X International conference�“Information Technology and Implementation” (IT&I-2023)�Kyiv, Ukraine

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Dedicated to the tenth anniversary of the Faculty of Information Technology

Basic scenario reports and information algorithms intelligent system of financial monitoring

Undoubtedly for all countries is the question of the importance of combating the illegal circulation of funds, which is a financial source of ensuring the possibility of criminal activities, such as drug and arms trafficking, human trafficking, terrorist attacks, and others.

The development of information technology, increasing the rigidity of requirements for the reliability of financial transactions, defines a number of new tasks for specialists in the field of financial analytics to improve existing and develop new banking audit service software products in the areas of developing combined scenarios for solving individual problems, constantly updating algorithms (tasks) with taking into account the trends of the global financial market.

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Information Technology and Implementation, November 20, 2023, Taras Shevchenko National University of Kyiv, Kyiv, Ukraine

To solve financial monitoring problems a group of specialists from the Analyst-1 information and analytical company has developed and is constantly improving Integrated Software Package for Preventing Abuses in Financial Practices (ISPPA in FP) - a package of integrated software for preventing abuse in financial practice.

Currently, there are two ways for ISPPA in FP to interact with automated accounting systems: integration and conditional integration. In the case of interaction between ISPPA in FP and an automated accounting system using the integration method, the ISPPA in FP system is directly connected via a local network to data arrays (DBMS) formed in an automated accounting system, and in the reading mode receives data online for further processing. As a result of data processing, templates of dubious transactions and schemes are formed that can be used by clients when carrying out transactions in a financial institution. A library of such templates is formed into a protective shield designed to prevent dubious operations or the use of dubious schemes for such operations.

In the case of interaction between ISPPA in FP and an automated accounting system using conditional integration, the ISPPA in FP system receives data in file mode - offline.

Basic script reports and their concise descriptive algorithm

Consolidated reporting is defined in a period of one month. There are 17 basic scenario reports:

1. The "Financial Assistance" limitation provides for the possibility of making samples for the assignment of payments (according to the "FINANCIAL ASSISTANCE" directories) within the defined turnover and with established interest limits.

2. The "Securities" limitation provides for the possibility of making samples for the assignment of payments (according to the "SECURITIES" directories) within the defined turnover and with the established interest limits.

3. The restriction "Payment for goods without VAT" implements the possibility of making samples for the assignment of payments (according to the directories) "FOR GOODS WITHOUT VAT" within the defined turnover and with established interest limits.

4. Crediting to the accounts of individuals from legal entities (J--->P) allows you to identify the total amounts of turnover per month on the account(s) of an individual that exceeds the established limited threshold.

5. Reimbursement of insurance payments involves the return of insurance payments to the client's account exceeding the total established limit.

6. Balance at the end of the day. (In the period of one month, the client's balance at the end of the day is less than given % of the credit turnover for the day).

7. The restriction "Assignment of claim rights" allows you to implement the possibility of carrying out samples for the assignment of payments (according to the directories) "ASSIGNMENT OF CLAIM RIGHTS" within the defined turnovers and with established percentage limits with the exclusion of defined GROUPS of clients from the reports.

8. The restriction "Refunds" allows the possibility to carry out samples on the assignment of payments (according to the directories) "REFUNDS (ERRORLY CALCULATED COSTS)" within the defined turnovers and with the established percentage limits with the exclusion of defined GROUPS of clients from the reports.

9. Transfers from legal entities to individuals. (For a period of one month, the generally limited threshold of transfers by legal entities (Dt. Turnover) of funds to the accounts of individuals (Ct. Turnover) exceeds 55% of all debits from the accounts of legal entities).

10. Foreign exchange payments (import). (Selection of all clients who transfer funds abroad under contracts with a threshold amount in hryvnia equivalent).

11. Transit transactions (turnovers with a difference in amounts of +- 5% within 60 min)

12. Verification of relation to Public Persons. (Selection of all clients who are public entities and who conducted transactions with their counterparties).

13. Verification of the client's compliance with the segment. (Selection of all customers that exceed the declared segment turnover).

14. Turnovers with counterparties who are included in the Bank's emergency situation (Selection of clients who have turnover with clients from NVR).

15. Transactions with counterparties from external emergencies. (Selection of clients who have turnover with clients from emergency situations.).

16. Receiving budget payments. (Receipts to client accounts from budgetary organizations).

17. Grinding. "Grinding" includes a client who performs transactions, or for whom another counterparty performs transactions with a total number of >=3, for a total amount of >=450000.00 during one day. At the same time, the purpose of operations must match by >= 70 percent.

A statistical approach to selecting the number of payments to check

Let the observation units (payments) be characterized by a wide range of value parameters - from several thousand hryvnias to values exceeding 1 million hryvnias. It was decided to check payments for a certain period of time, the total number of which is 5,000. Since the range of value indicators is large, the observation units will be divided into 4 value intervals according to the selective method of stratification (the first column of Table 1).

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Table 1

Based on considerations about determining the minimum required sample size of the researched observation units, which representatively characterize the entire general population, with the corresponding indicators of confidence probability and confidence error of observations, it is determined according to the formula:

Thus, the minimum number of selected payments for verification is

Thus, it is necessary to select 135 observation units with value parameters below the threshold of significance, from the total number of them, equal to 5000.

Conclusion

The ISPPA in FP software product, which uses seventeen basic scenario reports as criteria algorithms, allows the creation of a flexible information model that makes it possible to quickly integrate with a variety of banking products (the bank's operating day), as well as the creation of a technological map of diverse testing of the integration with using functional analysis, analysis of limit values broken down into equivalence classes and taking into account multi-level mathematically integrated components to test the structural and functional criteria of software. Also, in the article, a statistical approach to selecting the number of payments to check is presented. With the use of the described approach count of payments to check for each layer was presented.

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Thank you for your attention