In this episode of The SIFMA Podcast, we recap key moments from SIFMA’s 2025 Anti-Money Laundering & Financial Crimes Conference, held in Washington, DC. SIFMA President and CEO Kenneth E. Bentsen, Jr., is joined by Saima Ahmed, SIFMA’s Executive Vice President and General Counsel, and Bernard Canepa, Managing Director and Associate General Counsel at SIFMA, to discuss insights from the conference’s moderated keynote sessions. Highlights include conversations with:

• Dr. Michael Faulkender, Deputy Secretary at the U.S. Department of the Treasury
• Antonia Apps, Deputy Director of Enforcement at the U.S. Securities and Exchange Commission
• U.S. Senator Mark Warner of Virginia.

Transcript

Edited for clarity 

Kenneth E. Bentsen Jr.: Hello and thank you for joining us for this episode of the SIFMA Podcast. I am Ken Bentsen, President and CEO of SIFMA and your host today. From May 12-14, SIFMA held its 25th annual Anti-Money Laundering and Financial Crimes Conference (SIFMA AML), which gathered AML, financial crime, and sanctions professionals, regulators, and law enforcement to discuss the most consequential issues facing the capital markets and the latest approaches to protecting the integrity of the global financial system.

Today, I’m joined Saima Ahmed, SIFMA’s Executive Vice President and General Counsel, and Bernard Canepa, Managing Director and Associate General Counsel, to discuss and hear more from the Conference’s moderated keynote sessions, including; Dr. Michael Faulkender, Deputy Secretary at the U.S. Department of the Treasury; Antonia Apps, Deputy Director, Enforcement at the U.S. Securities Exchange Commission (SEC); and U.S. Senator Mark Warner of Virginia. Comments and questions are welcome; listeners can reach us at [email protected]. Before we begin, Bernard, would you like to share any takeaways from the conference this year?

Bernard Canepa: Thank you, Ken. This year marked the 25th anniversary of the conference, as you noted in your opening. This conference began 25 years ago with a dedicated group of professionals meeting to fight money laundering, even before broker-dealers became subject to Bank Secrecy Act requirements in 9/11’s aftermath. Among other notable moments, it touched me hearing how that tragic event shaped their careers fighting money laundering, terrorist financing, and other financial crimes, to protect investors and the U.S. financial markets. It was a pleasure working with our members on the conference planning task force to develop a program that looked back to the beginning to understand how we got here, and where we are going. In other words, what our members can expect will impact their AML and financial crimes programs in the near future, for example, generative AI and digital assets. I want to express my gratitude to our attendees, speakers, panelists, sponsors, and my colleagues at SIFMA for making our 25th annual conference in DC a success this year.

Bentsen: Let’s dive into the Conference’s keynote sessions, beginning with Treasury Deputy Secretary Michael Faulkender. He covered a lot of ground, from the Trump administration’s priorities to address cartel activity, terrorist financing including Iran, and fentanyl and human trafficking, to the recent developments around the Corporate Transparency Act and Customer Due Diligence requirements, including Treasury’s announcement that it would not enforce penalties under CTA reporting requirements. What were some of your main takeaways from the Deputy Treasury Secretary?

Canepa: Thank you, Ken. Dr. Faulkender stressed that Treasury is focused on striking the right balance between promoting economic growth and prosperity while upholding the security of financial markets. He emphasized the importance of modernizing oversight, so compliance is not unnecessarily burdensome or costly, allowing firms to innovate and grow while rooting out bad actors committing illicit finance. He recognized that the AML Act of 2020 hasn’t been fully implemented, and that Treasury must bring together stakeholders to fully realize a risk-based approach that allocates resources appropriately, particularly to national priorities and the highest risks, and bringing examiners on board with this approach, which is very different from a check-the-box exercise.

He also discussed the evolution of digital assets and blockchain technology, noting both the opportunities and risks they present. He said Treasury recognizes the potential for faster, cheaper payments but stressed the need for strong safeguards to prevent illicit finance. He emphasized that the U.S. must be the standard setter in both innovation and regulation to ensure the digital asset future is led by America and that digital assets don’t become a tool for those committing illicit finance or financial fraud.

On U.S. sanctions, the questions he presented illuminate how the new Administration might be thinking about sanctions policy, which we’ll hear about shortly. Finally, Dr. Faulkender underscored the importance of improving information sharing between Treasury, regulators, and financial institutions. He said the aim is to move away from a “gotcha” mentality and toward a collaborative approach, where the private sector works with regulators to identify and manage real risks, rather than just ticking compliance boxes.

