CARY, N.C. (Oct. 27, 2003) â The International Monetary Fund estimates that between $800 billion and $2 trillion is laundered each year worldwide. New regulations such as the USA PATRIOT Act require financial services institutions to take concrete steps to stem this tide. With the potential for multimillion-dollar fines, criminal investigations, and irreparable damage to corporate reputations, leading banks are stepping up to address this issue by boosting their anti-money laundering and terrorist financ ing efforts.
Bank of America (NYSE: BAC), the third-largest bank in the United States by assets and the nationâs largest consumer bank, has selected SAS, the leader in business intelligence, to power its anti-money laundering program.
Bank of America, a SAS customer for 25 years, will use SAS to address requirements of the USA PATRIOT (Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism) Act, passed by Congress after the attack s of Sept. 11, 2001. The Act requires financial institutions with accounts in the United States to establish âdue diligenceâ policies and procedures to prevent, detect and report possible instances of money laundering or terrorist financing.
Bank of America serves as an early development partner for SAS Anti-Money Laundering and is currently implementing the solution to detect and report criminal financial activities efficiently across the entire organization. The SAS solution provides Bank of America with a comprehensive transaction surveillance and analysis process, coupled with the ability to refine detection measures and logic to more accurately report exceptions throughout the enterprise. The bank leverages predictive models from SAS to understand and examine potentially suspicious patterns or anomalies in financial transactions. The ability to monitor unusual or suspect behavior is essential for Bank of Americaâs anti-money laundering effort.
SAS offers an enterprisewide solution, allowing Bank of America to obtain a comprehensive view of financial transactions across its many lines of business.
"The strategy in partnering with SAS was to develop a fully integrated alert monitoring, workflow and case management solution for use in the fight against money laundering and the financing of terrorism," said Dan Soto, the bankâs global anti-money laun dering executive.
Bank of America is also using SASâ Anti-Money Laundering Solution for its broker monitoring and customer suitability needs. In addition to analyzing suspect behavior to detect and prevent money laundering and terrorist financing, the bank will monitor an d analyze broker behavior, reporting risky situations, to help protect customer and company interests.
"The same data management and analytical technologies that help banks identify and market to their best customers, can also help them to detect and predict fraudulent or illegal activity," said Dr. Jim Goodnight, president and CEO of SAS. "SAS is honored to be a strategic partner with Bank of America to address the bankâs compliance and business intelligence needs. With more than 25 years of serving the financial services industry, our team is focused on continuing to ensure our customersâ success throug h timely, targeted business solutions that leverage SASâ expertise and experience in data management and analytics."