UK bank Lloyds TSB has spent six months implementing a bank-wide anti-money laundering (AML) system from IBM and Searchspace.
The Searchspace AML system monitors and analyses every transaction that flows through an organisation. Leveraging advanced artificial intelligence, the AML solution analyses transactions to determine those which merit attention from the compliance staff.
The system detects customer behaviour that represents risk by using a process known as adaptive profiling. The software compares each transaction to a customer's respective account history as well as against a representational peer group. This automated approach helps mitigate risk and provides the most thorough means to stop money laundering.
Nick Cane, IBM managing director for Lloyds TSB Group says: "In implementing this system, Lloyds TSB is leading an industry move towards intelligent AML systems that provide dynamic monitoring thereby enabling accurate AML risk management. The growing pressure of regulation in the US and EU will force others to follow suit."
IBM was responsible to Lloyds TSB for the implementation of the Searchspace solution, which has been pre-optimised for the IBM platform.
Ron Whatford, director of group operations at Lloyds TSB says: "We were impressed with both the rapid implementation of the system and the comprehensive AML capabilities that the IBM/Searchspace system has given us."