GRC Report Staff

One line in the Malta Financial Services Authority's latest AI guidance says more than the rest of the document put together. The regulator reminds firms that artificial intelligence does not change the objectives of financial regulation. The statement appears almost in passing, but it captures a problem regulators across Europe are beginning to see. AI is arriving inside financial institutions wrapped in promises of efficiency, automation and better decision-making. What it has not brought with it is any exemption from accountability.

Artificial intelligence is rapidly changing the cybersecurity equation for financial institutions, and France’s securities regulator wants firms to move faster in adapting their defenses. The French regulator, the Autorité des marchés financiers (AMF), said Thursday that strengthening cyber resilience remains a strategic priority as advances in artificial intelligence create new opportunities for both defenders and attackers.

Federal prosecutors announced that Matrix Medical Network, HealthFair, and HealthFair founder Shahriah “James” Ekbatani have agreed to pay a combined $56.5 million to resolve allegations that unsupported and invalid diagnoses were used to increase payments from the Medicare Advantage program. Matrix will pay $36.5 million, while HealthFair and Ekbatani agreed to pay $5 million and $15 million respectively.

The Swiss Financial Market Supervisory Authority (FINMA) has published supplementary guidance on money laundering risk analysis, acknowledging improvements across the financial sector while warning that significant weaknesses remain in how some institutions assess and manage financial crime risk.

The Federal Deposit Insurance Corporation, Federal Reserve Board, and Office of the Comptroller of the Currency announced Tuesday that they have updated additional interagency documents to eliminate references to reputation risk, continuing a broader effort to strip the concept from federal bank supervision.

The Basel Committee latest report examines how banks and regulators are managing the technology failures that happen without malicious intent yet can still disrupt critical services, lock customers out of accounts, interrupt payments, or leave institutions scrambling to restore operations.

According to Ofgem, OVO Energy had policies designed to identify and protect vulnerable customers using prepayment meters. The problem was what happened after those policies were written. In case after case examined by the regulator, key checks were missed, customer interactions were not properly recorded, and safeguards intended to protect vulnerable households were not consistently carried out.