> To perform due diligence in New York, you need: audited financial statements, a certificate of good standing, bank account details, background checks, credit checks, and criminal records from each and every single executive. Essentially, getting a license in New York means a two-year financial colonoscopy in the 10th circle of hell.
I'm not a fan of overzealous regulation, and there is plenty of regulation in financial services that is ridiculously overzealous, but it would be interesting if the author provided specific proposals.
I mean, is he really complaining that folks running a company handling customer money need to have background checks?
> What’s worse is that the actions being penalized are rarely flagrant in nature — we’re not talking money laundering for cartels here but administrative oversights. For example, the failure to file an SAR, failure to train, or failure to implement policy.
Does the author believe a customer is going to be relieved that his or her money has been put at risk (or lost) only because of "administrative oversights"?
Again, there's a lot of overzealous regulation in financial services, but there are also a lot of people trying to "innovate" in the market who clearly don't fully recognize the responsibilities they have to their customers.
The problem isn't due diligence requirements. It's that you have to do it 47-48 separate times at a cost of $2-$20 million in such a manner that no one is actually protected anyway.
I'm not a fan of overzealous regulation, and there is plenty of regulation in financial services that is ridiculously overzealous, but it would be interesting if the author provided specific proposals.
I mean, is he really complaining that folks running a company handling customer money need to have background checks?
> What’s worse is that the actions being penalized are rarely flagrant in nature — we’re not talking money laundering for cartels here but administrative oversights. For example, the failure to file an SAR, failure to train, or failure to implement policy.
Does the author believe a customer is going to be relieved that his or her money has been put at risk (or lost) only because of "administrative oversights"?
Again, there's a lot of overzealous regulation in financial services, but there are also a lot of people trying to "innovate" in the market who clearly don't fully recognize the responsibilities they have to their customers.