Independent review affirms ThetaRay’s transaction monitoring and sanctions screening modules meet rising U.S. and EU regulatory expectations.

ThetaRay, a global leader in Cognitive AI financial crime compliance, today announced that Kaufman Rossin has completed an independent validation of its AML Transaction Monitoring and OFAC Screening Modules. Finalized in August 2025, the review confirms that ThetaRay’s AI models demonstrate the governance, transparency, and robustness regulators increasingly expect from AI-driven compliance systems. The announcement will be featured at Money20/20 USA, where the future of finance and compliance technology takes center stage.

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A timely milestone in a shifting regulatory landscape

In the United States, regulators are sharpening their focus on model risk management. FinCEN’s proposed modernization of the Bank Secrecy Act emphasizes dynamic, risk-based compliance programs and heightened oversight of third-party models. In the European Union, the newly enacted AI Act sets out strict requirements for high-risk AI applications, including financial services, covering transparency, human oversight, and lifecycle monitoring. Against this backdrop, independent validation of AI models for sanctions screening, transaction monitoring, and KYC is rapidly becoming an industry necessity.

What this means for financial institutions

• Audit-ready assurance: Banks and fintechs can point to independent validation of their technology vendor’s AI model when engaging with regulators and auditors.

• Accelerated adoption: Third-party validation helps compliance and risk committees approve AI solutions faster, cutting procurement timelines.

• Regulatory alignment: Assurance that AI systems for transaction monitoring, sanctions, and KYC meet rising expectations under U.S. supervisory guidance and the EU AI Act standards.

• Future-proof confidence: Customers can deploy AI knowing it is tested against model risk standards and designed to evolve with new regulations and typologies.

Executive Commentary

“Responsible deployment of AI means proving that our systems are not only innovative, but independently validated and trustworthy," said Jeff Otten, Chief Revenue Officer of ThetaRay. “That assurance is what regulators demand, auditors expect, and customers deserve.”

“Our review confirmed that ThetaRay’s AML and OFAC modules meet rigorous expectations for accuracy, transparency, and governance,” said Jason Chorlins, Financial Services Practice Leader at Kaufman Rossin. “This type of validation is increasingly vital as regulators demand accountability and oversight in the use of AI for financial crime compliance.”

ThetaRay plans to extend third-party validation to additional modules, refresh validation cycles regularly, and expand assurance frameworks into new jurisdictions, ensuring its AI platform remains aligned with evolving global standards.

About ThetaRay

ThetaRay harnesses the power of Cognitive AI for financial crime compliance, enabling financial institutions to precisely identify legitimate customers while flagging bad actors. The SaaS solutions overcome the limitations of traditional rule-based systems by shortening long implementation lifecycles, enabling efficient, risk-aware compliance operations. By transforming compliance from a regulatory obligation into a driver of growth, ThetaRay allows institutions to scale faster and expand confidently into new markets. By uncovering hidden criminal networks and delivering actionable insights, ThetaRay empowers organizations to combat evolving threats, maintain positive regulator relationships, and enhance customer experiences. Implemented at some of the world’s leading financial institutions including Santander, Clear Bank, Mashreq Bank, Payoneer, Onafriq and Travelex, ThetaRay helps financial institutions thrive, fostering trust and confidence across the global financial ecosystem. For more information, visit www.thetaray.com.

About Kaufman Rossin

Kaufman Rossin is one of the top accounting and advisory firms in the United States, providing audit, tax, business, and risk advisory services to a diverse range of clients. Founded in 1962, the firm is known for its commitment to exceptional client service, innovative thinking, and a people-first culture. Kaufman Rossin specializes in risk advisory services for financial institutions, helping banks, fintechs, and other financial organizations navigate complex regulatory environments and strengthen their compliance and risk management programs. With offices across Florida and a team of professionals serving clients nationwide and internationally, Kaufman Rossin helps businesses and individuals achieve success through trusted expertise and forward-looking insights.

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"Responsible deployment of AI means proving that our systems are not only innovative, but independently validated and trustworthy. That assurance is what regulators demand, auditors expect, and customers deserve.”