Challenge

Managing compliance requirements with significant growth in transaction volume

Pleo faced significant growth and increased transaction volume, leading to compliance concerns related to anti-money laundering (AML) regulations. As a financial services company, Pleo needed to comply with the 5th EU Anti-Money Laundering (AML) Directive, which aims to combat money laundering and terrorist financing. As the volume of transactions grew, Pleo's in-house AML system became inefficient, leading to scalability concerns.

In-house AML system leading to inefficiencies and siloed processes

Pleo's in-house AML system resulted in inefficiencies and siloed processes. The compliance team used external systems such as Jira and Excel spreadsheets to manage information from multiple sources, which made it time-consuming and difficult to manage AML processes. This led to a need for a more efficient and scalable solution that could keep pace with Pleo's rapid growth.

High false positive rate resulting in time-consuming case management

The high false positive rate of 99.7% was concerning as transaction volumes continued to rise. The compliance team was eager to transform its processes so that it could manage its caseload in a faster and smarter way. The team was looking for a solution that could reduce false positives and minimize the number of cases that they had to handle.

Solution

Partnering for Success

Lucinity's AI and behavioral detection-driven AML solution was the best fit for Pleo's compliance needs. Lucinity's solution offered scalability, modern API integration, and an AI-driven system that minimized false positives and case management time. Pleo implemented Lucinity's four core products, including Transaction Monitoring, Case Manager, Actor Intelligence, and SAR Manager, which streamlined AML processes and improved efficiencies.

During the implementation process, Lucinity provided an unparalleled experience, with a sandbox environment called Play Now, process mapping and requirements gathering in an in-person workshop, and ongoing support and maintenance to ensure successful adoption of the product.

Results

Reduced daily caseload by 70% through transaction monitoring and case management capabilities

Pleo has seen remarkable improvements in their AML processes since implementing Lucinity's solution in December 2022. Their daily caseload reduced by 70%, from 160 cases to just 50, thanks to the transaction monitoring and case management capabilities of Lucinity. This has allowed Company's AML team to focus on higher-value work and improve their overall efficiency.

Reduced false positive rate from 99.7% to 21% with AI-powered behavior monitoring

Lucinity's AI-powered behavior monitoring helped Pleo reduce their false positive rate from 99.7% to just 21% over the period from December 8, 2022, to February 28, 2023. This has significantly improved the AML process efficiency and reduced the time spent on case management. Lucinity's AI-driven system also minimized false positives, enabling the team to focus on higher-value work.

Improved AML process efficiency and compliance with scalable, integration-friendly AML solution

Lucinity's solution has been scalable and integration-friendly, enabling Pleo to keep pace with its rapid growth while maintaining AML compliance. The solution has streamlined AML processes, improving the efficiency of the compliance team.

Lucinity's implementation process was successful due to its unique approach, including a sandbox environment for testing, process mapping and requirements gathering, and ongoing support and maintenance. The successful implementation has enabled Pleo to improve their AML processes significantly and has given them the confidence to expand Lucinity's use to two more products in their portfolio.