of euros in tainted money flowing through european banks and their branches across the world. in the us, regulators and prosecutors imposed on financial institutions a total of us $ 1. 5 billion in penalties last year for failing to comply with anti - money laundering requirements. in the uk, more than 13 million complaints have been made against retail banks for the aggressive mis - selling of so - called payment protection insurance. in australia, the hayne royal commission has detailed a litany of wrong - doing in the country ’ s banking industry, including forging loan documents and pushing customers into bad investments to meet bonus targets. i take some comfort that financial institutions in singapore have generally been better behaved and are better regarded. but we have had our problems too : the mis - selling of minibonds and other structured products ; the manipulation by traders of financial benchmarks ; and more recently the laundering of 1mdb - related funds through our banking system. we too can do better. let me briefly suggest three things the industry and regulators can do together to strengthen trust in finance, with a focus on what we are doing here in singapore. first, we must ensure that the financial system is not abused for illicit purposes – be it money laundering, tax evasion, or terrorist financing. in singapore, we had a rude awakening in 2015 when it came to light how 1mdb - related funds were laundered through our banking system. mas and the industry have worked hard since then to strengthen systems and processes to detect and deter illicit fund flows. financial institutions have made significant strides in managing money laundering risks. boards and management are more focused on addressing issues related to illicit finance. they have made the detection of money laundering risk a responsibility of front - line, customer - facing staff, and not just the compliance function. many financial institutions have strengthened their remuneration frameworks to include financial crime risk management as a key performance indicator. a growing number are harnessing the power of data analytics to detect illicit fund flows and flag suspicious transactions. mas too has been enhancing its surveillance and supervision of money laundering risks. we are conducting more anti - money laundering focused onsite inspections. we are applying network analysis to detect across financial institutions high risk clusters of entities and activities. mas, financial institutions, and law enforcement agencies have come together to pool their expertise to identify emerging money laundering typologies and possible ways to combat them. the partnership has produced advisories and best practices on how to : detect complex corporate structures involved

ravi menon : strengthening trust in finance opening address by mr ravi menon, managing director of the monetary authority of singapore, at the symposium on asian banking and finance, singapore, 3 june 2019. * * * dr mary daly, president and ceo, the federal reserve bank of san francisco, guests, colleagues, ladies and gentlemen, good morning. welcome to singapore for the symposium on asian banking and finance, jointly organised by the federal reserve bank of san francisco and the monetary authority of singapore. this year marks the twelfth edition of the symposium. this symposium has carved a name for itself as a high - quality platform for industry captains, distinguished academics, and senior policy - makers to exchange views on global finance. and it stands out for bringing a strong dose of asian voices while retaining the global relevance of the issues. the theme for this year ’ s symposium is “ banking for the common good ”. why did we choose this topic? more than ten years have passed since the global financial crisis. we have seen a spate of regulatory reforms over the last decade – unprecedented in scope and scale but necessary. implementation is not quite complete but the global financial system is generally safer and stronger today, with more capital and liquidity, less leverage and risk. but it is not enough that finance is merely safer today. just doing no harm is not enough. finance needs to be a positive force for good. i believe there are three things that finance must aspire to, if it is to be a force for good : it must be trusted ; it must be inclusive ; and it must be sustainable. this symposium will cover these issues in greater depth. i want to focus my opening remarks on the issue of trust. global surveys show that the financial sector suffers from a trust deficit. the edelman trust barometer asked over 33, 000 respondents globally to rate how much they trust businesses in each of 15 industries to “ do what is right ”. financial services was the least trusted industry. there is also a broader sense that finance has not served the economy or society well. why this mistrust? the reckless risk - taking and blatant disregard for ethical conduct that we saw in the lead - up to the global financial crisis are a big part of the explanation. and it has not helped that the financial industry continues to be dogged by disappointing revelations of financial misconduct and malfeasance. 1 / 5 bis central bankers'speeches europe saw its largest ever money laundering scandal last year, with hundreds of billions