by clicking the arrows at the side of the page, or by using the toolbar.
by clicking anywhere on the page.
by dragging the page around when zoomed in.
by clicking anywhere on the page when zoomed in.
web sites or send emails by clicking on hyperlinks.
Email this page to a friend
Search this issue
Index - jump to page or section
Archive - view past issues
GRC Professional : GRC Winter 2012
8 GrC Professional • winter 2012 NEWS Are you confident that your organisation is completely clea n? A recent Aust ra lian report details the scope of money- laundering risks, coming just after revelations of major illegal activity through international bank HSBC. The Typologies and case studies report 2012 from the Australian Transaction Reports and Analysis Centre (AuSTRAC) includes a case study of a sophisticated fraud and money- laundering syndicate that targeted supera n nuation accou nt s . Members of the syndicate stole cheques , super st atement s a nd pers on a l bank statements from the mailboxes of unsuspecting victims and used this information to produce high-quality counter feit identity document s. AuSTR AC received suspicious m at ter reports and suspect transaction reports. Infor mation in these repor t s, combined with further AuSTRAC analysis, resulted in 25 syndicate members being charged with more than 2,500 offences involving the laundering of over $8 million in fraudulently obtained funds. HSbC money-laundering revelations The AuSTRAC repor t comes after HSBC made international headlines for all the wrong reasons, after revelations that the bank ignored warnings it was being used by drug cartels and rogue states to launder trillions of dollars. In hearings before a Senate subcom mittee in Washington, HSBC executives admitted to allowing rogue states and drug cartels to launder trillions on dollars through the bank. HSBC’s chief compl ia nce of ficer, David Bagley, resigned before the Senate comm ittee. A 335-page Senate report accused the bank of ignoring warnings a nd breaching safeg uard s that should have st opped the l aunder i ng of money from Mexico, Iran and Syria. The bank failed to monitor 38 trillion pounds or 57 trillion Australian dollars moving across borders from high-risk countries. Evidence in the report shows that HSBC staff sought to get around sa nctions that prevent Amer ica n firms doing business with Iran. HSBC affiliates used a method called “stripping” to delete references to Iran from records of t ra nsac tions. From 2001 to 2007, HSBC affiliates sent almost 25,000 transactions involving Iran worth over $19 billion through uS accounts, while concealing any link with Iran in 85 per cent of the tran saction s. According to the repor t, the bank’s compliance division “al lowed the HSBC affiliates to continue to engage in these practices, which even some within the bank viewed as deceptive, for more than five years.” Money-laundering in the spotlight AUSTRALIA & USA hsBc executives admitted to allowing rogue states and drug cartels to launder trillions on dollars through the bank. NEW ZEALAND Are you ready for nZ ShakeOut? After recent earthquakes, natural disaster planning has focused on business preparedness, including how well businesses can cope in the weeks and months following a quake, flood or fire. Emergency Management Advi ser at Emergenc y Management Southland Craig Sinclair said it was particularly important to get business involved in the New Zealand ShakeOut, the national earthquake drill sched uled for 26 Septem ber. “It’s a very good way of getting them to think about disaster preparedness, including business continu it y,” sa id Sincla ir. Sinclair said that businesses who were prepared for one kind of emergency would be well-placed to deal with another, such as flooding or storms. Sinclair’s organisation Emergency Manag ement Southland has already recruited over 1500 people to take part in the initiative. Nationwide, the target for participation is one million. Corporate risk survey Natural disaster is currently reshaping the corporate risk la nd scape. Aon’s 2011-2012 Australasian Risk Survey found that external risk concerns have over taken i nter nal ly-focused corporate risks for companies for the first time in a decade. Aon says the rise in external risks and the natural disasters of 2011 have prompted 71 per cent of companies to undertake a formal review of their insurable risk tolera nce levels.
GRC Autumn 2012
GRC Spring 2012