Monzo investigated over possible money laundering violations

The Financial Conduct Authority (FCA) has started an investigation into Monzo’s compliance with money laundering regulations.

In its latest financial results, the online bank revealed that the UK watchdog is examining whether it has breached some of the FCA Principles for Businesses and related FCA rules for anti-money laundering and financial crime systems and controls between 1 October 2018 to 30 April 2021.

The investigation, which is looking into both potential civil and criminal liability, comes as the challenger bank reports a £115 million loss in its latest financial year. This is an increase on losses from the previous year of £113.8 million.

“We have losses today and expect to have more in the short term,” said Monzo in its financial report. “Which is why we plan to raise the capital we need to support the business and meet our capital requirements in FY2022.”

The bank added: “There is a risk we can’t raise enough capital, on acceptable terms, when we plan to.”

Monzo warned that a material uncertainty exists that “may cast significant doubt” on the group’s ability to continue as a going concern for a period of twelve months from when the financial statements are authorised for issue.

    Share Story:

Recent Stories


Data trust in the AI era: Building customer confidence through responsible banking
In the second episode of FStech’s three-part video podcast series sponsored by HCLTech, Sudip Lahiri, Executive Vice President & Head of Financial Services for Europe & UKI at HCLTech examines the critical relationship between data trust, transparency, and responsible AI implementation in financial services.

Banking's GenAI evolution: Beyond the hype, building the future
In the first episode of a three-part video podcast series sponsored by HCLTech, Sudip Lahiri, Executive Vice President & Head of Financial Services for Europe & UKI at HCLTech explores how financial institutions can navigate the transformative potential of Generative AI while building lasting foundations for innovation.

Beyond compliance: Building unshakeable operational resilience in financial services
In today's rapidly evolving financial landscape, operational resilience has become a critical focus for institutions worldwide. As regulatory requirements grow more complex and cyber threats, particularly ransomware, become increasingly sophisticated, financial services providers must adapt and strengthen their defences. The intersection of compliance, technology, and security presents both challenges and opportunities.

Unleashing generative AI: A force multiplier for financial crime teams
This FStech webinar, sponsored by NICE Actimize sees industry experts examine the revolutionary impact of generative AI on financial crime operations, and provides actionable insights to enhance your compliance strategies.