In this episode, we're diving into the murky world of shipping and its challenges for banks. With little oversight and a global reach, the maritime industry presents complex problems for banks navigating regulatory compliance.

Our expert guests, Tom Cardamone and Michael Byrne, CEOs of Global Financial Integrity and the Institute of International Banking Law & Practice, respectively, take us through the increasing pressures on banks to combat sanctions and combat financial crime compliance evasion. 

We explore the staggering statistic that 12.2% of active ships and vessels have unknown owners - and with 80% of all goods being imported by sea, the need for greater transparency in vessel ownership is more important than ever! Read the full report here.

But the shipping industry's complexity has caused anxiety among banks, who are struggling to keep up with the expertise and tools needed to navigate these challenges. Tom and Michael provide unique insights into the risks and solutions to help banks stay compliant and understand the importance of monitoring suspicious vessel behavior.

So grab a seat and get ready to uncover the secrets of the shipping industry and why it's causing such anxiety among banks. 

From this exciting episode, you'll learn: 

• The staggering statistic is that 12.2% of ships have unknown owners, and how this impacts overall compliance and regulatory challenges.

• Key policy recommendations from the report include vessel ownership as a risk assessment tool and establishing a beneficial ownership registry for vessels.

• The importance of a nuanced understanding of the maritime shipping industry and specific recommendations for banks and insurance companies.

• The challenges that small or medium-sized banks face in navigating the shipping industry and ways to increase their understanding.

• Future developments in shipping industry compliance trends and how financial institutions can prepare for them.

• The role of vessel group ownership information in assessing compliance risk and how government regulators and port security officials can require transparency.

• The need for banks and insurance companies to better identify commodities and trade corridors where transhipment and ship-to-ship transfers may occur.

• The consequences of failing to comply with recommendations and guidelines issued by OFAC and OFSI.

Tune in and enjoy!

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