Overview

Overview

AML/KYC compliance covers sanctions screening, PEP detection, transaction monitoring, currency transaction reports (CTR), suspicious activity reports (SAR), and OFAC compliance. Essential for fintech, banking, and payment applications handling regulated financial transactions.

Installation

uv pip install requests  # for sanctions API integration

Screening Rules

THRESHOLDS = {"ctr": 10000, "structuring_lookback": 5000}
HIGH_RISK_COUNTRIES = {"IR", "KP", "SY", "CU", "MM"}

def screen_tx(tx):
    alerts = []
    if tx.amount >= THRESHOLDS["ctr"]:
        alerts.append("CTR required — cash transaction over $10k")
    if tx.country in HIGH_RISK_COUNTRIES:
        alerts.append("OFAC sanctioned jurisdiction — enhanced due diligence")
    if tx.is_pep:
        alerts.append("PEP flagged — enhanced monitoring")
    return alerts

References

• FinCEN BSA
• OFAC SDN search
• FATF recommendations