Hsbc Kyc: Fill & Download for Free

It’s a risk reward thing. The bank calculates how much money it can make versus legal risk.If you have a billion dollars at HSBC and you want to do cash escrow to buy 100k of bitcoin, HSBC will be glad to do that for you.AML/Kyc are only for little people like you and me.

A few years ago, HSBC wanted to diversify it’s banking business outside of Asia and to become the “world’s neighbourhood bank.” The problem is that once it went into the US market, it was really lax at AML-KYC and the US government caught it doing things like opening bank accounts for Mexican drug smugglers or opening accounts for people in Iran.I don’t think that HSBC was doing anything that other banks weren’t. The trouble is that the other banks were “too big to shut down” whereas the US government could credibly threaten to shut down HSBC. Once HSBC got hit, the US government could then go to the other banks and then credibly threaten them.So HSBC got hit with major fines and bad press. To keep this from happening again, HSBC made a lot of changes to make it hard to open bank accounts for “bad people.” Unfortunately the easiest way of avoiding opening bank accounts for “bad people” is to make it nearly impossible to open bank accounts for anyone.

The HSBC case has been misunderstood by many. The short version is that whatever the US LEAs might charge HSBC with, other banks are equally guilty of doing it. A tangent analogy is prosecuting HSBC for jaywalking, when HSBC can point fingers at 100s of other banks for jaywalking too. There are literally 10,000s of 'small" infringements on AML, KYC and Money Laundering oversights by HSBC affiliate banks outside of US, for which HSBC United States (HBUS) has been involved in.To be fair, HSBC is not the only bank to do so. Others banks with a large affiliate footprint for banking outside the US, are also cited and highlighted.There is NO doubt, HSBC has been wrong on many account. If you read the report (mentioned below), it reads like a novel. The banking and monetary influence of Al-Rajhi Bank and the desperate need of HSBC to do business with them, that is what the report is all about. There are needless to say clear indication that US law was broke, but the report looks at the overall impact of Al-Rajhi's business and influence in the region, on which HSBC local managers in the Middle East pounced, because it meant extra (easy) income for the bank.The fine is not a criminal one, had that truly been the case, criminal cases would have been filed by the Attorney General or by the District Attorneys in various cities against HSBC.The fine is to teach HSBC and other banks a lesson, to strengthen their KYC, AML and Cross-Border Money business. HSBC just makes a classic example because of its large operating base outside the US and its customers who are wanting to do business via HSBC in the US (hence transactions routed via HBUS).To better understand, you can read the report United States Senate, Permanent Subcommittee on Investigation, Committee on Homeland Security and Governmental Affairs. In particular, the Report "US Vulnerabilities to Money Laundering, Drugs, and Terrorist Financing: HSBC Case History" (Can be downloaded from here: PSI report: U.S. Vulnerabilities to Money Laundering, Drugs, and Terrorist Financing: HSBC Case HistoryYou can also read this release by Senator Carl Levin's Office: Newsroom - Press Releases