DeepSeek, the China-based AI chatbot service, is currently navigating a tricky regulatory landscape as privacy concerns grow across the globe. After being hit with privacy scrutiny in South Korea and facing an enforcement action in Italy over data protection practices, DeepSeek is working to address key concerns to avoid further disruptions to its operations.
Spain’s Comisión Nacional del Mercado de Valores (CNMV) has released the results of its 2024 review on how entities under its supervision assess risks related to money laundering. The review, conducted as part of Spain’s broader push to meet new European regulations, uncovered several shortcomings in the way entities approach money laundering risk assessments, calling attention to critical areas that require improvement.
The Office of the Comptroller of the Currency (OCC) is keeping a close watch on both banks and their employees with its February enforcement actions. The agency has taken action against several banks and individuals for serious compliance failures and misconduct. It’s not just about issuing penalties, it’s about ensuring lasting change and reinforcing accountability across the banking industry.
YAPP USA Automotive Systems Inc. has agreed to pay $14.2 million after being accused of falsely certifying its eligibility for a Paycheck Protection Program (PPP) loan. The company, a subsidiary of State Development and Investment Corp. Ltd., a Chinese state-owned entity, applied for and received a $9.6 million loan under the PPP, which was later forgiven by the Small Business Administration (SBA). However, the U.S. government says the company did not meet the necessary criteria to qualify.
When you think of government contracts, the last thing that might come to mind is a mix-up of payments or a cybersecurity breach, especially when it comes to protecting our nation’s military families. But that’s exactly what’s behind two of the most recent enforcement actions by the Department of Justice (DOJ), resulting in settlements worth more than $40 million. These cases serve as a strong reminder of the serious responsibility companies take on when they sign contracts to serve the public, particularly when it involves taxpayer funds and sensitive data.
The European Supervisory Authorities (ESAs) are paving the way for a stronger oversight framework. Their latest initiative is a clear and deliberate step towards tackling third-party risk, particularly concerning critical ICT service providers, under the EU’s Digital Operational Resilience Act (DORA).
The Financial Conduct Authority (FCA) has handed down a fine of £1,662,700 to Mako Financial Markets Partnership LLP (Mako) for serious lapses in its systems and controls—failings that left it vulnerable to facilitating financial crime. This is the latest in a series of enforcement actions stemming from the FCA’s deep dive into cum-ex trading, a practice that has raised alarms across Europe and beyond.