The fatf issued its forty recommendations to serve. A framework for the future the financial action task force fatf has revised its international standards on combating money laundering and the financing of terrorism and proliferation the recommendations. Since 1991 hong kong hk has been an independent member of the financial action task force fatf, an intergovernmental organisation established by the g7 summit in 1989, based in the oecd, paris, france, with responsibility for promoting national and international policies. Fatf 40 recommendations financial action task force.
The revision of the fatf recommendations was adopted and publised in february 2012. Financial action task force 40 recommendations a key element of fatfs efforts is its detailed list of appropriate standards for countries to implement. Following the terrorist attacks of september 11, 2001, the fatf redirected its efforts to focus on. The next round of mutual evaluations will start in 2014 and will focus on compliance with the 2012 recommendations. In the event of a conflict over interpretation, the official english and french versions of the text, as published on the fatf website, are authoritative. Fatf grey list the way forward for pakistan courting. Sep 10, 2012 lexisnexis acams webinar september 10th understanding the impact of the fatf revised recommendations on local antimoney laundering regulations. Fatf 20122018, international standards on combating money laundering and. This mutual evaluation was conducted using the fatf recommendations as published in october 2004, and the 2004 methodology for assessing compliance with the fatf 40 recommendations and fatf 9 special recommendations. In principle, fatf style regional bodies fsrbs and international financial institutions, should be using the same or similar procedures as the fatf. The initial list of fifteen countries regarded as uncooperative in the fight against money laundering, was published in june 2000.
Fatf recommendations duhaimes antimoney laundering. Transparency and beneficial ownership of legal persons and arrangements recommendations 2425 f. Financial action task force on money laundering wikipedia. The author has worked on this comprehensive paper with barrister taimur malik, an international law expert and founder of courting the law. The new fatf 40 recommendations and the impact on hong. Targeted financial sanctions related to terrorism and terrorist financing, hits. Recommendations 12, 16,17,20,24 and 25 to combat the prevalence of money laundering and terrorism financing. The revision of the fatf recommendation was adopted and publised in february 2012. An international analysis of fatf recommendations and. The first cooperative and global policy response to the threats posed by money laundering was by the g7 group of countries which established the fatf in 1989. The fatf recommendations by financial action task force issuu.
On february 15 th, 2012, the financial action task force released the revised 40 recommendations according to fata website, the revised fatf recommendations now fully integrate counterterrorist financing measures with antimoney laundering controls, introduce new measures to counter the financing of the proliferation of weapons of mass destruction, and they will better address the. Fatf recommendations 2012 pdf, guidance for a risk. In response to mounting concern over money laundering, the financial action task force fatf was established by the g7 in 1989 to develop and promote policies, both at the national and international level, to combat money laundering. Pdf an international analysis of fatf recommendations. While the fatf published the revised fatf recommendations.
The financial action task force on money laundering fatf, also known by its french name, groupe daction financiere gafi, is an intergovernmental organization founded in 1989 on the initiative of the g7 to develop policies to combat money laundering. Fatf typologies report tradebased money laundering june 2006 pdf only. Pdf fatf recommendations related to dnfbps on anti money. Fatf recommendations documents financial action task force. Fatf recommendations financial action task force fatf. The blacklist is a term used by the media, which is officially called as call for action nations by the fatf. The fatf calls upon all countries to effectively implement these measures in their national systems. There are 8 fsrbs with a collective membership that encompasses 180 countries. Fatfoecd, fatf 40 recommendations, fatf standards, financial action task force, 2010. The list met criticism from professionals experienced in the offshore financial sector. Countries and financial institutions should identify and assess the money laundering or terrorist financing risks that may arise in relation to a the development of new products and new business practices, including new delivery mechanisms, and b the use of new or developing technologies for both new and preexisting products. The fatf recommendations by financial action task force. The following unofficial translations, are provided for your convenience.
Powers and responsibilities of competent authorities, and other institutional measures recommendations 2635 g. The report includes a thorough examination of the impact of fatfs special recommendation viii on countering the threat of terrorist financing said to. From february 1621, at the upcoming plenary session of the financial action task force fatf, an intergovernmental body that serves as a global watchdog on money laundering and terrorist financing, 39 member countries will decide whether pakistan will be retained on the grey list of countries, prone to such risks, or moved to the black list for noncompliance with fatfs norms. Fatf recommendations 2012 download pdf 1,717kb the fatf secretariat participated in the financial crime symposium hosted by the law society of england and wales on 15 may 2012 in london, united kingdom. The financial action task force and the legal profession the financial action task force fatf was established in 1989 by the g7 nations united states, united kingdom, germany, france, italy, japan, and canada, the european commission, and eight other countries. This paper explores the mission and strategy of the financial action task force as it relates to suppressing the funding of terrorism, which often, although not necessarily, involves traditional money laundering schemes. Fatf recommendations 2012 download pdf 1,717kb the fatf secretariat participated in the financial crime symposium hosted by the law society of england. The assessments of countries effective implementation of the 2012 fatf recommendations are conducted in accordance with the 20 assessment methodology. Therefore, references to specific recommendations or special recommendations e. Fatf expanded specifically to include developing and promoting counterterrorist financing ctf practices. The fatf recommendations are the basis on which all countries should meet the shared objective of tackling money laundering, terrorist financing and the financing of proliferation. It has 36 members covering the worlds major financial centers. A framework for the future 1 the new fatf 40 recommendations. An international analysis of fatf recommendations and compliance by dnfbps article pdf available in procedia economics and finance 28.
