FATF to visit Guyana to verify AML/CFT reform

Jun 28, 2016 News

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By Abena Rockcliffe- Campbell
The Financial Action Task Force (FATF) is set to visit Guyana to confirm the country’s progress made in the implementation of required reforms. The reforms to be scrutinized would be those falling in the area of measures to combat Money Laundering and the Financing of Terrorism.
While this is to happen soon, a date is yet to be announced.
On FATF’s website, the financial organization posted a report on the recently concluded plenary meeting held in Korea.
The report was extensive and included “two public documents identifying jurisdictions that may pose a risk to the international financial system.”
Those documents are titled, Jurisdictions with strategic anti-money laundering and combating the financing of terrorism (AML/CFT) deficiencies for which a call for action applies and Jurisdictions with strategic AML/CFT deficiencies for which they have developed an action plan with the FATF.
A report on Guyana was included in the document highlighting countries with deficiencies for which they have developed an action plan with the FATF. Other countries in this category are Afghanistan, Bosnia and Herzegovina, Iraq, Lao PDR, Syria, Uganda, Vanuatu and Yemen.
Speaking about these countries, FATF said, “While the situations differ among each jurisdiction, each jurisdiction has provided a written high-level political commitment to address the identified deficiencies. The FATF welcomes these commitments.”
Addressing Guyana specifically, FATF said that ever since October 2014, when Guyana made a high-level political commitment to work with the FATF and Caribbean Financial Action Task Force (CFATF) to address its strategic AML/CFT deficiencies, it has substantially addressed its action plan at a technical level.
FATF said that Guyana has done so by adequately criminalizing money laundering and terrorist financing; establishing and implementing adequate procedures for the confiscation of assets related to money laundering and by establishing and implementing an adequate legal framework for identifying, tracing and freezing terrorist assets.
The financial organization said that Guyana has also established a fully operational and effectively functioning financial intelligence unit and has formulated effective measures for customer due diligence and enhancing financial transparency.
Guyana has also strengthened suspicious transaction reporting requirements; and has implemented an adequate supervisory framework, said FATF.
“The FATF will conduct an on-site visit to confirm that the process of implementing the required reforms and actions is underway to address deficiencies previously identified by the FATF,” the report stated.

Attorney General and Minister of Legal Affairs, Basil Williams, returned from Korea over the weekend. He was scheduled to host a press conference yesterday but this was postponed to a date to be announced later.
Kaieteur News contacted the Minister for a small clarification but he expressed his regret saying he cannot speak to the media until after he would have updated Cabinet.
At one of his recent press conferences, Williams told the media that Guyana is gearing to exit the FATF process.
Minister Williams boasted that CFATF in its 10th Follow-up Report issued early May, acknowledged that Guyana has made major developments in the realm of combating money laundering and the financing of terrorism.
Williams quoted the report, “Guyana should be commended for the improvement in compliance.”
The Minister said that the most recent Amendment to the Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) Act No 2 of 2015, the Anti-Terrorism and Terrorist related Activities of 2015 form part of legislative amendments that were required by FATF and satisfied the majority of recommendations which Guyana had outstanding.
The Minister said that the CFATF report indicates that Guyana should be commended for improving its compliance and continued implementation. However authorities should continue to submit information for each report regarding the provisions of training, both to the competent authorities and the financial institutions.
“Guyana has significantly improved its overall level of compliance however, due to the remaining outstanding recommended actions, it is recommended that Guyana stay in enhanced follow- up and be required to report to the next plenary in 2016.”
Minister Williams said that the strides made by his administration are significant. He added that currently, only one remaining recommendation which has been partially met remains to be addressed by the Administration.

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