Audit of the Central Bank

The initial audit of the Central Bank for suspicious organizations is now carried out by the robot

Artificial intelligence will help the Central Bank to look for suspicious financial organizations with signs of pyramids. In February 2019, it became known that IT specialists of the Central Bank of the Russian Federation created a special robot-investigator based on neural networks and machine learning. The system simulates the behavior of a living person who is interested in easy income. The robot is engaged in posting messages with keywords and responds to it by managers of gray financial organizations. The bot is able to answer questions in chats, which are usually asked to new customers. As a result of the investigation, repressive measures are applied to suspicious organizations. In particular, the Central Bank has already experienced the fight against one known financial pyramid. The domains of the organization turned out to be separated (terminated earlier than due date). Apps have been removed from Google Play and Apple Store.

Audit of the Central Bank ends with long bureaucratic procedures

Dedelegation of a domain is a complex and not always efficient process. The Central Bank appeals to the prosecutor’s office, having evidence of an offense. The State body for the supervision of compliance with the law forms a lawsuit in court. That, in turn, in the case of a positive decision applies to Roskomnadzor to block domains.
The process takes an average of six months. During this time scammers can redirect traffic to domains not connected with the Russian Federation.

On the wreckage of a certain doubtful financial organization, several small ones are usually organized, and the Central Bank’s robot will speed up their detection. In the process of functioning of the system false-lawyers who for a nominal fee allegedly are ready to help to return lost funds, to organize a judicial process etc. have been found.

In general, from 2015 to 2018, about 700 organizations with signs of fraudulent schemes were identified. In 2015, 200 pyramids were found, in 2016 — 180, and in 2017 — already 140. Most of the suspicious organizations found had legal registration in Russia in the format of LLC or consumer cooperatives. Also a lot of Forex service providers are recognized by the Central Bank as organizations that deceive consumers. In particular, in January 2019, the licenses of five Russian LLC which offered clients trading services in the Forex market. All of these companies have been convicted of illegal lending activities and large cash transactions in the system. Also forex dealers provided false information to tax authorities.

At the end of 2019 it also became known that the Central Bank called the main cryptocurrency of the world Bitcoin as a financial pyramid. Central Bank officials explained to the press that BTC is not a security or asset. “A digital coin is worth nothing but the amount of electricity and time spent on it. Even worse, if someone bought Bitcoin for cash,” — in the department of national payment system of the Central Bank commented.