LONDON and SAN FRANCISCO, March 18 /PRNewswire/ -- Reflecting the need
for financial institutions to focus on the high-risk "Politically Exposed
Persons" (PEPs) to ensure compliance with international Anti-Money
Laundering regulation and manage the PEP screening challenge, Dow Jones
Watchlist, formerly known as Factiva Public Figures & Associates, today
published the top 10 job roles with the greatest risk of involvement in
money laundering, illicit payments, corruption and other illegal activity.
Topping the list of high-risk roles were Heads of State, e.g. a
country's President or Prime Ministers, whose scandals often make
front-page news and involve significant crimes. Also making the list was
the role of state governor, which comes as no surprise following the highly
publicized resignation of former New York Governor Eliot Spitzer.
"Anti-money laundering checking is a critical but largely unseen task
carried out by financial institutions," said Rupert de Ruig, Managing
Director of Risk & Compliance for Dow Jones Watchlist. "In many instances,
PEPs are considered desirable clients. But do business with the wrong PEP
and a scandal can put your organization on the front page of newspapers and
take up significant time and resources dealing with the fallout -- or in
some cases, fines and irreversible damage to their reputation."
Among the surprises from the Dow Jones Watchlist study was the high
risk of doing business with city mayors.
"Our analysis shows city mayors to be among the top 10 in high-risk job
roles -- ahead of political party officials -- and yet globally almost no
PEP legislation designates City Mayors as Politically Exposed Persons,"
added Mr. de Ruig. "This omission could pose a substantial risk to
organizations, even if they are meeting regulatory requirements."
The complete list is as follows:
TOP 10 HIGH-RISK JOB ROLES
1. Heads & Deputies of State/National Government
2. Senior Members of the Armed Forces
3. National Government Ministers
4. Senior Members of the Secret Services
5. Heads & Deputy Heads of Regional Government
6. Political Pressure and Labor Group Officials
7. City Mayors
8. Political Party Officials
9. State Corporation Executives
10. Senior Members of the Police Services
To create the table Dow Jones carried out an analysis of its global PEP
database to track the number of official legal actions against persons
holding high-level office since the year 2000. The analysis weighted the
job categories by the number of overall persons in each category to
accurately determine how vulnerable particular job roles were.
Another finding of the Dow Jones Watchlist analysis was a high number
of persons from the senior members of the Armed Forces and Secret Services
from developing countries. This is in contrast to the remainder of the top
10 where instances of criminality per country were reasonably consistent.
"In the U.S., the law states that only senior foreign political figures
should be considered a risk," said Mr. de Ruig, "However, the Spitzer case
is a good example of why increasingly U.S. financial institutions are now
also screening domestic PEPs as part of their risk management process."
Dow Jones Watchlist is a global database, which tracks and monitors
over 500,000 individuals and other entities that represent a legal or
commercial risk to institutions, including criminal activity that did not
result in political sanctions.
To learn more about Dow Jones Watchlist, visit
www.solutions.dowjones.com/watchlist or call Daria Hall of Walek &
Associates at (212) 590-0534
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SOURCE Dow Jones & Company