How likely is it that you are unwittingly assisting a client in money laundering or terrorist financing? That may seem far-fetched, but the U.S. legal profession is under intense pressure to embrace anti-money laundering requirements that apply to banks and other financial institutions.
In 1989, the G-8 nations founded the Financial Action Task Force (FATF) for the purpose of promoting policies to combat money laundering. To this end, FATF developed 40 Recommendations aimed at money laundering and terrorist financing.
These requirements mandate that a number of "designated Non-Financial Businesses and Professions" (DNFBPs) adopt rigid client due diligence protocols at the client intake stage and during the course of the representation. These "gatekeepers" include lawyers, accountants and trust company service providers.
The FATF effort to impose reporting obligations on U.S lawyers would run seriously afoul of the duty of client confidentiality and traditional attorney-client privilege. Despite the adoption by the ABA in 2010 of comprehensive voluntary good practices guidance to assist lawyers in assessing client risk, the federal government continues to insist that lawyers do more to combat money laundering and terrorist financing.
Moses & Singer partner Gideon Rothschild and Venable partner Kevin Shephard review the guidance, the legislative and regulatory efforts to impose anti-money laundering requirements on the legal profession, a new ethics opinion on Gatekeeper issues, and a publication produced by the ABA, the International Bar Association, and the Council of Bars and Law Societies of Europe to assist lawyers in detecting and preventing money laundering.
I. Understand FATF and the Risk Based Approach
II. Comprehend how and when to assess client risk
III. Apply procedures to help detect and prevent money laundering
IV. Identify conflicts between the Model Rules and FATF recommendations
V. Grasp when to decline or terminate representation based on Model Rules 1.2 and 1.6
Program Attorney: Sigalle Barness
Gideon Rothschild is a partner with the New York City law firm of MOSES & SINGER LLP, where he co-chairs the Trusts & Estates and Wealth Preservation Group. He focuses his practice in the areas of domestic and international estate planning techniques for high net worth clients and is a nationally recognized authority on wealth preservation and foreign trusts.
Mr. Rothschild is the Chair of the Real Property, Trust & Estate Law Section of the American Bar Association, a Fellow of the American College of Trust and Estate Counsel and Academician of The International Academy of Trust and Estate Lawyers. He is a member of the Advisory Boards of BNA’s Tax Managementand Trusts and Estates, the Immediate Past Chair of the New York Chapter of the Society of Trust and Estate Practitioners (STEP), and a member of the New York State Bar Association.
He has taught as an Adjunct Professor at the University of Miami Law School Graduate Program and New York Law School and has lectured frequently to professional groups including the University of Miami’s Philip Heckerling Institute, the New York University Federal Tax Institute, the New York State Bar Association, the American Bar Association, and the American Institute of Certified Public Accountants.
Mr. Rothschild is the co-author of the BNA Tax Management portfolio on Asset Protection Planning and has authored numerous articles for publications including Trusts and Estates and Estate Planning. Mr. Rothschild was elected to the National Association of Estate Planners and Councils Hall of Fame as a Distinguished Accredited Estate Planner and is listed in Chambers USA, Best Lawyers in America, Top 100 New York Superlawyers and Worth’s Top 100 Lawyers. Mr. Rothschild is also licensed as a Certified Public Accountant.
Mr. Rothschild distinguishes himself from many of his peers in that his estate planning recommendations are integrated with asset protection objectives. That is, by educating his clients on the non-tax benefits available with trusts and other vehicles and how they can be drafted in a flexible manner, his clients can achieve both tax savings and wealth preservation. Such benefits include protection from divorce, creditors or litigation exposure.
Kevin Shepherd is a senior partner in Venable’s Real Estate Practice Group, one of the preeminent real estate practices in the nation. Mr. Shepherd represents large national and multinational institutions in complex real estate transactions, ranging from the development of electric generation power plant facilities and the world headquarters of a multinational biotechnology and life science firm to the purchase and sale of the nation’s highest profile assets.
Mr. Shepherd offers clients unusual experience in working through complex real estate transactions, diligence in the thorough drafting and coordination of interrelated documents, and creative solutions that save clients money.