The fatf recommendations, the international antimoney laundering and combating the financing of terrorism and proliferation amlcft standards, and the fatf methodology to assess the effectiveness of amlcft systems. Pdf an international analysis of fatf recommendations and. Designated nonfinancial businesses and professionals. In 1990, the fatf issued a report containing a set of 40 recommendations,3 which provided a comprehensive plan of action to fight against money laundering. The fatf 40 and 9 recommendations have been revised to just. Financial action task force on money laundering in latin america gafilat a fatf style regional body for latin.
Fatf recommendations 2012 adopted on 16 february 2012 and updated regularly since. Cfatf procedures for the fourth round of amlcft mutual evaluations updated 14 march 2018 4th round of mutual evaluations calendar february 2018. This video covers the fatf 40 revision of feb 2012 program impact, revised standards main points only, and enhancements to laws and regulations in a 15 minute format. The financial action task force and the legal profession. Financial action task force on money laundering, fatf. Third mutual evaluation on antimoney laundering and combating the financing of terrorism jan 2008. International cooperation recommendations 36 40 interpretive notes to the fatf recommendations. In recent years, the financial action task force fatf 1 has noted increasingly sophisticated combinations of techniques, such as the increased use of legal persons to disguise the true ownership and control of illegal proceeds, and an increased use of. In june 2018, pakistan was officially placed on the financial action task force fatf grey list, despite the countrys efforts to forestall the designation. All regional bodies use the fatfs 40 recommendations as their principal guidelines for the. Fatf recommends that dnfbps need to comply with five major recommendations i. The financial action task force fatf, formed in 1989 by the g7 economic summit, is dedicated to promoting the development of effective antimoney laundering and counterterrorism finance laws and programs and enhancing cooperation among its membership and around the world.
Fatfwgei201253 5 portugal fatf mutual evaluation report update document fatfme 20067 i. The financial action task force fatf is an intergovernmental policymaking body whose purpose is to establish international standards, and to develop and promote policies, both at national and international levels, to combat money laundering and the financing of terrorism. The fatf standards require countries, territories and regions to. Lexisnexis acams webinar september 10th understanding the impact of the fatf revised recommendations on local antimoney laundering regulations. Therefore, references to specific recommendations or special. Financial action tas k force the financial action task force fatf is an independent inter governmental body that develops and. Revisions to the financial action task force fatf standard. The 40 recommendations provide a complete set of countermeasures against money laundering mlcovering the criminal. See financial action task force on money laundering in latin america gafilat a fatfstyle regional body for latin. Fatf recommendations are effectively implemented by all countries. The fatf 40 and 9 recommendations have been revised to. Financial action task force on money laundering fatf. Fatf 40 feb 2012 revision 15 minute overview youtube. The core documents of the fatf referred to as the fatf standards include.
Fatf develops annual typology reports showcasing current money laundering and terrorist financing trends and methods. Text of the recommendation and interpretative note see also. The key tool for this assessment is the methodology for assessing compliance with the fatf 40 recommendations and the fatf 9 special recommendations. China is the fourteenth country to be examined in the fatfs third series of mutual evaluations of its members. Through mutual evaluations and s0called blacklists, the fatf ensures that its standards are endorsed worldwide. An international analysis of fatf recommendations and compliance by dnfbps.
The fatf recommendations ministry of foreign affairs. In principle, fatfstyle regional bodies fsrbs and international financial institutions, should be. Fatf recommendations revised february 2012 pdf only. The measurement of these levels of compliance is a difficult exercise given differing legal and financial systems, levels of resources and competing national priorities. The full text of the 40 recommendations, glossary and interpretative notes return to the fatf 40 recommendations page. Revisions to the financial action task force fatf international.
Fatf 9 special recommendations sr on terrorist financing tf october 2001. States are evaluated among each other, in geographic groups, with the. These measures are set out in the 40 recommendations, which were first issued in 1990 and were revised in. Amongst these conditions was the finalization of the assessment methodology by the fatf. In february 2012, financial action task force fatf made revisions to the existing recommendation 16 previously recommendation vii by including guidance to add beneficiary information in addition to originator information when sending wires local regulator implementation has been uneven. The fatf focuses on six key areas that are intended to reduce the potential for the abuse of financial systems and financial crimes.
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