The Role of Tech in Financial Crimes

Technology as a tool is a two-edged sword capable of swinging both negatively and positively depending on who is swinging it. Same can be said for financial crimes, while it serves investigators and prosecutors in their fight against crime. It has also given criminals an easy way to carry out fraudulent practices. Lev Dassin, a partner at Gottlieb Steen and Hamilton has revealed the role tech is playing when dealing with financial crimes.

How to counsel corporate management on the way big data and predictive analytics may increase the risks international corporations can face in the False Claim Act?

Detecting potentially fraudulent activity has become incredibly hard for companies to do, due to the mass increase the flow of information and data across the companies, third parties and vendor. While the conventional means of detection for fraud might fail with big data, predictive analysis is able to comb through massive data and identify questionable conduct rather easily. For great results, predictive analytics has to be part of the company’s culture and it takes constant commitment to detecting fraudulent activities.

On the subject of anti-money laundering and economic sanction compliance, what is the most important role technology plays in enforcement?

The growth in the rate at which money laundering and violation of sanctions can be exploited due to the increase in the use of technology for global finance show technologies impact in the world today. Several multinational companies seeking to mitigate this risks have turned to technology for solutions. Also, technology has helped facilitate the possibility of being able to detect potential money laundering and sanctions violations.

What impact will AI technology have on financial investigations and what problems might arise with regards to professional education in the legal sector?

When detecting and responding to potential problematic conducts, Artificial Intelligence can be used to ensure both quick and effective investigation is carried out in the event that the misconduct has happened. For instance, it can be used to monitor communications and data that suggest any form of misconduct. There is still a lot of growth required in the use of AI, and just as the technology improves with time so will its effectiveness and usage.

At the moment, it is imperative to selectively decide on the best ways to use AI depending on certain legal and factual issues and the kind of data to be processed. AI is a great tool to deploy during investigations and if properly utilized it can supply efficient results while saving cost for clients. It is equally important that lawyers who are in charge of enforcement be knowledgeable in the best practices of AI use in investigations. This will affect both the cost and efficiency of their cases, moreover, clients may demand its use.