The litany of enforcement actions and financial penalties flowing from Westpac’s compliance failings in the last decade continues to grow following disciplinary measures meted out in recent weeks by Hong Kong’s banking regulator. Westpac has incurred a fine of HK$4 million (A$510,000) for not complying with anti-money laundering laws. The penalties were imposed on the bank after an investigation by the Hong Kong Monetary Authority found that Westpac failed to complete AML reviews between June 2016 and May 2017 of 121 customers, some of whom were classified as “high risk”. “The control lapses identified in the investigation relate to its delay in completing periodic reviews for some of its customers during the period between 1 June 2016 and 31 May 2017,” the authority said in a statement. “Westpac Banking Corporation Hong Kong also failed to establish and maintaineffective procedures for carrying out its duties under the AMLO (Anti Money Laundering Ordinance) in relation to periodic reviews for its customers during this period.” The authority said the fine was issued after considering the seriousness of the investigation’s findings and the fact that Westpac had since rectified deficiencies in its AML systems. The authority also noted that the bank’s Hong Kong operation had committed no previous breaches of local anti-money laundering laws and had cooperated with the regulator during the investigation and enforcement proceedings. “Timely periodic reviews for customers is a vital part of effective framework for banks to help combat money laundering and financial crime,” said HKMA executive director for enforcement, Carmen Chu. “Banks should maintain up-to-date understanding of risks and deploy adequate resources to detect and deter abuse of accounts, and thus contributing to the ecosystem response to evolving threats and upholding the integrity of banking system,” she said.