News Summary

Canadian FinTech startup Koho has introduced a generative AI tool designed to expedite investigations into money laundering and terrorism funding. This internal tool reduces the average investigation time from 95 minutes to 35 minutes, with potential to further decrease it to five minutes by assisting investigators in reviewing its work. The AI tool, which operates under the regulation of the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), does not replace human analysts but aids them in efficiently compiling reports. Koho’s primary customers, often living paycheck to paycheck, are particularly vulnerable to fraudulent activities. The tool helps investigators analyze transactions, identify money laundering or terrorism financing indicators, and gather information from the open web, all while ensuring data security and compliance with potential future AI regulations. As Koho continues to explore AI applications, it remains cautious about deploying customer-facing tools that handle personal financial data.