Due to the disclosure of the Panama Papers with their almost twelve million confidential messages plenty of cases of financial crime became public. By the support of offshore service provider Mossack Fonseca even German companies committed a variety of crimes, e.g. tax fraud, money laundering, breaking of UN sanctions. More than 300,000 mailbox companies and trusts for fraudulent businesses were founded.
German Federal Agency for Financial Services Supervision uses its rights
As a reaction to the scandal the BaFin exercises its legal right to demand information and submission of data more strongly now. Investigations can be imposed in consultation with the Department of Justice. The companies concerned are obliged to cooperate. That is why it is important that financial service providers can always prove which other companies they work with and which transactions they are involved in. “Black sheep” among the customers have to be determined and eliminated. The solution SMARAGD PP2GO helps doing that.
SMARAGD PP2GO helps singling out the bad guys
The best opportunity for banks to be able to prove which companies they do business with, is a comparison of the customer database with the sources of the Panama Papers. The easiest way to do it is the customer database check SMARAGD PP2GO by Cellent Finance Solutions that uses the consolidated Offshore Leaks List. Around 600,000 entries are checked (entities, officers, intermediates) that are included in five lists of the Panama Papers. The check is also available as a mobile App “PEPe”. The system is already in use with many companies, currently checking six million customer records. At the end of the check a hit protocol is created that allows detailed conclusions on dubious customers.