Bentsen: And now, hear directly from the Treasury Deputy Secretary’s keynote, moderated by SIFMA’s COO Joe Seidel:

Replay of Keynote Address: U.S. Department of the Treasury

Bentsen: Now, moving to SEC Enforcement Deputy Director Antonia Apps’ keynote address. Saima, thank you also for being with us today. In your conversation, Apps discussed the SEC’s enforcement posture under the new Administration and the focus on core enforcement priorities. What did she have to say about the SEC’s regulatory landscape and the significance to broker-dealers and investment advisers?

Saima Ahmed: Thank you, Ken. SEC Enforcement Deputy Director Antonia Apps discussed what we expect will be the Enforcement Division’s more measured approach under new SEC Chairman Paul Atkins. She opened by emphasizing the Division’s commitment to investor protection and holding those engaged in fraud and illicit finance accountable. At the same time, she noted that this administration is more receptive to industry concerns around regulatory burden and is seeking to better balance robust enforcement with fairness and transparency.

Deputy Director Apps stated that self-reporting, cooperation, and remediation will be rewarded under the current SEC regime for firms that demonstrate a willingness to do the right thing. She explained that the Enforcement Division is now more attuned to whether an independent compliance consultant (ICC) is truly necessary. By contrast and by way of example, ICCs were required in the overwhelming majority of the off-channel Enforcement cases brought under the prior SEC administration. Going forward, Antonia explained that if a firm has fully remediated and addressed its compliance issues, the Division will be more readily persuaded that an ICC does not need to be imposed. However, ICCs may still be required when the Division believes the firm is not getting the message. Antonia emphasized a greater focus on preventing mission creep and ensuring that, when required, ICCs operate within the confines of their intended purpose.

She also addressed the SEC’s return to its policy of generally granting requests for a Wells meeting, noting that the SEC Chair places strong emphasis on due process. She reiterated that the agency is committed to ensuring defense counsel has full and fair access to relevant information, enabling them to properly advocate on behalf of their clients.

On the topic of regulatory coordination, the Deputy Director acknowledged that with respect to potential AML violations, firms are often under the purview of multiple regulators at once, including FinCEN and FINRA. The SEC is aware of these dynamics and is committed to avoiding regulatory duplication through enhanced communication and collaboration with other agencies.

On the topic of digital assets, she said that the SEC is focused on establishing a clear, fit-for-purpose regulatory framework through the SEC Crypto Task Force, while the newly formed Cyber and Emerging Technologies Unit will investigate fraud and cyber misconduct.

Overall, Deputy Director Apps conveyed a strong desire to engage constructively with the industry, to uphold fairness and transparency, and ensure that enforcement efforts remain aligned with the SEC’s core mission: to protect investors and safeguard the integrity of the financial markets.

Bentsen: I think that sums it up nicely, but now let’s let our podcast audience hear a bit more from their conversation.

Replay of Keynote Address: SEC Enforcement Deputy Director 

Canepa: Ken, you sat down with Senator Mark Warner of Virginia to talk about the congressional perspective on AML and illicit finance. He covered a wide range of issues, including emerging innovations and technologies, threats to U.S. national security and the financial system, and the role of legislators and regulators in navigating these risks and opportunities. What were some of your key takeaways from your conversation?

Bentsen: Senator Warner opened by highlighting the rapid pace of innovation in areas like payments, artificial intelligence, and digital assets, but stressed that the U.S. is not moving fast enough to modernize its regulatory and legislative frameworks to keep up. He pointed to strategic competition with China as the defining threat to the U.S. financial system. China is investing aggressively and starting to set global rules for emerging technologies: spaces where, in Warner’s view, the U.S. needs to reassert leadership. He discussed his bipartisan legislative efforts in AI, digital assets, and privacy aimed at ensuring that leadership.

On modernizing the AML/CFT regime, the Senator called for reducing unnecessary burdens on business, simplifying and streamlining compliance requirements, and continuing to pursue bipartisan solutions. He also spoke about the Senate’s stablecoin legislation, noting that it includes robust AML and BSA safeguards. He emphasized the need for broader market structure legislation and welcomed input from the financial sector and organizations like SIFMA to get it right.

Overall, Senator Warner argued that the U.S. needs to modernize its approach to address emerging opportunities and risks with AI, digital assets, privacy, and cybersecurity – and do so in a way that is bipartisan and tech-forward.

Canepa: Great summary, Ken. Now, let’s listen in to the conversation with Ken and Senator Warner.

Replay of Keynote Address: Senator from Virginia 

Bentsen: Saima and Bernard, thank you both for your thoughtful insights and discussion today. And thank you all for listening in. To learn more about SIFMA and our work to promote effective and resilient markets, please visit www.sifma.org.

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Related Resources

• Event

  Anti-Money Laundering & Financial Crimes Conference

• Blog

  Reflections from SIFMA’s 25th Annual AML Conference