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Massive SWIFT-related scandal in Australia


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Westpac considered that the SWIFT payment network was costly and not an efficient means of sending low-value, large-volume payments for clients of global banks that need to make and receive payments around the world.

Westpac is Australia's second largest bank, and they're a Ripple partner.

According to this article, a major bank was so desperate to avoid SWIFT, they developed their own cross-border payment solution that wasn't even compliant with regulations. :o

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I’m not sure about the Ripple Westpac connection.  Someone here who works there said they were not using Ripplenet.  It also seems odd they would create their own rather than just use Ripplenet as a cheaper alternative to Swift.

Its all very difficult to know what’s going on looking in from the outside.

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9 hours ago, OzAlphaWolf said:

I'm pretty sure Westpac was on the Ripple global steering committee at one point. I do remember their logo on the Ripple website.

Plenty of info on this thread. If Freaky is to be believed (he claims he works in the IT team at Westpac), XRP/Ripple is definitely not involved in the AUSTRAC breaches because Westpac isn't using any Ripple tech in a production environment:

What Westpac did, however, is pretty extraordinary. Not only in terms of the scale of the breaches but in the technique used: setting up a bilateral arrangements that skirted around the SWIFT messaging system as well as AML/KYC requirements, allowing Westpac and its correspondent banking partners in the Philippines to perform international remittance transfers without much reporting or oversight.

This was done by the relevant banks basically because - and here is the punchline - SWIFT is too slow and too expensive and the Phillipines remittance market is red hot and highly competitive:

https://www.michaelwest.com.au/swerving-swift-the-story-behind-westpacs-money-laundering-calamity-aundering-calamity/

This has to be a rallying cry for Ripple and FlashFX. Please tell me they are beating down the doors of AUSTRAC, ASIC, APRA and the Federal Government here in Australia to promote ODL and xCurrent. If they need help, I'm sure there's more than a few fellow Australian members here who would gladly help with the effort.

Come on Ripple - seize the moment!

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Westpac have been involved with ripple for a long time(2015??) and  are on the RippleNet Committee.

see here: https://www.ripple.com/ripplenet-committee/

Even the quote at the bottom is from a Westpac executive.

"A common set of standards and protocols is critical for the integrity of any platform that transfers money across borders. This is an important milestone for banks to embrace distributed ledgers in the move from proof-of-concept to commercial-ready solutions.

Mike Baldwin, Head of Transactional Solutions, Global Transactional Services at Westpac Institutional Bank"

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16 hours ago, Pablo said:

Plenty of info on this thread. If Freaky is to be believed (he claims he works in the IT team at Westpac), XRP/Ripple is definitely not involved in the AUSTRAC breaches because Westpac isn't using any Ripple tech in a production environment:

What Westpac did, however, is pretty extraordinary. Not only in terms of the scale of the breaches but in the technique used: setting up a bilateral arrangements that skirted around the SWIFT messaging system as well as AML/KYC requirements, allowing Westpac and its correspondent banking partners in the Philippines to perform international remittance transfers without much reporting or oversight.

This was done by the relevant banks basically because - and here is the punchline - SWIFT is too slow and too expensive and the Phillipines remittance market is red hot and highly competitive:

https://www.michaelwest.com.au/swerving-swift-the-story-behind-westpacs-money-laundering-calamity-aundering-calamity/

This has to be a rallying cry for Ripple and FlashFX. Please tell me they are beating down the doors of AUSTRAC, ASIC, APRA and the Federal Government here in Australia to promote ODL and xCurrent. If they need help, I'm sure there's more than a few fellow Australian members here who would gladly help with the effort.

Come on Ripple - seize the moment!

You an aussie pablo?

 

This has blown up big time. What better solution than blockchain!!!

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