Digital Banking

Revolut’s CFO Departs Amid AML Saga

Digital Banking

Amid controversy around an anti-money laundering system, Revolut CFO Peter O’Higgins resigned from the firm. O’Higgins didn’t mention the issue in his resignation statement, according to reports.

O’Higgins said per the reports, “Having been at Revolut for almost three years, I am immensely proud to have taken the company from £1m revenue to £50m revenue during this time. However, as Revolut begins to scale globally and applies to become a bank in multiple jurisdictions, the time has come to pass the reigns over to someone who has global retail banking experience at this level.”

His statement comes following a report from the Daily Telegraph that said the company turned off a system for anti-money laundering (AML) due to its tendency for false positives. The system was said to be inactive from July to September of last year. However, in a blog post, Revolut CEO Nik Storonsky said the company moved from “a more advanced sanctions screening system” to one that the company used before temporarily.

“At no point during this time did we fail to meet our legal or regulatory requirements,” Storonsky said in the post. “We conducted a thorough review of all transactions that were processed during this time, which confirmed that there were no breaches.”

Revolut said earlier this month that it is the first digital bank of its kind to break even on a monthly basis. That result was reportedly bolstered by a quickly growing base of users along with a new suite of products that upped its revenues. As it stands, the bank has 1.5 million European clients. Storonsky told Reuters that the results from December were in line with the trends the company saw during 2017 and he forecasts them to continue through 2019: He said, “In January we had an even stronger month … and again we are up 20-25 percent on revenues compared to December.”

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