Geumjeongwon "Will Expand Direct Inspections of Casinos and Virtual Asset Operators"

"Suspicious Transaction Reports Increase 18-Fold... Will Strengthen Internal Inspection and Supervisory Personnel"

[Asia Economy Reporter Wondara] The Financial Intelligence Unit (FIU) under the Financial Services Commission is strengthening its anti-money laundering monitoring functions for casinos and virtual asset operators.

On the 21st, the FIU announced in its "Plan to Strengthen Anti-Money Laundering Capabilities and Key Tasks for 2021" that it will "expand the proportion of specialized inspections by inspection agencies, which currently stands at about 1%," and "enhance the FIU's direct inspection capabilities for casinos and virtual asset operators." Specialized inspections refer to focused examinations solely on anti-money laundering, rather than comprehensive or concurrent inspections.

To this end, investigative capabilities will also be strengthened. The FIU stated, "The number of suspicious transaction reports (STRs) increased approximately 18-fold from 52,000 cases in 2007 to 926,000 cases in 2019, but the staff increased by only 3 to 69," adding, "We will strengthen the FIU's own inspection and supervision personnel and expand long-term employees." The next-generation FIU information system, scheduled for completion next month, will incorporate machine learning into computerized analysis to assess money laundering risk levels.

To help reporting institutions prepare in advance, specialized training on anti-money laundering systems will be expanded, and workshops will be held to listen to operational difficulties. A casebook of violations will be published, and for newly obligated reporting sectors such as electronic financial service providers, loan businesses, virtual asset operators, and online investment-linked finance (P2P) operators, business briefings and reporting will be conducted. Mitigation clauses considering the violator's ability to pay and the nature of the violation will also be introduced.

An FIU official said, "We will continuously improve laws and systems to respond to international standard revisions, mutual evaluation follow-ups, and other measures," adding, "We aim to contribute to the establishment of an advanced financial order."