Review article
Risk Indicators in the Banking Sector in the Context of the Prevention of Money Laundering
Sonja Cindori
orcid.org/0000-0002-0134-9285
; Faculty of Law, University of Zagreb, Zagreb, Croatia
Tajana Petrović
orcid.org/0000-0001-7069-8748
; Ministry of Finance, Tax Administration, Koprivnica, Croatia
Abstract
The banking sector still has a very important role in the prevention of money laundering and the financing of terrorism. The development of banks, which includes the expanding of their business scope and the content of provided services, has affected to a certain extent the development of methods and techniques of money laundering and the increasingly more present financing of terrorism. At the same time, the importance of high-risk activities within the framework of private, correspondent, digital, virtual and offshore banking is emphasized, as well as the specifics of Islamic banking and banks operating on Christian ethical principles. For reasons of diversity and complexity of provided services and products, the banking sector has developed indicators for the identification and classification of suspicious activity relating to money laundering and terrorism financing, and risk assessment operations. In support of the thesis of the attractiveness of the banking sector in the money laundering and terrorist financing and the significance of the risk-based approach, a comparison of suspicious transaction reports in the Republic of Croatia with three other countries in the region is presented.
Keywords
money laundering; bank; suspicious transactions; off-shore; indicators
Hrčak ID:
176327
URI
Publication date:
30.12.2016.
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