Financial Crime World

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Spain’s Banking Sector Tightens Grip on Financial Crime Compliance

Madrid, Spain - In a bid to stay ahead of evolving financial crime risks, Spain’s banking sector is ramping up its efforts to prevent money laundering and terrorist financing.

Banco Santander Takes Lead on Financial Crime Compliance

Banco Santander, one of the country’s largest lenders, has committed to working closely with international regulators to prevent financial crimes. The bank’s Financial Crime Compliance Programme aims to identify and mitigate potential risks associated with:

  • Money laundering
  • Terrorist financing
  • Sanctions breaches
  • Bribery
  • Corruption
  • Tax evasion
  • External fraud

According to Carolina Garces Monterrubio, Global Head of Financial Crime Compliance at Santander, the programme is designed to be proactive in identifying new types of financial crime risk and challenges. “Our approach goes beyond traditional understandings of financial crime, recognizing that behind every environmental crime there is a financial network,” she said.

Comprehensive Compliance Framework

The bank’s compliance framework has been developed with the aim of establishing clear principles for preventing financial crimes, defining roles and responsibilities, and identifying key processes to be embedded within the organisation. The full framework is available on the Santander website.

Membership in Wolfsberg Group

Santander’s commitment to financial crime compliance is reflected in its membership of the Wolfsberg Group, an association of global banks that aims to develop frameworks and guidance for managing financial crime risks.

Policies and Procedures

The bank has also developed policies focused specifically on financial crime compliance, including:

  • Core Group Policy for Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT)
  • Sanctions and Financial Countermeasures
  • Anti-Bribery and Corruption These policies are supported by procedures, protocols, manuals, and guides to help subsidiaries embed the bank’s control framework within their local operations.

Integrated Compliance Function

The Financial Crime Compliance Function is integrated within the greater function of Compliance and Conduct, which sits in the Risk Division. This ensures that financial crime compliance risks are identified and addressed in a holistic manner, taking into account emerging trends and challenges.

Strategic Transformation Programme

To address legacy compliance challenges, Santander has launched a Financial Crime Compliance Strategic Transformation Programme, which is focused on four key areas:

  • A global control framework and robust approach to governance
  • Effective name and payment screening to support international sanctions programmes aimed at defending human rights and civil liberties, and deterring corruption and armed conflict
  • Sustainable, dynamic approaches to customer due diligence
  • Next-generation transaction monitoring to improve the bank’s ability to provide valuable leads to law enforcement on suspicious activity

The programme is seen as a critical component of Santander’s commitment to financial crime compliance, with the Board of Directors and senior management reinforcing its importance in addressing legacy challenges while preparing the bank for future risks.