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Commonwealth Bank : "53,000" breaches of money laundering requirements.

BIScom Subsection: 
Editorial Staff

This is such a massive topic that we can, today, do little more than make a placeholder article. How, one has to ask, does anyone "miss" tens of thousands of errors? We think it's probably not too difficult and banks, etc. should take note.

The story is simple: like many banks, Commonwealth has introduced deposit machines, like reverse ATMs, that accept cash, cheques and card payments. Australia has a population of somewhere just under 30 million, depending on how its counted, plus an unknown number of businesses. Commonwealth has about 780,000 accounts.

Criminals used the deposit machines to credit accounts and just under 54,000 transactions have been identified by AUSTRAC, Australia's FIU,

We're waiting for more information but we've already got a pretty good idea of what's gone wrong.

This is automated banking and almost nothing happens "under eye."

We think, when more information is made available, that we will hear that the monitoring software was not properly coded and that the bank abrogated its responsibility in favour of a tech-only "solution."

It is already known that there was data available that indicated suspicion but it was not properly analysed and/or acted upon.