Compliance and corporate anti-money laundering regulation

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Abstract

This paper, having traced the evolution of anti-money laundering legislation, defines and frames money laundering and terrorism financing risk inside corporate dynamics. Principles that must inspire corporate actions on the construction of an adequate managing structure to contain risks are set out, considering the fact that there is no risk that this does not have an economical content. This is even truer in the presented case, given that the Italian legislation to counter money laundering is focused on the innovative and modern risk-based approach, which has to guide the organization and functioning of corporations. Possible configuration of corporate anti-money laundering supervisions is therefore analyzed, with the aim of underlining the present connection between anti-money laundering legislation and rules referring to the government and to the internal control system. The present study originates from the interpretation of the new Italian anti-money laundering law. In particular, the first consideration that derives is that the new law does not impose precise obligations in terms of corporate anti-money laundering structure, but a large area of autonomy is left to the will of each company.

Keywords: Compliance, Anti-Money Laundering, Corporate Governance, Business Regulation, Company Law

JEL Classification: G30, K20, K40, M48

Received: 22.02.2018

Accepted: 02.04.2018

Published online: 17.04.2018

How to cite this paper: Pavone, P., & Parisi, F. (2018). Compliance and corporate anti-money laundering regulation. Journal of Governance & Regulation, 7(2), 7-14. https://doi.org/10.22495/jgr_v7_i2_p1