Financial Crime Bulletin
July 2026
From the WNS RegDesk
The month demonstrated a clear global shift from policy development to active enforcement and operational implementation. Regulators are increasingly focused on lawbreaking compliance failures, cross-border supervisory coordination, sanctions effectiveness, fraud prevention, and emerging risks in digital assets and payment ecosystems.
Financial institutions should expect greater scrutiny of AML controls, customer due diligence, sanctions compliance, information-sharing practices, and fraud detection frameworks as authorities continue to pursue a more coordinated and outcomes-focused approach to combating financial crimes.
Brief on Global Enforcement Actions
A snapshot of fines and penalties for AML/CTF failures worldwide, underscoring the need for vigilant and focused compliance.
FinCEN - Assesses Historic $125 Million Penalty Against UBS Financial Services Inc. for Recidivist BSA Violations
FinCEN has assessed a record $125 million penalty against UBS Financial Services Inc. for repeated, willful violations of the Bank Secrecy Act between 2019 and 2023, including failures to monitor over $10 billion in foreign transactions. As a recidivist offender, the firm must now overhaul its anti-money laundering (AML) protocols and engage an independent consultant to review past transactions.
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US DOJ - Oregon Payment Processing Broker Sentenced for $14 Million Dollar Wire Fraud Scheme
An Oregon payment processing broker, Jeremy Todd Briley, was sentenced to three years in federal prison and ordered to forfeit $460,000 for his role in a $14 million wire fraud scheme. Between 2017 and 2023, Briley knowingly maintained banking access and manipulated return rates to conceal fraudulent transactions for sham companies that stole from victims' bank accounts.
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NYDFS - Secures $50 Million Penalty from Swedbank for Withholding Information from Investigators
Swedbank AB and its New York branch will pay a $50 million penalty to the New York State Department of Financial Services for intentionally withholding information regarding historical anti-money laundering (AML) control deficiencies. The investigation revealed the bank masked compliance failures related to high-risk Baltic subsidiary accounts linked to the 2016 Panama Papers leak.
Read MoreJurisdictional Shifts You Can’t Ignore
Key regulatory updates specific to jurisdictions that are important for you to know.
EU - Adopts 21st sanctions package against Russia
The EU introduced its 21st package of restrictive measures against Russia, listing 218 individuals and entities, expanding restrictions on banks, crypto service providers, vessels linked to the “shadow fleet,” and military-industrial actors supporting Russia's war effort.
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PSR - Fraud victims get £243 million back as PSR marks a year of progress
The PSR reported that reimbursement measures for authorized push payment (APP) fraud have returned £243 million to victims and improved outcomes for consumers.
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CBUAE - Mansour bin Zayed Inaugurates “Jaywan”, the UAE’s First National Card Scheme
The UAE officially launched "Jaywan", the country's first national card payment scheme. The initiative aims to strengthen national payment infrastructure, support financial inclusion, promote digital payments, and enhance the UAE's sovereignty over financial services infrastructure. Banks and licensed financial institutions began issuing Jaywan cards nationwide.
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FinCEN - Issues Alert on Fraud Schemes Targeting Federal Student Aid
FinCEN warned financial institutions about fraud rings exploiting federal student aid programs and provided indicators for detecting and reporting suspicious activity.
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FinCEN - Issues Supplemental Alert on Fuel Smuggling and Tax Evasion Schemes on the Southern Border Associated with Mexico-Based Cartels
FinCEN has issued a supplemental alert directing financial institutions to detect, report, and monitor for red-flag indicators of fuel smuggling and tax evasion schemes operated by Mexico-based cartels. The illicit operations involve using shell companies, fake invoices, and complicit U.S. freight firms to transport fuel across the southern border, serving as a significant trade-based money laundering mechanism. Read the official guidance at U.S. Department of the Treasury.
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SEC - Forms New Retail Fraud Working Group
The U.S. Securities and Exchange Commission has launched a new Retail Fraud Working Group to combat scams targeting individual investors. This specialized unit utilizes data analytics to identify market manipulation, advisor misconduct, and pump-and-dump schemes.
Read MoreMarket Announcements
Key developments across global financial crime regulation and supervision.
AMLA - Introduces a common EU approach to enforcing AML rules
AMLA published standards intended to harmonize enforcement of AML/CFT breaches across EU supervisors, ensuring more consistent treatment of similar violations across member states.
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AMLA - Consults on harmonised risk assessments in the non-financial sector
AMLA launched a consultation on draft rules that would establish a common methodology for assessing money laundering and terrorist financing risks in non-financial sectors across the EU.
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AMLA - Finalises standards for supervisory cooperation in direct supervision
AMLA issued rules governing how it will cooperate with national supervisors when selecting and directly supervising significant cross-border financial institutions from 2028 onwards.
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AMLA and EDPB to develop Joint Guidelines on information sharing
AMLA and the European Data Protection Board announced work on joint guidelines to enable information sharing for AML/CFT purposes while ensuring data protection safeguards.
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US Treasury - Announces Second Round of Sanctions Removals, Updates in Modernization Initiative
OFAC continued its sanctions list modernization initiative by removing duplicate entries and updating sanctions lists to improve accuracy while maintaining applicable sanctions restrictions.
Read MoreRegulatory News
Recent regulatory updates shaping financial crime compliance across global jurisdictions.
FATF - Urges action to respond to emerging risks from Decentralised Finance (DeFi)
The FATF reports that criminal syndicates are increasingly exploiting decentralized finance (DeFi) protocols, with 93% of surveyed jurisdictions failing to enforce standards on these arrangements. To counter this, the FATF is mandating a "substance-over-form" approach, classifying platforms with identifiable administrative or governance control as Virtual Asset Service Providers (VASPs). Member nations are urged to immediately tighten regulatory oversight and close enforcement gaps to combat this surge in financial crime.
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FATF - Calls for closing of regulatory gaps as virtual asset illicit finance risks become more complex
The FATF's seventh targeted update warns that organized crime is exploiting global regulatory gaps in the virtual asset sector, with many jurisdictions failing to enforce critical Travel Rule legislation. Emerging risks include AI-driven fraud, complex cyber-theft, and illicit stablecoin manipulation, prompting a call for urgent action. To combat these threats, the global watchdog demands that nations move beyond legislation to active supervision and strict enforcement of virtual asset service providers (VASPs)
Read MoreThe Double-edged Sword of Technology
Emerging technologies and trends that both strengthen defenses against financial crime and introduce new vulnerabilities.
NYDFS - Builds on Nation-Leading Stablecoin Framework in New Proposed Regulation
New York State Department of Financial Services (NYDFS) has proposed a new stablecoin regulation aligned with the federal GENIUS Act, strengthening requirements for AML/CFT, sanctions compliance, governance, reserve management, consumer protection, and regulatory oversight of payment stablecoin issuers. The proposal also enhances cybersecurity, operational resilience, and transparency standards, reinforcing New York's position as a leading regulatory framework for digital assets and blockchain-based payment systems.
Read MoreExpert Perspectives
Valuable, domain-backed perspectives on the latest trends, challenges and strategies of navigating the world of financial crimes by WNS Experts
AI-powered Tools for Smarter Compliance
Purpose-built WNS solutions, powered by AI and human Genuity, that drive real impact towards the battle against financial crime.
