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Gingerly, Banks Open Up to Competitors on AML Suspicions
By Brian Monroe
printDozens of U.S. banks have begun sharing suspicious transaction data without the use of formal bank-to-bank requests in an effort to better detect potential fraud and money laundering, say compliance officers. The informal arrangements, made by Bank of America, JPMorgan Chase, Wells Fargo and mid-sized financial institutions in Texas and California, are the outcome of years of active encouragement by law enforcement agencies that have called on banks to foster stronger compliance ties with their competitors, they say. And while interbank data exchanges are nothing new, "anecdotally, the informal sharing of information between banks has really taken off," said Peter...
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