Juan Zarate on K2’s Fintech Venture With Giant Oak for AML/CFT Efforts

Juan Zarate on K2’s Fintech Venture With Giant Oak for AML/CFT Efforts
Juan Zarate Chief Strategy Officer K2 Integrity

K2 Integrity, formerly K2 Intelligence Financial Integrity Network, and Giant Oak have formed a joint venture in an effort to provide financial institutions a new model for anti-money laundering and combating the financing of terrorism .

Consilient will work to deliver a next generation system supported by an Intel technology to more effectively identify and manage financial risks and ensure integrity of financial systems, Consilient said Oct. 29.

"We are trying to revolutionize the AML/CFT regime through the use of federated data analytics and transfer learning," Juan Zarate, global co-managing partner and chief strategy officer of K2 Integrity, told ExecutiveBiz.

In a press release, Zarate said the current global AML/CFT system needs to be updated with a new design capable of enabling resource sharing and employing more data and machine learning. "At last, we are now in a position to redesign the system – and help banks and institutions focus more intently and cost-effectively on systemic financial crime risks that matter most to the security and integrity of their enterprises and the financial system."

The new company tapped Intel to help enable financial institutions to collaborate and ensure private data security at the same time using Dozer, a behavioral analytics tool supported by the latter company's Software Guard Extensions

Dozer is designed to train models across multiple sets of training data using transfer-learning and employs the hardware-based trusted execution environment of Intel SGX to protect specific application code and data.

Anil Rao, vice president and general manager of data platforms security and systems architecture at Intel, cited initial trial results between Intel and Consilient and highlighted the potential of a collaborative finance industry, which has been limited by secure information sharing.

Several industry officials have welcomed the new Consilient technology, including John Elvin, chief Bank Secrecy Act/anti-money laundering officer at PNC Bank, and Greg Baer, president and CEO of Bank Policy Institute.

"Identifying and disrupting the financial networks of criminal enterprises is a top priority for our member banks. This promising technology presents new opportunities to more effectively identify illicit financing at the source," said Baer.

You may also be interested in...


Carahsoft Adds ClearInfo Digitization Products to NASA SEWP V Contract

Carahsoft Technology has agreed to market end-to-end digitization tools developed by ClearInfo to federal government clients through the Reston, Virginia-based company's reseller partners and NASA Solutions for Enterprise-Wide Procurement V contract.

GA-ASI MQ-9 with ASW Pod

General Atomics Demos Anti-Submarine Sonobuoy Tech for Navy’s MQ-9 UAS

A General Atomics affiliate has demonstrated the use of A-size sonobuoys to remotely process acoustic and bathythermal data when deployed from an unmanned aircraft system to support U.S. Navy's anti-submarine warfare operations.

Corner Alliance

Corner Alliance to Develop Emergency Guidance Tool for DHS

The Department of Homeland Security's Science and Technology Directorate awarded over $1.5M to Corner Alliance for the development of a new emergency guidance planning app. The Federal Emergency Management Agency's website would feature the Alerts, Warnings and Notifications guidance tool that would offer best practices, customized resources and templates for emergency planning and readiness efforts, DHS said Tuesday.