Fighting financial crime
Our ambition is to tackle some of today’s most damaging crimes by making the financial system a hostile environment for criminals and terrorists
The challenge
Why fighting financial crime matters
Access to the financial system helps transform lives around the world, helping to reduce poverty and spur economic development. But the financial system is also used by those involved in some of today’s most damaging crimes – from human trafficking to terrorism, corruption and the drug trade.
Our commitment
"Built on a global footprint, Standard Chartered has become a linchpin of growth in emerging markets, promoting financial inclusion and global trade. This puts us at the front line of fighting financial crime. Building and maintaining robust defences is a necessary part of being in business and, as a gatekeeper to the financial system, it's our responsibility to make sure we are playing our part."
Bill Winters, Group Chief Executive
Our commitment
"Built on a global footprint, Standard Chartered has become a linchpin of growth in emerging markets, promoting financial inclusion and global trade. This puts us at the front line of fighting financial crime. Building and maintaining robust defences is a necessary part of being in business and, as a gatekeeper to the financial system, it's our responsibility to make sure we are playing our part."
Bill Winters, Group Chief Executive
What is money laundering?
Money laundering enables illicit finances to be hidden within the legitimate financial system. It is estimated that criminal organisations generate USD5.8tn in proceeds every year, with as much as USD4.4tn available for laundering.
The three stages of money laundering
1 Placement criminal monies are put into the financial system
2 Layering the money is moved in the financial system to disguise its criminal origin
3 Integration the money is absorbed into the financial system, appearing legitimate
What is Fraud?
Fraud involves deliberate acts of deception with the intent to obtain a gain, cause a loss or expose others to the risk of loss.
Find out how these criminals operate. Join the fight against fraud.
Personal Account
Fraud can take place anytime, anywhere.
Do not be a victim.
Corporate Account
Companies are not free from being fraud targets. Do not be a victim.
Something to report
If you suspect you may have been defrauded, inform us right away.
What is human trafficking?
The trafficking and exploitation of human beings is a vast, complex, and highly profitable global business. According to the International Labour Organization (ILO) it generates illegal profits of $150 billion a year.
Human trafficking and the financial system
Criminals seek to exploit the financial system in order to move the proceeds of their illicit activity around the world. But whenever money moves through the financial system it leaves a trail. That's their Achilles’ heel and we're determined to do everything in our power to use it against them.
Human trafficking and the financial system
Criminals seek to exploit the financial system in order to move the proceeds of their illicit activity around the world. But whenever money moves through the financial system it leaves a trail. That's their Achilles’ heel and we're determined to do everything in our power to use it against them.
Disrupting modern slavery
Standard Chartered publishes an annual statement in line with the requirements of the UK’s Modern Slavery Act (2015), setting out the steps the Bank has taken in the last financial year to ensure that modern slavery is not taking place in our operations or our supply chain.
What is the illegal wildlife trade?
The illegal wildlife trade is not just a threat to biodiversity. it is a transnational organised crime with links to modern slavery, narcotics and the arms trade. It fuels corruption, impoverishes communities and inspires violence. Globally, the trade is the 4th most profitable criminal enterprise.
Partnering to tackle the trade
At Standard Chartered, we want to apply what we've learnt in tackling other forms of financial crime to take the fight to wildlife traders' doors. That’s why we’re working to raise the profile of this crime within the financial sector, strengthen the collective understanding of its financial footprint, and have played a central role in establishing a transnational coalition of partners with the Royal Foundation’s United for Wildlife Financial Taskforce.
Partnering to tackle the trade
At Standard Chartered, we want to apply what we've learnt in tackling other forms of financial crime to take the fight to wildlife traders' doors. That’s why we’re working to raise the profile of this crime within the financial sector, strengthen the collective understanding of its financial footprint, and have played a central role in establishing a transnational coalition of partners with the Royal Foundation’s United for Wildlife Financial Taskforce.
To fight the illegal wildlife trade, we must disrupt its business model
We can help prevent wildlife trafficking by targeting the heart of the industry: the money
Illegal wildlife trafficking: it will take a network to defeat the networks
Illegal wildlife traffickers rely on financial systems just like other profit-chasing criminals, which means we can trace their activities
What is terrorist financing?
Money underpins all terrorist activity. Without it, there can be no training, recruitment, facilitation or support for terrorist groups.
Some of the sources of terrorist financing
For large terrorist organisations:
Taxation and extortion (including of drugs)
Natural resources
Theft and tooling
Trafficking
Donations
For lone actors:
Private funds
Legitimate state subsidies/benefits
Support from like-minded individuals
Card or loan fraud
What is bribery and corruption?
When someone gives a benefit to someone else to influence that person’s relevant function or activity, that is a bribe. When someone takes improper advantage of their position to make a gain for themselves, they are acting corruptly.
Bribery and corruption are illegal, dishonest and extremely damaging to the markets and communities where they take place. Corrupt governments take away from communities instead of serving them.
A bribe can be anything of value
A bribe is not always a cash payment and can include improper gifts, entertainment, charitable and political contributions or offers of employment or internships. Offering anything of value as a means of influence can be considered a bribe.
How we fight bribery and corruption
Underpinned by the UK Bribery Act (UKBA) and US Foreign Corrupt Practices Act (US FCPA), there is a Code of Conduct, Group Anti-Bribery & Corruption (ABC) Policy and ABC Standards in place preventing our employees from accepting or receiving bribes in any form.
Our Group ABC Policy and Standards are developed in line with the minimum requirements of the UKBA and the US FCPA. In addition, employees must ensure that their actions do not create the perception of bribery or corruption. We also prohibit bribery by third parties that act on our behalf, with a Group ABC Compliance programme and adequate procedures in place aligned with industry and regulatory guidance to reduce the risk of corruption.
In addition, we encourage employees, and anyone else who has a concern about misconduct, to raise it through our Speaking Up programme.
Our commitment to fighting financial crime
Access to the financial system helps transform lives around the world. But the financial system is also the lifeblood of some of today’s most damaging crimes – from human trafficking to terrorism, the drug trade to corruption.
Built on a global footprint, Standard Chartered has become a linchpin of growth in emerging markets, promoting financial inclusion and global trade. This puts us at the front line of fighting financial crime. Building and maintaining robust defences is a necessary part of being in business and, as a gatekeeper to the financial system, it’s our responsibility to make sure we are playing our part.
We realise that, at times, our past efforts to prevent financial crime fell short. That’s why we have been working hard to respond right across the bank, and we are making significant progress. We’re on a continual journey, and it’s our commitment to become a leader in tackling financial crime.
We have learnt from our past and recognise there is no room for complacency. This means engaging our people and strengthening our culture so that each and every one of us sees fighting financial crime as a core part of the day job, wherever we sit in the bank. At the same time, our business must be backed up by robust compliance efforts that address the inherent risk of the people, companies and markets that we serve – applied consistently around the world.
To make the financial system a hostile environment for criminals and terrorists, our contribution has to go beyond our own business. We’re helping to raise industry standards, working hand-in-hand with our banking customers around the world. And in collaboration with governments, regulators and other global banks, we’re taking a lead on forging new models for combating financial crime.
As we implement our future strategy, upholding the highest standards of conduct is a priority for the bank. That’s how we’ll make a positive difference to how the financial system operates, and build our business competitively and sustainably over the long-term.
Our latest thinking
