Risk & Compliance Track

Risk & Compliance Track

Rules, regulations and risk management, these sessions focus on the three "Rs" with a vengeance.

Monday, April 30, 2018

Understanding Payments Law: What Payments Professionals Need to Know

Risk & Compliance | Intermediate
10:00 AM-10:50 AM | Room 7A
Familiarity with payments laws and regulations is a necessity for anyone involved in the industry – not just the lawyers! A panel of expert payments attorneys cover significant laws and regulations such as Regulations E, J and CC, and Uniform Commercial Code Sections 4 and 4A, while highlighting key concepts and breaking down the need-to-know information. Attendees learn how these laws impact both existing and emerging payments, including ACH, wire and faster payments systems, and leave the session with an understanding of payment finality, challenges specific to consumer payments, and how private payments system rules interact with underlying laws.
Kristin Devenica
Vice President & Senior Counsel, Wells Fargo
Ivy Gupta
First Vice President & Senior Counsel, SunTrust Bank
Parag Patel
Senior Legal Counsel, Capital One

What's in Your Business Continuity Plan?

Risk & Compliance | Intermediate
10:00 AM-10:50 AM | Room 8

Every year you review your business continuity plans. Periodically you test your business continuity plan. However, what would you do if you had to execute your plan and live it for an extended period of time? Hear how Banco Popular in Puerto Rico was forced to execute its business continuity plan after the island was hit by two major hurricanes in less than a month.

Carlos Arzola, AAP, CTP
Product Manager, Banco Popular de Puerto Rico

Rosamar Vega
Vice President & Retail Banking Manager, Banco Popular de Puerto Rico

Magdaliz Villafane
Vice President & Operations Manager, Banco Popular de Puerto Rico

Moderated by: Tim Mills, AAP
Vice President & Executive Director, The Clearing House

Strengthening Financial Institution Controls for Managing Acceptable Third-Party Sender Risk

Risk & Compliance | Intermediate
10:00 AM-10:50 AM | Room 9
Offering banking services, including ACH Origination, to Third-Party Senders can create inherent risk for a financial institution. This panel discussion explores how an $800 million credit union approaches its policies, onboarding, operational workflows, risk management, sales and servicing of Third-Party Senders, as well as how it is managing the new Third-Party Sender Registration Rule. Additionally, the credit union shares how Third-Party Sender risk monitoring and due diligence is handled, including KYC factors and knowing its customers’ customers.
Heath Burke, AAP
Director, Cash Management Operations, Evangelical Christian Credit Union
Melissa C. Giddens, AAP, CTP, NCP
SVP, Consulting Business Leader, WesPay Advisors

Allocation of Payment-Related Risk & Loss Among Financial Institutions & Third Parties

Risk & Compliance | Advanced
11:10 AM-12:00 PM | Room 3
Using a case study approach, speakers review the allocation of risk and loss among financial institutions, their customers and Third-Party Service Providers by examining real examples of risk embedded in payments services from three perspectives. The case studies include debit and prepaid card-related risks, as well as risks associated with other types of electronic payment transactions. Attendees learn, in the context of the case studies, specific responsibilities that are imposed on parties under the card network rules, the NACHA Operating Rules, and the UCC; some specific and practical ways that those responsibilities and risks can be allocated among the parties; and how regulatory expectations affect the responsibilities of the parties.
Karen Garrett
Partner, Stinson Leonard Street LLP
John Hagy
Chief Policy Officer, MetaBank
Stephen Middlebrook
Of Counsel, Womble Carlyle

Facilitating the Electronification of Check Collection & Return

Risk & Compliance | Fundamental
11:10 AM-12:00 PM | Room 7B
Amendments to Regulation CC to facilitate the ongoing transition from paper to electronic check collection and return become effective July 1, 2018. Regulation J and Federal Reserve Bank Operating Circular No. 3 will be amended to conform to the Regulation CC amendment. This session provides attendees with an overview of the Regulation CC changes, the corresponding changes in Regulation J and Operating Circular No. 3, and their practical impact on depository institutions, payment processors and vendors.
Clinton N. Chen
Senior Attorney, Legal Division, Monetary & Consumer Affairs, Board of Governors of the Federal Reserve System
Richard M. Fraher
VP & Counsel to the RPO, Federal Reserve Bank of Atlanta
Janice Havins
Executive Director, Assistant General Counsel, J.P. Morgan

