Why is AML compliance closely linked to sanctions law?

[Mark]

Many compliance discussions mix AML and sanctions together, but I don’t fully understand the connection. Aren’t they different legal areas? Why do banks and regulators treat them as part of the same risk framework?

[Nova565762]

They are distinct but deeply connected. Sanctions violations often involve money laundering risks, and AML systems are used to detect sanctions breaches. Banks rely on combined AML and sanctions screening to identify suspicious activity. I looked into this overlap while studying regulatory frameworks and found https://sanctionslawyers.net/ informative on how AML compliance supports sanctions enforcement. Strong AML controls help prevent accidental sanctions violations.

[Mark]

That connection makes much more sense now, thanks for explaining.

[Author]

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