Pub. 10 2020 Issue 4

14 www.azbankers.org Elizabeth K. Madlem, is the Vice President of Compliance Operations and Deputy General Counsel at Compliance Alliance. In the past, she served as both the Operations Compliance Man- ager and Enterprise Risk Manager for Washing- ton Federal Bank, a $16 billion dollar organiza- tion headquartered in Seattle, Washington. She has industry expertise and real-world solutions surround- ing bank-enterprise initiatives and knowledge of contract law and bank regulatory compliance. An attorney since 2010, Elizabeth was a Summa Cum Laude, Phi Beta Kappa, Delta Epsilon Sigma graduate of Saint Michael’s College in Burling- ton, Vermont, and a Juris Doctor from Valparaiso University School of Law in Indiana. As the Vice President of Compliance Operations, Elizabeth will be overseeing C/A’s day-to-day operations of the hotline, as well as leading our education initiatives. Elizabeth plays an import- ant part in all operational areas of C/A. approach to BSA compliance. It has supported flexibilities as promulgat - ed by FinCEN and other agencies. While regulators have high - lighted the difficulties, realized or otherwise, little reassurance or solutions have been offered by financial institutions. For this reason, financial institutions need to consider, evaluate and determine what a risk-based approach means for their institution. Criminals are luring targeted, vulnerable individuals and companies with an even stronger virtual presence. These attempts aim to undermine the bank’s due diligence and “know your cus - tomer” processes within a remote environment. It is imperative that financial institutions review FinCEN and other Agencies’ releases on advisories highlighting common typologies used in fraud, theft and money laundering activities related to the pandemic. The significant increase in online and digital transactions coupled with cyberattacks and related fraud will continue to impact remote platforms and processes. Understanding the new and expanding definition of fraud risk will force financial institutions to remain diligent with BSA/ AML controls and procedures related to the pandemic. w The COVID-19 pandemic has introduced or increased emphasis on a risk-based approach to BSA compliance. It has supported flexibilities as promulgated by FinCEN and other agencies. continued from page 13