Thailand has become a hotspot for financial activities, drawing the attention of global investors due to its friendly trade agreements with over 10 countries. With an increase in funds flowing into Thailand, this has opened the door for criminals to get involved in illegal activities such as money laundering and terrorist financing. In this article, we will provide a simple yet insightful tour of Thailand's efforts to prevent these issues and the important steps being taken to tackle them.
According to a PwC survey, 25% of Thai companies have experienced financial crimes, fraud, or corruption in the past two years. Cybercriminals are taking advantage of remote work during the COVID-19 pandemic and using cryptocurrencies and the dark web to conduct sophisticated attacks, including fake IDs and new Deepfake attack methods.
To combat these threats, Thai companies need to invest more in risk management and compliance. Criminals are increasingly using technology and becoming more skilled, but unfortunately, Thai companies are not investing enough in these areas. Only 37% have a team dedicated to fraud risks, which is lower than the global average. Less than 30% of companies have expanded their risk management teams, indicating a need for improvement. Thailand needs to catch up with the rest of the world in this area.
The Thai government is taking swift action to combat the rising financial crime by either creating new laws or amending existing ones. These laws are used in courts to punish criminals and help the government deal with the issue. Firstly, two important terms have been introduced to prevent financial crimes within the economic system and stop the growing criminal economy.
Customer Due Diligence (CDD) is the process used by banks and other financial institutions to gather and verify users' information. With good CDD, these institutions can ensure that users are genuine and create a record, which helps to identify if someone is a criminal.
Know Your Customer (KYC) is the most effective way to ensure that users are who they say they are. The Thai government found that most financial criminals use fake names, so it's crucial for banks and other financial institutions to have strong KYC rules. This helps them to confirm if users are real by comparing their information to official documents.
Let's take a look at some of the rules that are making it challenging for money criminals and those who fund terrorism:
One key law in Thailand is the Anti-Money Laundering Act B.E 2542, which has rules against money criminals and other financial wrongdoers. Banks and other financial institutions must report any transaction over $1600 to the relevant authorities. The law also states that trying to use illegal money is a crime, which could lead to 15 years in prison.
Although Thailand already had a Counter-Terrorist Financing Act, it did not cover how financial groups and money laundering were used for terrorism. Therefore, the government amended the law to include this. Any financial wrongdoing connected to terrorist activities is now considered a crime.
As identity fraud and AI-based identity attacks like Deepfake continue to rise, it is crucial to have a solution that provides secure and trustworthy verification. Authme offers a revolutionary solution that provides three distinct features to boost the credibility of the verification process:
Authme’s engine automatically extracts critical information from ID documents through OCR scans and detects fraudulent IDs in real-time, providing accurate and reliable verification.
Our patented mobile NFC reading technology authenticates the digital signature of biometric IDs like passport, ensuring 100% ID authenticity.
We utilize AI-powered face recognition and liveness detection to compare the user's face with the ID holder, ensuring that the user is a real person and defending against sophisticated Deepfake attacks.
Authme's eKYC solution offers a comprehensive approach to guarantee that companies maintain security, effectiveness, and compliance when offering digital services. With over 30 million verifications processed across various industries, including banking, insurance, and cryptocurrency, we have earned the trust of leading brands like Binance, Standard Chartered, and LINE Bank.
Battling against money laundering and terrorism financing is crucial to ensure regulations in Thailand. As a thriving economy in its region, Thailand can reap positive benefits by putting resources into AML and CFT solutions.
In a world where identity theft and fraud are on the rise, Authme’s eKYC solution not only prevents identity theft and fraud but also provides a seamless and user-friendly experience for customers. As Thailand strives for financial security, Authme's revolutionary technology is changing the game in identity verification, ensuring the safety and security of your user's identities.