Training Objectives

By the end of the programme, participants will be able to: 

• Understand global AML frameworks, including FATF guidelines and EU AML Directives, and their application in financial reporting.
• Recognize red flags in financial statements that may indicate financial reporting anomalies or potential money laundering activities.
• Apply forensic accounting techniques and advanced financial analysis tools, such as Benford’s Law, ratio analysis, and predictive analytics, to detect irregularities.
• Comprehend the role of technology, including data analytics and AI, in enhancing AML detection and risk assessment.
• Design and implement a compliant financial reporting framework with robust internal controls to mitigate AML risks.
• Conduct detailed risk assessments and identify key intersections between AML compliance and corporate governance structures.
• Develop and present actionable strategies to strengthen AML compliance, prioritizing transparency, ethical practices, and proactive risk management.
• Foster cross-functional collaboration between finance, compliance, and governance teams to combat money laundering effectively.
• Embrace continuous learning to stay updated on evolving AML regulations, financial crime trends, and technological advancements

Training Outline

Introduction to AML and Financial Reporting

• Overview of money laundering and its impact on financial systems.
• The role of AML regulations in financial reporting: Global frameworks (FATF, EU AML Directives).
• Responsibilities of finance professionals in AML compliance and governance.

The Role of Corporate Governance in AML Compliance

• AML integration into corporate governance structures.
• Board and executive responsibilities in managing AML risks.
• Corporate governance frameworks to strengthen AML oversight.

Identifying Red Flags in Financial Statements

• Common red flags in financial reporting:

-Revenue manipulation (early or late recognition).

– Unusual expense or capital expenditure patterns.

-Unexplained cash flow anomalies or uncharacteristic liquidity changes.

• Advanced techniques to detect anomalies:

-Ratio analysis for AML risk indicators.

-Trend analysis to spot irregular financial movements.

-Comparing operational metrics with industry benchmarks.

Advanced Financial Analysis Techniques for AML Detection

• Data-driven approaches to anomaly detection:

-Using Benford’s Law to identify manipulated financial figures.

-Regression and variance analysis for mismatch detection.

• Predictive analytics in financial analysis:

-Modelling patterns indicative of potential laundering activities.

• Stress-testing financial statements for resilience against fraudulent activities.

Leveraging Forensic Accounting for AML

• Applying forensic accounting methods to uncover financial irregularities.
• Case-based red flag identification: Real-world scenarios.
• Transaction pattern analysis to detect repetitive small-scale transfers or suspicious round-number amounts.

Technology and Tools for AML Detection in Financial Reporting

• Overview of data analytics tools for AML-focused financial analysis (e.g., IDEA, ACL, Power BI).
• The role of artificial intelligence and machine learning in detecting suspicious activities.
• Blockchain technology for transparent and tamper-proof reporting.

Designing an AML-Compliant Financial Reporting Framework

• Structuring internal controls to minimize AML risks in financial reporting.
• Establishing disclosure policies aligned with AML regulatory requirements.
• Automating AML compliance checks within financial reporting workflows.

Collaborative Strategies for AML Compliance

• Building cross-functional teams (finance, compliance, and IT) for AML risk management.
• Enhancing communication and coordination among governance and operational units.
• Developing a culture of AML awareness within organizations.

Future Trends and Challenges in AML and Financial Reporting

• Emerging threats: Cyber laundering, cryptocurrency risks, and new methods of financial crime.
• Anticipating regulatory developments in AML compliance and reporting standards.
• The role of ESG principles in aligning AML strategies with sustainable governance practices.

Questions & Answers

Who Should Attend

• Senior finance professionals, accountants, and auditors.
• Compliance officers and AML specialists.
• Corporate governance professionals and board members.
• Risk managers and forensic accountants.

Training Style

• Illustration of key terms and concepts
• Preparation and discussion of practical examples, including mini cases
• The course will have both a theoretical and practical framework with real examples drawn from actual companies, local and international
• Activities and Break-out groups

CPD Recognition

This programme may be approved for up to 7 CPD units in Accounting and Auditing. Eligibility criteria and CPD Units are verified directly by your association, regulator or other bodies which you hold membership. This training course may be approved as an external activity under the new ACAMS recertification category ”non-ACAMS credits” for up to 7 CPD units. Eligibility criteria and CPD Units are verified directly by the Association of Anti-Money Laundering Specialists (ACAMS). To read more about the non-ACAMS credits policies and eligibility criteria please click here

In-house Training

For groups within the same organisation, this course may be customized to meet any specific needs and delivered in-house.