off M5 by pointing out that killing humans has violated its programming of saving men from dangerous activities such as space exploration. Since the penalty for murder is death, the M5 concludes that it must die and shuts itself down. Daystrom is committed to a rehabilitation program, but Spock still refuses to respond to McCoy’s prodding that human compassion outweighs any advantages computers may have in computational ability.
Commentary
The plot revolves around Captain Kirk and the Enterprise crew testing Dr. Daystrom’s M5 Multitronic System, a computer designed to replace the starship’s crew. As the M5 takes control and makes autonomous decisions, it leads to dire consequences, including unwarranted attacks on other starships. Tom Fox discusses the episode’s ethical dilemmas, such as balancing efficiency and humanity, autonomy and accountability, and preserving human expertise. The episode also provides commentary on the societal impacts of mechanization during the 1960s. Additionally, Fox highlights the importance of monitoring mental health within teams, especially in hybrid working environments. The key takeaway is navigating emerging technologies’ complexities while upholding ethical principles and human values.
Key Highlights
The Enterprise’s AI Challenge
M5’s Malfunctions and Consequences
Fun Facts About The Ultimate Computer
Ethical Takeaways from The Ultimate Computer
Resources
Excruciatingly Detailed Plot Summary by Eric W. Weisstein