Mr. Shepherd has worked on numerous high profile commercial real estate transactions, both domestically and internationally. Locally, Mr. Shepherd was involved in the purchase and sale of 100 East Pratt Street, the premier office tower in Baltimore, the development of the most recent additions to Baltimore's skyline (Baltimore Marriott Waterfront Hotel and 750 East Pratt Street, the first office tower to be built in Baltimore's Inner Harbor after 2000), and the sale of the corporate world headquarters campus of Life Technologies, Inc. Mr. Shepherd represented a subsidiary of The General Electric Company in connection with a long term lease of its corporate headquarters facility, which was one of the largest lease transactions in Montgomery County history. Nationally, Mr. Shepherd regularly represents numerous real estate investment trusts, pension funds, and institutional investors and, internationally, represents hotel developers. Mr. Shepherd represents merchant power companies in connection with the development of electrical generation facilities in Maryland. Set forth below are a few recent transactions in which Mr. Shepherd has been involved:
Mr. Shepherd holds significant leadership positions in Venable and law-related organizations. Mr. Shepherd is Managing Director of Finance and chair of Venable's Finance Committee, which oversees the firm's financial operations, policies, and procedures. For a dozen years, Mr. Shepherd served as chair of Venable’s Real Estate Practice Group.
Mr. Shepherd is a past Chair of the ABA Section of Real Property, Trust and Estate Law, and he is a past president of the American College of Real Estate Lawyers. ACREL is the country’s most prestigious honorary organization for practicing real estate lawyers. Mr. Shepherd is a member of the Anglo-American Real Property Institute, an organization comprised of 50 United States real estate lawyers and 50 United Kingdom real estate barristers and solicitors. Mr. Shepherd is a member of the ABA House of Delegates, the policy-making body of the ABA.
Mr. Shepherd has served on a number of task forces and committees, and is chair of the ABA Task Force on Gatekeeper Regulation and the Profession, and he served for several years on the ABA Standing Committee on Publishing Oversight.
Mr. Shepherd is a former editor-in-chief of Probate & Property, the highly regarded bi-monthly magazine of the ABA Section of Real Property, Trust and Estate Law. He recently concluded a two year term of the Character Committee of the Court of Appeals of Maryland.
Very knowledgeable presenters.
Very informative; important topic; useful written materials.
The top authorities in this field.
GREAT overview with real examples. very helpful and easy to understand.
excellent discussion very timely
Great program. Most informative and very well presented.
Excellent presentation by both lecturers.
Well organized and well-delivered presentation. Would have liked more specifics on how to deal with CDD in foreign countries.
Outstanding course on lawyers' ethical obligations with respect to anti-money laundering law and international efforts, including tensions between lawyers' obligations to clients and obligations to assist financial authorities in their anti-money laundering and terrorist funding efforts
This course contained good background information on anti-money laundering ad terrorist financing. I would like to see an update because this is from 2015.
Great program with experienced guidance.
Really interesting look at an area more and more will need to deal with. thank you!
Honestly maybe the best CLE I have ever attended. Should be required for every transactional lawyer.
These guys really know their stuff.
This was a very good presentation; the information is so pertinent and condensed, I would like to view it again.
ethics involved potentially for clients who may be laundering money and or terrorist financing are important and relevant today.
I was surprised by how interesting and engaging this presentation was!
Showed good enthusiasm.
Great introduction to FATF!
thanks very much, the presenters were great on this one & really informative
Excellent overview of subject matter's development and current status.
Excellent presentation. I am eager to have a look at the Lawyer's Guide.
Very useful supporting materials.
very relevant to the world as it now excists
This could have easily been a 2 or 3 part series. The information was great
Speakers extremely competent. Well done.
Thought this presentation was well done - I like the 2 person format. Great information for attorneys as well as bankers.
Attorneys personal knowledge and experience were very helpful.
These guys are good speakers and very informative. I also like the scenario they used, which seem real world.
I appreciated the detailed materials, far more than the all too often supplied point point slides of the talk
amazing the number of the email collection estate matters that are sent clients need to be warned as do attorneys
Top-notch program, great speakers who presented the topic thoroughly.
very practical and useful
Well presented and thorough
Very good presentation on a developing complex issue!!!
The course materials were very informative and helpful for the future.
Excellent program, very informative. Every lawyer should see it
....very valuable course, particularly as to new developments in the law and practice....
Extremely well presented and interesting.
Good discussion of a complicated topic
Difficult topic. Well done!
Interesting and good information to know
Good legal discussion and use of case law.
Important subject matter for the time.
excellent content -- this could have been 1.5 hours
Informative and useful
Lots of excellent information in a short period of time. Should be mandatory viewing for any attorney handling money from foreign (or questionable) origins.
Great Course. Great information for transactions attorneys.
Just as good if not better on MP3!
Awesome! Don't miss it! Riveting! A blockbuster performance!
Nice job ...
Very good introduction to this area of regulation.
Informative and interesting
Excellent - speakers especially solid on an aoral overview, introducing the written masterials in context.
Hope there is a follow-up program late this year or next year.
Up to date and solid information. I was so glad to see this course come through. Please, invite these speakers back again!
Thought Kevin was very informative.
Very interesting presentation.
Great course & topic, but too short