Revolut compliance boss resigns amid restructuring

Revolut’s chief compliance officer has resigned following a restructuring of the digital lender’s risk division.

Harry Gill, Revolut’s global head of regulatory compliance and a member of its management team, has resigned after the company’s chief executive, Nikolay Storonsky, overhauled the department, sources say.

The resignation follows a series of senior executive departures at Revolut in recent months, including its head of operational risk and compliance in the UK.

The overhaul of Revolut’s risk and compliance department, known as its ‘second line of defence’, has meant employees have been moved to other parts of the business instead of the bank reducing the overall workforce, according to The Sunday Telegraph.

However, Mr Gill’s resignation came as a surprise as he was recently named an inaugural member of Revolut’s exclusive ‘global partnership’, which was set up to ‘lay the foundations for senior leaders to propel the business into the years ahead. coming”.

The chief compliance officer was one of 17 employees to be named a partner last July. Revolut said being elected to its partnership is “extremely difficult”, adding: “Our partners are a small group of very talented colleagues, elected on the basis of their contribution to the whole organization and their continued commitment to our core values”.

It also comes as challenger banks face growing regulatory pressure to tighten controls on financial crime and money laundering.

Last month, the Financial Conduct Authority (FCA) accused digital newcomers of cutting corners in the fight against money laundering so customers can quickly set up accounts after a review.

Although Revolut was not involved in this particular review as it is licensed in the UK as a so-called ‘e-money issuer’, the bank has been challenged in the past over its controls.

In 2019 he faced questions from the FCA after it emerged the lender “made a mistake[ly]” disabled an automated system for reporting potential money laundering for several months the previous year.

The seven-year-old digital bank is now valued at $33bn (£26bn) after its last funding round last summer.

Mr Storonsky, a 37-year-old former Lehman Brothers and Credit Suisse employee who founded the company in London in 2015, has a paper fortune of $7.9 billion as a result of the fundraising.

Ukrainian Vladyslav Yatsenko, another co-founder of the company and head of its engineering team, previously worked at UBS, Deutsche Bank and Credit Suisse.

Mr Storonsky, who was born in Russia, condemned Vladimir Putin’s invasion of Ukraine.

In March he said: “Although I am from Russia and am now a British citizen, I am also Ukrainian by origin. My father is Ukrainian. I have family and friends all over Ukraine – from people I care deeply about and about who concern me enormously.

“So to me, like so many others, the idea of ​​a war between Russia and Ukraine is not only horrifying, it’s almost impossible to believe. As recently as last week, I was still confident that a diplomatic solution would be found, and it was with utter disbelief and sadness that I watched the violence of the past week.”

A Revolut spokesperson said: “We have not cut any risk and compliance jobs. On the contrary, we have a strong risk and compliance team of over 250 people, our team Legal has more than 100 people and we are actively recruiting for these two teams.

Mr. Gill has been contacted for comment.

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