The Danish Financial Supervisory Authority has published a new note setting out measures it considers good practice for internal controls and the screening of employees in financial firms, aimed at reducing the risk that criminals infiltrate institutions and misuse staff to conceal criminal activity, including money laundering and terrorist financing. The note draws on responses from selected financial firms to an information request conducted in autumn 2024, as well as supervisory inspection experience and international observations. It covers screening at hiring and ongoing updates, handling of exposed employees, controls during customer onboarding, identification of unusual employee behaviour, heightened attention when processing alerts, and steps to take where there is suspicion of abuse of position. The authority stresses that the note should not be treated as specific legal guidance or as introducing new requirements.
Danish Finanstilsynet 2025-06-23
Danish Financial Supervisory Authority issues good practice note on employee screening and internal controls to mitigate money laundering risks
The Danish Financial Supervisory Authority issued a note on best practices for internal controls and employee screening in financial firms to mitigate risks like money laundering and terrorist financing. Based on firm responses and supervisory insights, it covers hiring practices, ongoing monitoring, and handling suspicious employee behavior. The note is not legal guidance and introduces no new requirements.