A Study Of The Problems And Countermeasures In Anti-Money Launderingof Commercial Banks In China

With the spread of international money laundering crimes, the global financial industry is facing unprecedented money laundering risk. As the main channel of capital storage and circulation, the commercial bank plays a vital role in the whole money-laundering system. The anti-money laundering work started relatively late in the commercial banks in China. Although some achievements have been made in the construction of anti-money laundering regime, institutional settings and case investigation, there is still a big gap between domestic and the international advanced banks.Due to the unclear objectives and some other reasons, poor effectiveness in anti-money laundering supervision and administration started to be gradually exposed. The anti-money laundering of China’s commercial banks not only failed to curb the crime of money laundering, but also has become a "white elephant". In view of the current problems, the People’s Bank of China put forward the implementation plan of "risk-based" in anti-money laundering work in2012. In the face of work adjustment, how to adjust the focus and implement the "risk-based" measures has become an important part the management of the China’s commercial banks need to study.This paper focuses on the concepts and specific measures of domestic and international anti-money laundering, pointing out the main problems and reasons in the current anti-money laundering system in China. It also explains the necessity to promote the "risk-based" ethic and puts forward the suggestions to implement "risk-based "plan. First, this paper introduces the basic concepts and the main features of money laundering. Secondly, it elaborates the main problems existed in the internal control mechanisms of China’s commercial banks by analyzing the specific methods used by domestic and international commercial banks. Finally, on the basis of cost-benefit analysis as well as reason analysis, this paper attempts to propose some effective measures and strategies to deal with the anti-money laundering issues by implementing the "risk-based" plan in order to promote anti-money laundering work in China’s commercial banks.