Can AI stop Money Laundering in the EU?
Musikhögskolan Örebro universitet
Second Annual FIRE Conference December 6th 2023, Lecture Hall M, Örebro University
Disruptive technologies including artificial intelligence (AI) and blockchain have helped to improve industrial and managerial challenges in private, public and not-for-profit organizations around the world. However, legal, political and cognitive barriers, to name only a few, still prevail in many countries. Although the European Union and the USA have taken systematic measures to combat money laundering activities in their territories, we still know very little about the role of AI in this struggle. This workshop aims to highlight key issues and efforts to find solutions about them.
The FIRE consortium is an international research consortium focused on digitalisation of information of financial significance. Researchers in the consortium have in common that they are interested in different aspects of digitalisation of information in the areas of business & administration, computer science, legal science and psychology.
Keynote Speakers and abstracts:
Ms Lena Leffer: Automated Suspicion and AI-based Anti-Money-Laundering
Abstract:
The presentation will introduce the German-government-funded, multidisciplinary research project “MaLeFiz”, aimed at the development of an Anti-Money-Laundering AI.A particular focus will be on the question if an AI generated money laundering alert at the level of the financial industry is sufficient to justify probable cause at the level of law enforcement and trigger a criminal investigation thereby “automating suspicion” and outsourcing a core governmental task to private parties.
Professor Birgit Snijder-Kuipers: How to navigate the AML landscape.
Abstract:
The role of Artificial Intelligence in the context of conducting client due diligence. The similarities and differences between international, European, national and upcoming European legislation will be discussed.
Mr. Thomas Stern: Crisis management & Artificial Intelligence: The challenge of AML in defaulting banks
Abstract:
In a financial crisis situation, client behavior is difficult to predict and especially challenging for liquidity risk management. Stress horizons may also influence transactions relevant for the monitoring and combat of money laundering. Supervisors question whether AI may support their procedures particularly to detect false positives. The presentation focuses on the case of defaulting banks, linkages to resolution and deposit insurance and which role AI may play to combat money laundering in crisis times.
Dr. Camillo Werdich: Know Your Customer in the digital Age
Abstract:
Sinpex will present how LLMs and Natural Language Processing impacts KYC processes. The presentation will highlight the effect on risk, costs, and customer satisfaction.