1 / 12

Money Laundering and Terrorist Financing – Challenges from a European Perspective

Money Laundering and Terrorist Financing – Challenges from a European Perspective. Public hearing on tax and financial havens 21 March 2012. Structure. What is Money Laundering and Terrorist Financing? Policy response What next?. Money Laundering/Terrorist Financing.

cuyler
Download Presentation

Money Laundering and Terrorist Financing – Challenges from a European Perspective

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Money Laundering and Terrorist Financing – Challenges from a European Perspective Public hearing on tax and financial havens 21 March 2012

  2. Structure • What is Money Laundering and Terrorist Financing? • Policy response • What next?

  3. Money Laundering/Terrorist Financing ML: The conversionof the proceedsof illicit activity into apparently “clean” assets. TF: The financing of: - terrorist acts - terrorists - terrorist organisations

  4. Placement Layering Integration How Does Money Laundering Work? – The Theory

  5. The Policy Response • FATF • UE

  6. FATF • Policy-makingbody • FATF standards • Mutual evaluations

  7. EU • Directive 2005/60/EC • Main features: • Prohibits money laundering and terrorist financing • Imposes customer due diligence and reporting obligations to financial and some non financial businesses and professions • Obliges Member States to establish a Financial Intelligence Unit • Protection of employees against threats or hostile actions • No tipping-off • Record keeping (5 years after end of relationship for CDD) • CDD and record keeping to be applied to branches and subsidiaries outside the EU • Compulsory supervision

  8. Directive 2005/60/EC • The directive has been transposed in all EEA countries • It is only one element in a broader legal framework which also comprises: • Regulation 1781/2006 on payer information accompanying transfers of funds • EU legal instruments on freezing of assets • Council Decision 2000/642 on FIUs cooperation etc. • Commission Directive of 1 August 2006

  9. Revision of the Directive 2005/60/EC • Evolution, not revolution • AMLD regimes basically work – but modifications necessary in light of new technologies, market changes and new threats. • EU legislation must be adapted to new international standards • Proposal of Directive: October 2012

  10. Conclusion • What next? • Towards the Fourth AMLD • FATF 4th Round • Developing effectiveness assessment • Reacting to new threats

  11. Tentative timing for revision of framework

  12. Thank you for your attention

More Related