Regulatory Alerts2013-07-01 | FinCEN Advisory – FIN-2013-A005Added
Update on the Continuing Illicit Finance Threat Emanating from North Korea (FinCEN Advisory – FIN-2013-A005)
FinCEN advises U.S. financial institutions to take commensurate risk-mitigation measures to diminish threats emanating from North Korea, reinforcing existing legal frameworks rather than creating new obligations. The advisory highlights deceptive practices such as currency counterfeiting and the use of front companies, urging enhanced vigilance regarding transactions involving DPRK diplomatic personnel, bulk cash transfers, and entities linked to nuclear or ballistic missile programs. Financial institutions are encouraged to apply enhanced due diligence and consider refusing transactions that cannot be clarified as non-prohibited, particularly those involving correspondent relationships with North Korean banks or incomplete payment information.