Financial Crime World

Algeria Steps Up Fight Against Financial Crimes with Data Analysis Unit

Combatting Financial Crimes in Algeria

In a bid to combat financial crimes, including money laundering and terrorism financing, Algeria has established a specialized data analysis unit known as the FIPU (Financial Intelligence Processing Unit). This unit is tasked with collecting, processing, and analyzing intelligence to detect, prevent, and deter these illicit activities.

Structure of the FIPU

The FIPU is headed by a chairman who sits on a council comprising various stakeholders. The unit is supported by four services:

  • Investigation and Analysis: Conducts investigations and analyzes data to identify potential financial crimes.
  • Documentation and Data Bases: Builds and maintains databases of financial transactions and intelligence.
  • Judicial: Provides legal support and advice on financial crime cases.
  • Cooperation: Engages in international partnerships with foreign authorities and institutions working in the same field.

Combating Money Laundering

Money laundering is defined as the conversion or transfer of assets known to be derived from crime, with the intention of hiding or disguising their illicit origin. According to estimates, money laundering worldwide generates hundreds of billions of dollars annually, primarily through drug trafficking. Algeria has enacted laws to prevent and fight against money laundering, including:

  • Law n°05-01 of February 6, 2005: Prevents and fights against money laundering.
  • Ordinance n°95-11 of February 25, 1995: Modifies and completes the penal code.

Combating Terrorism Financing

Financing terrorism is also a serious offense in Algeria, defined as any act that provides or collects funds with the intention of using them for terrorist or subversive acts. The country has established strict laws to combat this threat, including:

  • Ordinance n°95-11 of February 25, 1995: Modifies and completes the penal code.

Data Analysis and International Cooperation

The FIPU uses Suspicious Transaction Reports (STRs) to gather intelligence on potential financial crimes. These reports are submitted by obligated persons, including banks, financial institutions, and professionals such as lawyers, accountants, and real estate agents. The unit analyzes these reports to determine whether they warrant further investigation or referral to the state prosecutor.

In an effort to strengthen its anti-money laundering efforts, Algeria has established a cooperation service that engages in international partnerships with foreign authorities and institutions working in the same field. This collaboration enables the FIPU to share intelligence and best practices to combat financial crimes more effectively.

Conclusion

By leveraging data analysis and international cooperation, Algeria’s FIPU aims to disrupt and dismantle financial crime networks, ultimately protecting its economy and national security from the threats of money laundering and terrorism financing.