Anti Money Laundering News (30 Mar – 05 Apr 2026)
Welcome to this week’s edition of the Global AML News Weekly Digest. Here are the top stories making headlines around the world:
- Anti-fraud framework draft approved for crypto (Taipei Times)
The article reports that Taiwan’s Executive Yuan has approved a draft Virtual Asset Service Act, marking a major step toward regulating the rapidly growing cryptocurrency sector. The proposed framework introduces strict criminal penalties to curb fraud and unlicensed activity. Notably, issuing stablecoins without a license could result in up to seven years in prison and fines of NT$100 million, while more serious offenses such as fraud, concealment, or price manipulation could lead to 3–10 years imprisonment and fines up to NT$200 million.
The regulation will be implemented in four phases, reflecting a gradual approach to oversight while still encouraging financial innovation. Authorities aim to align Taiwan’s crypto regulation with global AML (anti-money laundering) standards, bringing Virtual Asset Service Providers (VASPs) under tighter supervision.
Key provisions include mandatory registration, internal control systems, customer asset segregation, and strict governance standards. The framework also allows financial institutions to participate in crypto services under regulatory approval. Overall, the law seeks to balance innovation with investor protection and financial stability.
- Italy fines Revolut €11.5m (Finextra)
The article reports that Italy’s competition authority (AGCM) has imposed a €11.5 million fine on fintech giant Revolut for engaging in misleading and unfair commercial practices, particularly related to its investment and banking services.
A major part of the penalty—€5 million—targets Revolut’s failure to clearly disclose additional costs and limitations associated with its “commission-free” investment offerings. Regulators found that customers were not adequately informed about hidden fees or restrictions, raising concerns about transparency and consumer protection.
Another €5 million fine was imposed for aggressive handling of account restrictions, including suspension or blocking of accounts without properly communicating the terms, procedures, or customer rights. This reflects broader regulatory scrutiny on fintech firms’ operational practices and customer treatment.
An additional €1.5 million penalty relates to insufficient clarity regarding the process of obtaining an Italian IBAN instead of a Lithuanian one, highlighting compliance gaps in cross-border banking operations.
Revolut has rejected the findings and plans to appeal, maintaining that its communications are transparent and customer protection remains a priority.
- Japan to step up fight against scam-related money laundering (Japan Times)
The article highlights Japan’s latest move to strengthen its anti-money laundering (AML) regime, as the Cabinet approved amendments to the Act on Prevention of Transfer of Criminal Proceeds to combat rising scam-related financial crimes. The reforms specifically target fraud networks that rely on illegally traded or rented bank accounts to move illicit funds.
A key provision introduces stricter penalties for buying or selling bank accounts, with offenders facing up to three years in prison or fines of ¥5 million, and harsher punishment for repeat offenders. The law also criminalizes “remittance side jobs,” where individuals knowingly transfer illicit funds on behalf of fraud rings—closing a major loophole exploited via social media recruitment.
Notably, the amendments empower law enforcement to use undercover or fictitious bank accounts to trace money flows and recover stolen funds more effectively. This reflects a shift toward proactive and intelligence-led policing in financial crime investigations.
The reforms come amid a surge in organized scam activity, particularly by loosely structured criminal groups (“tokuryu”), and aim to align Japan’s AML framework with evolving fraud typologies and global compliance expectations.
- US Treasury proposes whistleblower rewards of up to 30% of fines (AML Intelligence)
The article reports that the U.S. Treasury, through its Financial Crimes Enforcement Network (FinCEN), has proposed a new rule to significantly strengthen its whistleblower program, offering financial incentives of 10% to 30% of penalties collected from successful enforcement actions.
This initiative is designed to encourage individuals to report financial crimes, including violations related to anti-money laundering (AML), sanctions breaches, and fraud under laws such as the Bank Secrecy Act. The program applies only where whistleblower tips lead to successful enforcement actions by the Treasury or the Department of Justice, ensuring that rewards are tied to actionable and credible intelligence.
The proposal outlines clear procedures for submitting tips, eligibility criteria for awards, and protections against retaliation, addressing concerns that often discourage insiders from coming forward.
Importantly, the rule aims to fully implement provisions introduced under the AML Act (2020) and subsequent whistleblower reforms, signalling a broader shift toward intelligence-led enforcement and public participation in financial crime detection.
Overall, the move is expected to increase reporting volumes, enhance enforcement efficiency, and strengthen the integrity of the U.S. financial system.
- ASB admits major AML failures as regulator seeks NZ$6.73m fine (NZ Herald)
The article highlights a significant enforcement action against New Zealand’s ASB Bank, which has admitted to serious breaches of anti-money laundering (AML) and counter-terrorism financing laws. The Reserve Bank of New Zealand (RBNZ) has initiated High Court proceedings, with both parties jointly recommending a penalty of NZ$6.73 million (often referenced as ~$673m in local currency formatting context).
The case stems from systemic compliance failures dating back to at least 2019, including the bank’s inability to maintain a fully compliant AML/CFT programme. Key deficiencies involved inadequate customer due diligence, delayed suspicious activity reporting, lack of enhanced due diligence, and failure to terminate high-risk relationships.
Crucially, the regulator emphasized that these shortcomings undermined law enforcement’s ability to detect financial crime, even though ASB itself was not accused of direct involvement in money laundering.
ASB has accepted responsibility and acknowledged operational shortcomings, with its CEO publicly apologizing and committing to improvements, including investments in technology and compliance systems.
Overall, the case underscores a broader regulatory message: AML compliance failures—even without proven criminal activity—can trigger substantial penalties and reputational damage, reinforcing global expectations for robust financial crime controls.
- CLARITY Act Title IV: The Expensive Compliance Infrastructure Digital Firms Must Build (Disruption Banking)
The article analyses Title IV of the U.S. Digital Asset Market Clarity (CLARITY) Act, emphasizing that crypto firms must rapidly build complex, institutional-grade compliance infrastructure to meet upcoming regulatory requirements. The legislation introduces mandatory registration with the Commodity Futures Trading Commission (CFTC) for digital commodity exchanges, brokers, and dealers, fundamentally reshaping how the industry operates.
A key takeaway is that “provisional registration” is not a grace period—firms must immediately comply with obligations such as customer asset protection, recordkeeping, and regulatory access.
The article highlights custody requirements (Section 402) as a major operational burden. Firms must use qualified digital asset custodians, enforce strict asset segregation, and deploy advanced systems like multi-signature controls, real-time monitoring, and audit-ready frameworks—raising costs significantly.
Additionally, the Act brings crypto firms under the Bank Secrecy Act, mandating full AML/CFT programs, suspicious activity monitoring, and customer identification processes—aligning them with traditional financial institutions.
Overall, the piece argues that compliance is no longer optional or lightweight—digital asset firms must invest heavily in “financial plumbing” now or risk being locked out of the regulated market.
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