FinCrime News - October 2024

International

The Financial Action Task Force (FATF)

• Issued an updated list of the Jurisdictions under Increased Monitoring, also referred to as the "grey list." Senegal was removed from the list, while Algeria, Angola, Côte d’Ivoire and Lebanon were added.
• Published the latest list of High-Risk Jurisdictions subject to a Call for Action. The list remains unchanged and includes the Democratic People's Republic of Korea (DPRK) and Iran. It also lists Myanmar as a jurisdiction subject to a FATF call on its members and other jurisdictions to apply enhanced due diligence measures proportionate to the risks arising from the jurisdiction.
• Published reports on progress in strengthening measures to tackle ML/TF for the following countries: Korea, Japan and Kuwait.
• Issued an updated version of the Consolidated assessment ratings. The ratings provide an up-to-date overview of the ratings on effectiveness and technical compliance for all countries assessed against the 2012 FATF Recommendations and using the 2013 Assessment Methodology.
• Issued a public consultation on proposed changes to FATF Standards relating to AML/CFT and Financial Inclusion. These proposed revisions aim to better promote financial inclusion through increased focus on proportionality and simplified measures in the risk-based approach, and to give countries, supervisors, and financial institutions greater confidence and assurance when implementing simplified measures. Comments are due on 6 Dec 2024.
• Announced major changes to the criteria for putting countries on the grey list to relieve pressures on least developed countries and focus on those countries posing greater risks to the international financial system.

United Nations Security Council (UNSC)

• Authorized the renewal of the sanctions regime on Haiti for one year, continuing a travel ban and asset freeze, and expanding the scope of an arms embargo as well as the measures initially established in Oct 2022 to quell rampant gang violence and restore security in the crisis-torn nation.

Australia

The Australian Transaction Reports and Analysis Centre (AUSTRAC)

• Issued a reminder that effective 29 Sep 2024, all online gambling service providers must complete applicable customer identification procedures before creating an online gambling account or commencing to provide any designated service.
• Issued updated ML/TF risk assessment guidance. The updated guidance provides important information about: how to take AUSTRAC guidance and feedback into account, the key sources of AUSTRAC guidance on ML/TF risks and how to determine whether particular guidance or feedback is relevant.
• Issued new guidance to help you identify and manage the risks that may arise when outsourcing AML/CTF functions. This guidance includes recommendations to help identify the risks that may arise through outsourcing and conducting due diligence on outsourcing providers.
• Released new lists, by sector, of suspicious activity indicators to help identify potential ML, TF and other serious and organised criminal activity.

New Zealand

Department of Internal Affairs (DIA)

• Issued an updated AML/CFT Programme Guideline. This update reflects a comprehensive review following the Ministry of Justice 2022 Statutory Review of the Act and the new regulations that took effect on 31 Jul 2023 and 1 Jun 2024.
• Issued new wire transfer guidance, which was developed based on the amendments to the AML/CFT Act, effective from 1 Jun 2024. 

Government

• Announced that the government will introduce a single supervisor and a new funding model in a major overhaul of New Zealand’s AML/CFT system. A single-supervisor model will replace the current three-supervisor model and will establish the Department of Internal Affairs as the sole supervisor of the AML/CFT system.

Canada

Financial Transactions and Reports Analysis Center of Canada (FINTRAC)

• Released guidance for mortgage administrators, brokers and lenders. The guidance includes a summary of requirements for this sector.
• Released guidance on correspondent banking relationship requirements. The guidance covers who must comply and a summary of the requirements and exemptions.

United Kingdom

National Crime Agency

• Issued its National Economic Crime Centre Annual Report. The report highlights case studies as well as accomplishments from the past year with a focus on fighting fraud and money laundering. 
• Issued its SARs In Action Issue 28. This Issue focuses on the work of the Interpol General Assembly, an overview of the Egmont Group and a summary of recent collaboration between Australia and the UK in fighting global financial crime.

United States

Financial Crimes Enforcement Network (FinCEN)

• Released an alert to assist financial institutions in identifying and reporting suspicious activity supporting Lebanese Hizballah, a U.S.-designated Foreign Terrorist Organization. The alert builds upon FinCEN’s May 2024 advisory on Iran-backed terrorist organizations and offers a comprehensive overview of Hizballah’s global criminal financial networks.
• Announced the renewal of its Geographic Targeting Orders (GTOs) that require U.S. title insurance companies to identify the natural persons behind shell companies used in non-financed purchases of residential real estate.

Singapore

Money Authority of Singapore (MAS)

• Published its National Anti-Money Laundering Strategy. The National AML Strategy outlines a strategic approach to address money laundering (ML) risks, and guides its risk-targeted actions to combat ML amidst rapidly changing risks and criminal typologies.
• Released an article on AML/CFT Supervisory Expectations from Recent Inspections. MAS recently conducted a series of anti-money laundering and countering the financing of terrorism (AML/CFT) inspections across a range of financial institutions (FIs). 
• Issued guidelines to MAS Notice FSM-N02 on Prevention of Money Laundering and Countering the Financing of Terrorism – Financial Institutions’ Information Sharing Platform.
• Issued updated guidelines to Notice 626 on Prevention of Money Laundering and Countering the Financing of Terrorism – Banks. Updates include guidance for banks participating in its digital platform, COSMIC.

South Africa

Financial Intelligence Centre (FIC)

• Released an article outlining South Africa's progress towards being removed from FATF's greylist. South Africa is now deemed to largely or fully address 16 of the 22 action items in its Action Plan, leaving the country with six outstanding action items to be addressed.

Brunei

Autoriti Monetari Brunei Darussalam (AMBD)

• Published its FIU Annual Report for 2022. In 2022, the FIU continued to enhance existing collaborations by sharing intelligence with both domestic and international counterparts, and issuing guidance to the financial sector and designated non-financial businesses and professions (DNFBPs).

Finland

Ministry of Finance

• Released its first national risk assessment of ML/TF for non-profit organisations (NPOs). The risk assessment highlights, in particular, the importance of obliged entities taking a risk-based approach towards NPO customers.
• Announced proposed legislative amendments to enhance the exchange of information in the prevention of ML/TF. The proposed amendments are focused on ensuring that register information on beneficial owners is correct, timely and secure and giving the Financial Intelligence Unit the right to disclose information from the money laundering register.

British Virgin Islands

Financial Investigation Agency

• Issued a reminder that the newly released Money Laundering Reporting Officer Notification of Appointment Form should urgently be completed by regulated entities.

Other Jurisdictions

No major updates this month.