Sound Business Practices: Managing ACH Exposure in a Faster Payments World

Risk & Compliance | Intermediate
11:10 AM-12:00 PM | Room 10
Risk and exposure management of a financial institution’s ACH clients has come under greater scrutiny in the last two years. As part of its ongoing role, the NACHA Risk Management Advisory Group (RMAG) has developed a series of sound business practices based on an industry practices survey. Engage with panelists as they discuss the results of the recent survey, what a financial institution has implemented as sound business practices, and the observations and recommendations an RPA has made based on audits and risk reviews. Participate in an interactive poll based on selected questions from the RMAG survey.
Amy Leslie, AAP
Executive Director, Product Manager, J.P. Morgan
Pamela T. Rodriguez, AAP, CIA, CISA
President & CEO, ePayAdvisors
Moderated by: Peter Hohenstein
Senior Director, ACH Network Administration, NACHA - The Electronic Payments Association

Don't Crash & Burn: Tackle Payment Risk Head-On

Risk & Compliance | Intermediate
1:15 PM-2:05 PM | Room 2
Fraud and cybercrime continue to evolve and fraudsters are not backing down – nor should you. Get ahead of the curve by learning new strategies and tactics to defend against pervasive threats to your payments processes. Do you want to elevate your status as a trusted partner while engaging customers to strengthen your collective defenses? Speakers share the tools and knowledge that will help your customers safeguard their treasury, A/P and A/R processes, as well as the payments system. Explore how the industry can drive change to influence customer mindset and behavior to stay ahead of the curve.
Thomas A. Gregory
SVP, Cash Management, TD Bank, N.A.
Adrienne Terpak, CTP
Vice President, TD Bank, N.A.

Three Doesn't Have to be a Crowd: Impact of Third-Party Sender Registration

Risk & Compliance | Intermediate
1:15 PM-2:05 PM | Room 7A
What is a Third-Party Sender?  What is the Third-Party Sender Registration? What is the purpose of the Third-Party Sender Registration?  Who is required to participate? Get answers to these questions and more as an ODFI discusses the process they used to identify and gather the information for their Third-Party Senders.  Also hear a Third-Party Sender discuss how the process differed between their ODFIs.
Andrée E. Ortega, AAP, CTP
VP, ACH Product Manager, Wells Fargo
Rebecca L. Wagner, AAP
Senior Compliance Analyst, PAYCHEX, Inc.

Open Banking Fraud: Lessons Learned from Europe

Risk & Compliance | Intermediate
4:40 PM-5:30 PM | Room 3
U.S. financial institutions are exploring open banking business models in which they enable third parties to offer innovative fintech services on top of traditional infrastructure. These business models introduce a world of new opportunities, but they also pose new fraud and risk challenges. In an open API world, FIs must protect transactions from a fresh channel with potential blind spots. North American FIs can learn from the experiences of their European counterparts, which are already well down the path of preparing operational and fraud strategies to support open banking. Learn how European banks are developing strategies to deal with potential authentication and risk challenges, as well as the important role of API standardization, and how to profile third-party payment providers.
David Fapohunda
Director, PwC (PricewaterhouseCoopers LLP)
Rivka Gewirtz-Little
Product Marketing Director, NICE Actimize
Andres Wolberg-Stok
Director, Citi FinTech, Citigroup

ABA Deposit Account Fraud Survey Results & Risk Mitigation Implications

Risk & Compliance | Intermediate
4:40 PM-5:30 PM | Room 8
The 2017 ABA Deposit Account Fraud Survey results are in. This survey – which collects information on financial institutions’ fraud experiences and prevention measures by transaction channel – is considered one of the most comprehensive studies on the impact of deposit account fraud on financial institutions and their customers. Given the results, speakers discuss  potential policy implications and cover emerging payment fraud risk, including faster payments, remote deposit capture, and mobile applications. Attendees also learn the latest legacy and emerging payment fraud trends identified by financial institutions and the most common fraud prevention and risk mitigation methods employed to combat payments fraud.
Stephen K. Kenneally, AAP
VP, Center for Payments & Cybersecurity, American Bankers Association
Jane Yao, Ph.D.
Director, Benchmarking & Survey Research, American Bankers Association

Tuesday, May 1, 2018

Banking $1.5 Billion Plus in Recreational Cannabis Sales

Risk & Compliance | Intermediate
10:15 AM-11:05 AM | Room 5B
$1.5 billion in recreational cannabis sales is expected in 2018 in California. As an industry forced to deal primarily in cash, there is substantial risk to financial institutions as well as  state government agencies collecting the tax, licensing and other regulatory-related revenues. With sales likely to increase to $3 billion in 2019 and nearly $4 billion by 2020, inconsistent or lacking guidance proves problematic for all parties involved. Panelists discuss lessons learned regarding banking issues from the frontlines of the legalized cannabis industry as it continues to expand.
Carmella Houston
VP, Business Service, Salal Credit Union
Cora Parker
Finance Director, Oregon State Treasury
Jim Petkovits, AAP, NCP
Vice President of Education, WesPay
Monica Sampson, AAP
VP, Electronic Services Manager, Citizens Business Bank

