FIAU urges reports on transactions involving persons named in FinCEN files

The FinCEN files named key individuals who bypassed money laundering regulations through global banks

In response to the FinCEN files leaked by ICIJ, the Financial Investigation and Alanlysis Unit published a notice reminding persons to report any transactions involving parties mentioned in the leak.

The FinCEN files involved a leak of suspicious activity reports, showcasing how banks knowingly process suspicious transactions with every suspicious activity report filed.

The leak also revealed suspicious dealings carried out by Afren Resources Limited, whose parent company Afren Plc indirectly held a 4.05% stake in Electrogas through shares in Gasol Plc. However, Gasol dropped out of the consortium in 2015 due to financial difficulties.

The FIAU referred to the Prevention of Money Laundering and Funding of Terrorism Regulations (PMLFTR), which illustrates the responsibilities and monitoring obligations of local subject persons.

The authority  asked subject persons to take the necessary steps to review any relationship or transaction involving entities found in the FinCEN files to determine whether there are any grounds to suspect money laundering, funding of terrorism, or proceeds of crime.

“If a review does result in suspicion, subject persons are reminded of their obligation to promptly disclose information to the FIAU in terms of Regulation 15(3) of the PMLFTR,” the statement said.

Subject persons are also being advised to assess the customer profile and review the existing customer risk assessment to determine whether either one needs updating.

FIAU also reminded subject persons of their requirement to carry out enhanced customer due diligence and ongoing monitoring in situations with a higher risk of money laundering or terrorism funding.

Subject persons may refer to the FIAU Implementing Procedures and other documents available through the FIAU website for further guidance.

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