General Course Information

1.1 Course details

Course code: LLAW6256
Course name: Law of Anti-money Laundering and Counter-Terrorist Financing and Compliance Issues
Programme offered under: LLM Programme
Semester: Second
Prerequisites / Co-requisites: No
Credit point value: 9 credits
Cap on student numbers: 50

1.2 Course description

Money laundering and terrorist financing are examples of financial crimes that can, among other things, undermine the integrity and stability of financial institutions and the economic system at large, deter foreign investment, and distort international capital flows. Money launderers and terrorist financiers are now deploying increasingly sophisticated methods and schemes to disguise and achieve their illicit purposes, and are particularly attracted to exploit those jurisdictions with weak or ineffective anti-money laundering ( ML and counter-terrorist financing ( TF controls. Thus, developing a solid and comprehensive understanding of the concepts of money laundering and terrorist financing as well as keeping abreast of the respective regulatory frameworks are crucial to appreciating and managing such risks and challenges in the context of a financial services business.

This course is designed to not only provide students with an overview of the legal and regulatory aspects of AML and CTF, but also to equip students with practical skills and best practices to detecting and managing these types of financial crime risks in a financial institution setting.

The first module of this course examines the concepts of money laundering and terrorist financing. These concepts will be contextualised against the international efforts that been deployed to combat these illicit activities. The Hong Kong AML and CTF framework and the roles of the respective enforcement agencies will be considered, with the relevant rules and regulations being discussed. The second module looks into the key components of a sound and effective AML and CTF compliance programme in a financial institution. The way how this programme should be embedded within the broader internal control, risk management, and governance framework will also be considered. The third module focuses on some thematic issues of an AML and CTF compliance programme (e.g., customer due diligence, escalation and exit strategies, detection of suspicious activities, suspicious transaction reporting, dealing with customers and regulators) and topical trends (e.g., role of professionals, use of AML and CTF technologies).

In addition to the regular lectures, students will be provided with an opportunity to deliver group presentations and be expected to participate in in-class discussions on different case studies, court cases, and topical AML/CTF issues. Where appropriate, practitioners from the relevant field will be invited to share with students their experience and insights on how different AML and CTF issues come into play and are being detected/handled in practice.

1.3 Course teachers

Name E-mail address Office Consultation
Course convenor John Lee johncmlee@hku.hk N/A By email

Learning Outcomes

2.1 Course Learning Outcomes (CLOs) for this course

CLO 1 Understand the nature and typologies of money laundering and terrorist financing risks that financial services firms face.

CLO 2 Demonstrate an awareness of the main legislations and regulations governing money laundering and terrorist financing, and the corresponding ramifications of non-compliance.

CLO 3 Apply the legal and regulatory requirements to the design and implementation of an effective anti-money laundering and counter-terrorist financing compliance programme.

CLO 4 Develop a working knowledge of the practical steps to detecting and managing money laundering and terrorist financing risks.

CLO 5 Critically assess case scenarios to detect areas of money laundering and terrorist financing risks, and propose sound and effective remedial actions.

2.2 LLM Programme Learning Outcomes (PLOs)

Please refer to the following link: https://course.law.hku.hk/llm-plo/

2.3 Programme Learning Outcomes to be achieved in this course



3.1 Assessment Summary

Assessment task Due date Weighting Feedback method* Course learning outcomes
Group presentation TBC 20% 5 1, 2, 3, 4, 5
Take Home Exam TBC 80% 1 1, 2, 3, 4, 5
*Feedback method (to be determined by course teacher)
1 A general course report to be disseminated through Moodle
2 Individual feedback to be disseminated by email / through Moodle
3 Individual review meeting upon appointment
4 Group review meeting
5 In-class verbal feedback

3.2 Assessment Detail

To be advised by course convenor(s).

3.3 Grading Criteria

Please refer to the following link: https://www.law.hku.hk/_files/law_programme_grade_descriptors.pdf

Learning Activities

4.1 Learning Activity Plan

Lecture: 3 hours / week for 12 teaching weeks
Private study time: 9.5 hours / week for 12 teaching weeks

Remarks: the normative student study load per credit unit is 25 ± 5 hours (ie. 150 ± 30 hours for a 6-credit course), which includes all learning activities and experiences within and outside of classroom, and any assessment task and examinations and associated preparations.

4.2 Details of Learning Activities

To be advised by course convenor(s).

Learning Resources

5.1 Resources

Reading materials: Reading materials are posted on Moodle
Core reading list: TBA
Recommended reading list: TBA

5.2 Links

Please refer to the following link: http://www.law.hku.hk/course/learning-resources/