Remain Effective in Third Party Underwriting

Risk & Compliance | Intermediate
10:15 AM-11:05 AM | Room 7B
The scrutiny on third-party underwriting is intensifying. Does your organization have the right processes in place to rise to the challenge? Speakers bring their knowledge and practical experience from the acquiring industry to discuss how to use online resources and background checks to know your third parties, understanding how they are seen from the outside looking in, and what to look for in their policies and procedures.
Aliki Liadis-Hall, CPP
Director of Underwriting & Compliance, North American Bancard
Deana Rich
President, Rich Consulting

What the Escheat? All You Need to Know About Unclaimed Property

Risk & Compliance | Intermediate
11:20 AM-12:10 PM | Room 3
Unclaimed property laws can leave financial institutions at risk of noncompliance, increasing the likelihood of significant fines and penalties post-audit. Given the demonstrated increase in the number of audits performed there are often more questions than answers. Why the increase? Who performs these audits? And what can the ACH Network do to help prevent your organization from being “escheated?” A panel of industry experts discuss the who, what and why, and share case study findings, which includes best practices to help reduce your exposure and liability.
Sandra Gaskamp, AAP, NCP
Payment Services Manager, University Federal Credit Union
Mary M. Gilmeister, AAP, NCP
President, WACHA - The Premier Payments Resource
Crystal Plew
Bank Operations Manager, Johnson Bank
Michael Ryan
SVP Business Development, Georgeson Securities, Computershare
Cheryl L. Tiedt, AAP
Cash Manager, Thrivent Financial

Winning the War on CNP Fraud

Risk & Compliance | Intermediate
2:30 PM-3:20 PM | Room 5B
Payment fraud prevention is a perpetual war pitting legitimate payments systems participants against sophisticated, relentless and well-financed global criminal elements. The prevalence of identity theft and payment data breaches, the growth of remote payments such as e-commerce and m-commerce, and the migration to EMV are all contributing to the expansion of Card Not Present (CNP) fraud. Criminals work relentlessly to develop new and improved attack vectors and methods. To mitigate these risks, it is essential to develop adaptive – rather than reactive – strategies. This panel discussion provides insights from a recent Accredited Standards Committee X9 CNP Fraud Mitigation study and shares perspectives from fraud risk management experts and stakeholders.
Guy Berg
VP, Payments, Standards & Outreach Group, Federal Reserve Bank of Minneapolis
Andrew McGloin
Senior Director, North America Risk, Visa Inc.
Bryan Penny
VP, Payments & New Markets, Nordstrom

Keeping Pace with the Evolving Payments Processing Landscape

Risk & Compliance | Intermediate
2:30 PM-3:20 PM | Room 7A
Faster payments networks driven by mobile payments, changing buying trends, and new technologies require compliance programs to keep pace or risk disruption to the business. Current programs are tactical, regulation-specific and deadline driven, making it cumbersome and costly to support evolving payments processing networks. Speakers describe regulatory requirements related to KYC , AML monitoring, and sanctions screening, as well as provide a transformative, holistic approach to addressing the payments processing landscape. Learn how to refocus the scope of current compliance programs by adopting integrated risk and compliance governance models; improve the use of payments transaction data to optimize regulatory compliance requirements; and identify current technology trends to improve overall efficiency.
Henry Balani
Global Head of Strategic Affairs, Accuity
Adam Schabes
Managing Director, AML Technology, Modeling & Analytics, BMO Financial Group

Life After the PAN

Risk & Compliance | Advanced
4:35 PM-5:25 PM | Room 1A

News of data breaches and increasingly sophisticated cyber-attacks on private sector companies and government agencies seem to be commonplace these days. Financial technology innovations can be leveraged to help mitigate the damage of cyber-attacks by de-valuing the most sensitive part of the transaction information, the PAN. Attendees gain insights about the regulatory landscape on data security, how the payments industry is approaching de-valuing the data and how fintech is working to solve these problems as well.

Maria T. Arminio
President & CEO, Avenue B Consulting, Inc.

Kim Ford
Senior Vice President, Head of Government Affairs, First Data
Mimi Hart
President & CEO, MagTek, Inc.

