Is Your Firm Ready for a SRA Anti-Money-Laundering Audit?

The SRA have recently warned that it will be writing to a “large number” (400) of firms in the coming weeks requiring evidence of compliance with the 2017 Money-Laundering Regulations.

The likelihood is that firms with a focus on conveyancing will be targeted.

The regulator confirmed that in the last five years, sixty cases linked to potential improper money movements have been referred to the Solicitors Disciplinary Tribunal. The stark warning is “Those who do not treat the Regulations seriously should expect similar treatment.”

Law firms making proper and full use of COMPLETIONmonitor’s AML Search and associated bespoke risk alerts have little to fear from an audit.

Delivering comprehensive reporting and dashboard functionality, COMPLETIONmonitor enables MLROs and authorised officers to quickly assess the overall effectiveness of the AML policies. The filtering functionality provides a firm with tools to identify, red-flag or block suspicious fraudulent and money laundering activity. Firms can configure and selectively apply scenarios to different client categories. The technology enables the firm to filter alerts based on various parameters, view certain background information on each client, delegate analysis and supervise alert resolution. Alerts can be configured on the basis of clients, counter-parties, regions, employees and departments.

For law firms with more than two or three staff and more than a handful of clients, it is extremely difficult, if not impossible, to satisfy the 2017 regulations and monitor compliance solely using paper-based records.

Lawyers can certainly not afford to be complacent – the conveyancing industry is a primary target and firms must be vigilant and prepared to demonstrate compliance or face serious consequences.

Property law solicitors who have not yet done so need to get their houses in order as soon as possible.

Lexsure offer COMPLETIONmonitor firms a free consultation twice a year on the various optional facilities within the software to assist in combating fraud and money laundering.

COMPLETIONmonitor firms can book a free online demonstration or training on the AML features here .

Kindly shared by Simon Seaton – non-practising solicitor