Sustainable Development Goals and Anti-Money Laundering: The Influence of Potential Human Biases on Customer Due Diligence Mechanism in the Malaysian Financial Sector

Objective: The study explores the challenges of customer due diligence concerning anti-money laundering and human biases. Theoretical Framework: The study is based on the theory of Crying Wolf. This theory discusses the over-reporting and extra consciousness during the monitoring of customer due diligence. Method: The study achieved its objective by applying a qualitative case study technique. Further, interviews were conducted by the different officers from the target organisation. Results and Discussion: The study concluded that computer assistance is paramount while performing customer due diligence. However, the critical element is still the human agent in the mechanism of CDD. Only the human agent can notice and record the impulsive feeling while performing customer due diligence. Therefore, robust customer due diligence cannot be accomplished without accurately deploying the human agent. Thus, for significant success against organised crimes, especially in financial institutes, reliance on unbiased human agents is critical. Research Implications: Therefore, the study recommended that a workable combination of machine and human agents is compulsory for robust and result-oriented implementation of customer due diligence regulations. Originality/Value: Rare studies have explored the human and machine contradictions while executing customer due diligence.