Asian Banking and Finance: BNM fines BPMB and HSBC Malaysia MYR 493,500 for major AML/CFT lapses, citing persistent gaps in CDD and sanctions screening

The penalties highlight persistent deficiencies in key compliance areas, including CDD and sanctions screening. BPMB was specifically penalized for failing to properly screen existing customers for risk and for inadequate adherence to the Development Financial Institutions Act of 2002, which mandates banks to verify customer identities and assess their exposure to money laundering and terrorism financing risks…