Bad Eggs

"The sharing economy struggles with the same issues facing bitcoin, the crypto-currency that has been criticized for its facilitation of money laundering and criminal activity as well as a lack of safety for its buyers." 

- David Weiner, Wall Street Journal, 22 May 2014

What is Bad Eggs?

A Passive Money Laundering

Monitoring System

The Problem

1. It is a criminal offence for any natural or legal person to: deal with the funds of designated persons.
   1. Under The Al Qaida and Taliban (United Nations Measures) Order 2006 and the Terrorism (United Nations Measures) Order 2006
2. Accountants and lawyers do not check their clients against sanctions lists.
   1. ​According to the Law Society UK, 48% of respondents said that they did not check their clients against sanctions lists.
3. It is not cost effective for SMEs to keep track of these lists.

The List

The Solution

Bad Eggs is a quick and passive way for SMEs to be alerted of doing business with individuals or companies on the sanctions list.

The Market

"Billions of pounds of corrupt cash are flowing through the UK’s financial sector, according to an official report." - Vanessa Houlden, FT

5 Million Businesses X £500 to check = £2.5 Billion

The Customer Journey

Bob is the CEO of JetShare, a London based private jet sharing business.

Xavier is a drug dealer based in Acity, Acountry who just scored £100K in an illegal deal. He wants to launder his money through his company, Dodgy Limited.

The Customer Journey

1.) Bob goes to www.badeggs.com and creates an account. He enters the bank account for his company and accepts the terms.

The Customer Journey

2.) Xavier sets up two recurring payments. First, he pays BreatheBnB £1000 per day for 60 days to rent luxury suites in Paris, Rome, and Berlin. Second, he pays Bob £3500 per month for 10 months to use one of Bob's jets to fly to his rented flats around the world.

The Customer Journey

3.) The Bad Eggs app makes an API call to the Open Bank Project to retrieve Bob's incoming and outgoing transactions. The transaction data includes the £3500 payment from Xavier's company, Dodgy Limited.

The Customer Journey

4.) The Open Corporates API performs a lookup on the Open Bank Projects list of counterparties/payors. It returns a brief summary of each payee including information about Dodgy Limited.

The Customer Journey

5.) Our self-made Sanctions API matches all payor/counterparty names against a current list of all persons and entities subject to sanctions in the UK. Source: http://www.hm-treasury.gov.uk/fin_sanctions_index.htm

The Customer Journey

6.) Bob recieves a push notification on his phone to say that the incoming payment of £3500 from Xavier's company a transaction is potentially fraudulent. He submits a suspicious activity report (SAR) to the National Crime Agency.

The Customer Journey

7.) He shares the company online through the Bad Eggs social media sites (Trust)

The Benefits

Businesses don't have to rely on their accountant to tell them if they are doing business with a sanctioned company(Disintermediation)

Bob just has to log in and Bad Eggs takes care of the rest! We monitor his transactions and alert him of any suspicious activity

Any Questions?

• Dalton
• James 
• Matti