Germany's Federal Financial Supervisory Authority, BaFin, ordered financial technology unicorn N26 GmbH to take steps to enhance its anti-money laundering and terrorist financing procedures.
The German fintech has been mandated to increase staffing, ensure there is an adequate amount of technical and organizational equipment along with improving its compliance processes — mainly by establishing descriptions and workflows in writing.
Additionally, N26 must delete backlogs in IT monitoring and re-do due diligence checks on a certain amount of existing customers.
The order is effective from May 20 and the mandated measured must be implemented within a specified amount of time. However, the duration was not disclosed in the order published May 22.