KoFIU Announces Measures to Strengthen Responsibility and Professional Capacity in AML Duties

The Korea Financial Intelligence Unit (KoFIU) has presented its plans to improve the AML responsibilities in financial institutions among professionals.
The proposed measures ensure that AML officers‘ duties are transparent, performed effectively and responsibly. KoFIU proposes that the AML officers‘ employees‘ activities should be overseen. Additionally, the reporting officers‘ duties should be reviewed so that the responsibility is clearer and narrower – in that way they can be focused on their area of duty more.
Another point mentioned by KoFIU is related to appointing an experienced AML employee to oversee the AML activities (this person should be independent of the AML Team in the firm). As a result of a shortage of AML specialists on the market, this requirement will only be imposed on institutions that legally have a requirement to perform AML duties according to the Act on Corporate Governance of Financial Companies.
The rules will be announced in the second half of 2023 and will be applicable in the first half of 2024. A transition period of 2.5 years from the day of announcement will be tolerated.