Regardless of the positions we take locally, on the Int’l Scene we are only seen as Guyana

Mar 16, 2014 Letters

His Excellency President Donald Ramotar – President of the Co-operative Republic of Guyana
Honorable David Granger – Leader of the Opposition
Honorable Khemraj Ramjattan – Leader of the Alliance for Change

Dear Sirs,

RE: THE AML/CFT AMENDMENT BILL

I am writing to express that I am deeply concerned about the delays in passing the amendments to the Anti-Money Laundering/ Countering the Financing of Terrorism Bill 2009 (AML/CFT) that are necessary for Guyana to comply with International Standards and to offer my views on the way forward.
It is my understanding that non-compliance to these standards will bring significant burdens on local businesses and their customers if counter measures are applied by our international trading partners as a result of Guyana appearing on any ‘watch list’. It must be noted, that in the Financial Sector, Guyana is already known as a high risk and low margin market for our international counterparts and any further deterioration of their margins or increase in risk may result in their withdrawal of service to us.
I take note of the work of the Parliamentary Select Committee and the fact that the original amendments in the bill placed before them were all accepted after some corrections were made. I further note that these amendments are sufficient to comply with the minimum standards of the Financial Action Task Force when passed and will result in compliance from the legislative perspective.
With regards to the additional amendments proposed by APNU, I believe in good faith, some compromises can be achieved as follows:
• The idea of having a Money Laundering Authority or Board is a good one. However, its members should be independent and appointed on technical and professional merit only.
• The recommendation to have a parliamentary appointments committee select the Director of the Financial Intelligence Unit (FIU)has several limitations and may impede on the objectivity and effectiveness of the unit. However, the Authority mentioned above should serve as the Board of the FlU and will be responsible for the appointment of the Director as in the manner of the Board of a Company appointing a CEO. The Authority should be responsible for governance and oversight of the work of the FIU. It is my understanding that the FIU is not a law enforcement agency but an intelligence gathering agency supporting the Police and the Public Prosecutors in their law enforcement and justice efforts.
• Cash seizures should only be done at the points of entry and exit of the borders as is currently allowed by the AML/CFT Act of 2009 and recommended by FATF standards. If cash seizures are necessary for persons being investigated or under suspicion of money laundering within the borders, I recommend that the Police or Prosecutors obtain an Order of a Court issued by a Magistrate or Judge.
I hope all of you can find some merit in my proposals above.
In conclusion, I wish to further state that issues requiring compliance to International Standards and Conventions, when used as bargaining tools in the local political arena to extract political gains or wins from each other are dangerous and threaten the reputation of the Country as a whole. Regardless of the positions we take locally, on the International Scene we are only seen as Guyana, irrespective of which Party is in Government or Parliament.
In this regard, the amendments required to be passed for the AML/CFT Act of 2009 should not be tied or made conditional on any other local political objective being accomplished. I am convinced that there are many other opportunities which exist for such negotiations to take place.
I urge the Parties addressed in this letter to pass the amendments necessary to comply with the legislative requirements of the FATF Standards and to implement those standards rigorously to root out from our society the use of proceeds derived from criminal activities.
Dr. Yesu Persaud
Concerned Citizen of Guyana