.webp)
Published onÂ
June 24, 2025
Identity Fraud and Identity Theft

Accelerate AML Compliance: Meet Regulatory Demands with 80% Less Setup Time
Identity theft is when someone illegally gets another personâs personal information like their name, bank details, or ID numbers without permission. This can happen through:
- Online scams (phishing)
- Hacking into databases
- Stealing documents or devices
Read more: What is Card Skimming and How to Stay Safe from ATM Fraud?
What is Identity Fraud?
Identity fraud happens when the stolen information is used to do something illegal, such as:
- Opening fake bank accounts
- Applying for loans
- Making purchases or transferring money
- Laundering money or funding crime
Why It Matters in AML Compliance:
In AML (Anti-Money Laundering) efforts, identity fraud is a big risk because:
- Criminals can use fake identities to move illegal money through the financial system.
- It helps criminals hide their real identities.
- It can be used to avoid financial sanctions.
Banks and other financial institutions are required by law to use Know Your Customer (KYC) checks and monitoring tools to stop this from happening.
Real-Life Example: Matthew David Keirans Case
In the late 1980s, a man named Matthew David Keirans stole the identity of another man named William Woods. Keirans used Woodsâs name and information to:
- Get a job at a hospital in Iowa
- Apply for and receive more than $200,000 in loans in Wisconsin
- Live under Woodsâs identity for over 20 years
When Woods tried to prove his identity, Keirans sent false documents to police, leading to Woods being wrongly arrested and jailed.
How It Ended:
- In 2023, DNA testing proved Woods was innocent.
- In 2024, Keirans pleaded guilty to identity theft and fraud.
- In 2025, he was sentenced to 12 years in prison.
Why It Matters:
This case shows how dangerous identity theft can be. It also shows how fraud can go undetected if there are weak identity checks in place. Strong AML and KYC systems are necessary to catch this kind of fraud early and protect victims.
Streamline Compliance: Achieve 80% Faster Setup for Fraud Prevention

How Aseel reduced onboarding time by more than 87% using FOCAL
Learn how FOCAL empowered Aseel to achieve new milestones.


Mastering Fraud Prevention: A Comprehensive Guide for KSA and MENA Businesses
51% of organizations fell victim to fraud in the last two years, don't be caught off guard, act proactively.


Featured blog posts


Identity Fraud and Identity Theft
Learn how identity fraud and identity theft enable criminals to misuse personal data, highlighting the importance of AML and KYC in preventing financial crimes.
.webp)

Identity Fraud and Identity Theft
Learn how identity fraud and identity theft enable criminals to misuse personal data, highlighting the importance of AML and KYC in preventing financial crimes.
.webp)

Identity Fraud and Identity Theft
Learn how identity fraud and identity theft enable criminals to misuse personal data, highlighting the importance of AML and KYC in preventing financial crimes.
.webp)





AI-Driven Precision in Fraud Risk and AML Compliance