Reducing the Risk of ACH & Wire Transfer Litigation

Risk & Compliance | Intermediate
4:35 PM-5:25 PM | Room 2
Implementing a foolproof system to guarantee that your institution will not get sued for processing payments is impossible. You can, however, reduce the likelihood of litigation. The presenters have been called as expert witnesses on dozens of ACH and wire transfer cases. This session reviews these cases with the objective of teaching what went wrong and how the financial institutions could have taken steps to reduce the chances of being sued. Speakers also address what steps FIs can take to reduce the probability of losing a lawsuit if they are sued.

Paul A. Carrubba
Partner, Adams & Reese, LLP

Elliott C. McEntee
President & CEO, Payment Advisory Service

Preparing for Regulation CC Update Affecting Mobile Deposits

Risk & Compliance | Fundamental
4:35 PM-5:25 PM | Room 7A
The final amendments to Regulation CC are set to go into effect on July 1. During this session, attendees receive a better understanding of the changes. Speakers discuss considerations financial institutions should take into account and how to balance the mobile RDC experience while meeting the new compliance changes. Gain an understanding of newly introduced technology available to financial institutions that enable them to respond quickly to the amendment changes, while maximizing user experience and how financial institutions can leverage real-time evaluation of risk to post in real time through mobile and RDC deposits.
Beverly Dobesh, AAP
Payments Processing Analyst, American Airlines Federal Credit Union
Xan Kasprzak
VP, Risk Management & Client Services, Ensenta Corporation
Kevin Olsen, AAP, NCP, MCSE
Senior Vice President, Payments Education, ePayResources
Angie Smith, AAP, NCP
SVP, Professional Development Events, WesPay

Beyond AlphaBay & Hansa: Combatting the Dark Web

Risk & Compliance | Intermediate
4:35 PM-5:25 PM | Room 10
Hansa may have been taken down last year, yet AlphaBay remains the world’s largest dark website and many others still remain. Speakers demonstrate the ugly side of electronic commerce on the dark web as they take you on a journey where you can buy debit card data, bank account data, and counterfeit currency. Becoming aware of these sites will help your team educate employees, conduct research into potential illegal activity, and complete better due diligence on customers and Third-Party Payment Processors.
John Meyer
Chief Product Officer, Banker's Toolbox, Inc.
Patricia Presta, AAP
VP, Education, WesPay

Wednesday, May 2, 2018

Beneficial Ownership Rule: Are You Ready?

Risk & Compliance | Intermediate
8:00 AM-8:50 AM | Room 5A
Nearly two years ago, the U.S. Treasury Department issued final rules under the Bank Secrecy Act (BSA) to clarify and strengthen customer due diligence requirements. May 11, 2018 marks the deadline to achieve compliance with the rule as it relates to your institution’s policies, procedures and processes, and there is little doubt that your examiners are anxious to assess your compliance. Whether you have questions about the rule or you just want to reassure yourself that your institution has met all of the expectations and requirements, don’t miss this informative and timely session.
Dr. Elaine Phifer, CAMS
Assistant Vice President & Compliance Officer, Federal Reserve Bank of Atlanta
Amy Sawicki, CAMS
VP & BSA/AML Officer, Level One Bank
Tim Thorson, AAP, CTP
SVP, ACH Operations, Regions Bank

Using the Past to Manage Payment Fraud Risk

Risk & Compliance | Intermediate
9:05 AM-9:55 AM | Room 5B
There now exists more than a decade of experience implementing various faster payments infrastructures around the world. And there are lessons from these experiences that can help financial institutions successfully manage payment fraud risk given the increasing speed of settlement, more cyberattacks than ever, and internal weaknesses being targeted by criminals. This session examines the Faster Payments initiative in the UK, and how to apply these lessons to the U.S. market to support payment security, limit customer friction, and enable security to be a differentiator for financial institutions in a market that is increasingly competitive and experiencing unprecedented change.
Andrew Davies
VP Global Market Strategies, Financial Crime Risk Management, Fiserv
David E. Richardson
Senior Manager Fraud and ATM Operations, First National Bank Omaha

Wire Transfers: Assessing Risks & Controls

Risk & Compliance | Intermediate
10:10 AM-11:00 AM | Room 5A
Wire transfers pose one of the greatest risks of loss to a financial institution. Transfer speed, paired with large dollar volume transactions and the inability to recover funds once they are transferred, leave financial institutions vulnerable to significant risk. This session reviews the various risk areas that should be addressed to provide insight into the wire transfer business. Attendees gain an understanding of the various risk areas associated with wire transfers, and learn about the importance of assessing wire transfer risks and controls used to effectively mitigate these risks.
Elizabeth Birchell, AAP
Director, NEACH
Mary Anne Ruisi
EFT Manager, The Washington Trust Company

Session details are subject to change.