Recent U.S. Enforcement Targeting Online Broker Signals Growing Regulatory Focus on Capital Markets

September 8, 2020 - Policy Alerts

This month’s coordinated U.S. multi-agency enforcement action against online broker Interactive Brokers (IBKR) signals authorities’ ongoing concerns about anti-money laundering/combating the financing of terrorism (AML/CFT) risk in the securities and commodities sectors and underlines the need for capital markets participants to design and implement comprehensive AML/CFT programs.

The U.S. Securities Exchange Commission (SEC), Financial Industry Regulatory Authority (FINRA), and Commodities Futures Trading Commission (CFTC) fined IBKR a total of $38 million for failure to implement an effective AML/CFT program. The CFTC noted that “this case marks the first CFTC enforcement action charging a violation of Regulation 42.2, which requires registrants to comply with the Bank Secrecy Act (BSA).”

Read the Full Policy Alert

Finding this content useful?

DOLFIN is the premier portal for financial crimes and sanctions compliance. You can learn more here, or if you want to see it in action, schedule a demo or request a free trial.

Apply now for access to our extensive set of resources and keep you and your company informed on the latest regulations and sanctions and build your financial integrity.

Schedule a Demo Apply Now