February 2021

International

The Financial Action Task Force (FATF)

The Financial Action Task Force (FATF) updated the list of jurisdictions under increased monitoring on 25 Feb 2021. Burkina Faso, the Cayman Islands, Morocco, and Senegal have been added to the list. We have incorporated this into our country risk rating update on 26 Feb 2021.
The Financial Action Task Force (FATF) published the high-risk jurisdictions subject to a call for action on 25 Feb 2021. Since Feb 2020, in light of the COVID-19 pandemic, the FATF has paused the review process for countries in this list, given that they are already subject to the FATF’s call for countermeasures. Therefore, the FATF’s call for action on Iran and the Democratic People’s Republic of Korea remains in effect.
Published Denmark, Barbados, Seychelles, Madagascar, Ethiopia, Mauritius, Botswana and Uganda's progress in strengthening measures to tackle money laundering and terrorist financing.
Published Saint Lucia's measures to combat money laundering and terrorist financing.
Published follow-up report to Fiji's assessment of anti-money laundering and counter-terrorist financing measures.

No major updates this month.

The Department of Internal Affairs (DIA)

Called for feedback to improve the guidance for accountants, lawyers and conveyancers and real estate agents.

No major updates this month.

United Kingdom

The Law Society of Scotland

Publish the inaugural annual AML supervisory report, highlighting the breadth and range of AML initiatives that the Law Society of Scotland has recently undertaken, along with our first supervisory AML Risk Appetite statement.

The Solicitors Regulation Authority (SRA)

Published a dedicated sectoral risk assessment looking at the specific risks and challenges within legal services. It’s published collectively by all legal services supervisors in the UK, the Legal Sector Affinity Group (LSAG) 2020 guidance provides a detailed commentary on now amended regulations (as well as the 2017 regulations) law firms need to be aware of regarding money laundering.

The Gambling Commission

A Gambling Commission review into Aspers Stratford City Casino (“Aspers Stratford”) has found player protection and anti-money laundering failures. In line with the regulatory framework, the Commission has taken the following actions:

A warning has been issued to Aspers Stratford for breaches relating to anti-money laundering processes, failing to comply with customer interaction rules and breaching cash desk policy rules;
Aspers Stratford to undertake a follow-up independent audit of its policies and procedures within six months to ensure improvements are effective, with the further implementation of further recommendations if required; and
A financial penalty of £652,500.00 has been imposed. Aspers Stratford will also divest itself of the gross gambling yield to the sum of £78,233.00 which it accumulated as a result of its failings.

European Union

No major updates this month.

United States

The Financial Crimes Enforcement Network (FinCEN)

Published a statement on financial crimes tech symposium. The symposia will provide a platform for firms to review new technologies and demonstrate proof of concept for a broad range of attendees, including domestic and international financial regulators, regulated firms, technology providers, representatives from law enforcement and national security agencies, and academics, among others.
Issued consolidated filing instructions and key terms for suspicious activity related to COVID-19.
Published advisory on COVID-19 health insurance and health care-related fraud. This advisory contains descriptions of COVID-19-related fraud involving health care benefit programs and health insurance, associated financial red flag indicators, select case studies, and information on reporting suspicious activity.
Published advisory on financial crimes targeting COVID-19 economic impact payments. This advisory contains descriptions of EIP fraud, associated red flag indicators, and information on reporting suspicious activity.

Hong Kong

The Hong Kong Monetary Authority (HKMA)

Updated the frequently asked questions in relation to anti-money laundering and counter-financing of terrorism. These FAQs aim to assist authorized institutions regulated by the HKMA in understanding relevant AML/CFT requirements.

Hong Kong Customs and Excise Department

Laid a charge under the Organized and Serious Crimes Ordinance (OSCO) against a 33-year-old man with two counts of "dealing with property known or reasonably believed to represent proceeds of an indictable offence" (commonly known as money laundering). This is the first time for Customs to lay a charge under the OSCO against a person suspected of engaging in money laundering activities through dealing with proceeds of gold trading.

Singapore

No major updates this month.

Other Jurisdictions

No major updates this month.