Compliance & Ethics

The Financial Supervisory Authority (FIN-FSA) has just unveiled its latest risk assessment concerning money laundering and terrorist financing (ML/TF) in the life insurance sector. The report provides an in-depth look at how life insurance companies are handling these threats and where they still have room to improve. If you're in the financial services or compliance world, you’ll want to pay attention to this, especially since the sector’s risk level remains “moderately significant” on a scale of 1 to 4.

The Financial Reporting Council (FRC) has imposed sanctions on KPMG LLP and audit engagement partner Nick Plumb following an investigation into their Statutory Audit of Carr’s Group plc’s financial statements for the fiscal year ending 28 August 2021 (FY21). The investigation, which focused on breaches of independence requirements, has resulted in both financial and non-financial sanctions.

In a high-stakes legal battle, a Texas firm once thriving in the cattle industry now finds itself on the hook for defrauding its customers. Agridime LLC, which is currently in receivership, has been ordered by the U.S. District Court for the Northern District of Texas to pay nearly $103 million in restitution to customers who were duped by its fraudulent activities. This ruling follows a lawsuit filed by the Commodity Futures Trading Commission (CFTC) over what amounted to a Ponzi scheme disguised as a legitimate cattle investment venture.

Unicat Catalyst Technologies, a Texas-based company specializing in catalytic products for the petrochemical and steel industries, has reached a settlement with the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), agreeing to pay $3.88 million.

Paddle.com, a U.K.-based payment processor, has agreed to pay $5 million to settle allegations from the Federal Trade Commission (FTC). The charges center around Paddle’s involvement in enabling deceptive tech-support schemes that preyed on U.S. consumers, particularly older adults.

At the 2025 SIFMA Anti-Money Laundering and Financial Crimes Conference in Washington, D.C., Matthew R. Galeotti, the head of the U.S. Department of Justice’s Criminal Division, unveiled significant changes to the Department’s approach to white-collar crime enforcement. In his speech, Galeotti underscored a shift towards increased transparency and fairness for businesses, with an emphasis on self-reporting and cooperation in exchange for more predictable outcomes in investigations and penalties.

The Federal Financial Supervisory Authority (BaFin) has imposed a €600,000 fine on Innovestica Holdings Inc. The company found itself on the wrong side of Germany’s Securities Trading Act (WpHG) after failing to submit necessary voting rights notifications within the required time frame.