Financial Crime World

Financial Institutions Urged to Establish Independent Audit Function to Test AML/CFT Procedures

The Guyana Revenue Authority (GRA) is emphasizing the importance of financial institutions establishing an independent audit function to test their anti-money laundering and combating the financing of terrorism (AML/CFT) procedures. This move aims to strengthen the fight against money laundering and terrorist financing.

Guidelines for Reporting Entities (REs)

According to GRA’s guidelines, reporting entities (REs) are required to:

  • Register with the Financial Intelligence Unit (FIU)
  • Maintain a robust AML/CFT compliance program
  • Report suspicious transactions, terrorist property, and threshold transactions to the FIU

Importance of Independent Audit Function

In order to ensure effective compliance, REs must design, implement, and maintain their own AML/CFT compliance programs. This includes conducting regular audits of their procedures and systems to identify any gaps or weaknesses in their programs.

  • Regular audits enable REs to:
    • Identify gaps or weaknesses in their programs
    • Take corrective action to prevent money laundering and terrorist financing

Training and Sensitization

The GRA has emphasized the importance of training and sensitization of RE staff on AML/CFT matters. To this end, the authority will be providing training sessions and workshops to educate REs on the requirements of the AML/CFT Act 2009 and the need for effective compliance.

Reporting Requirements

REs are required to submit three types of reports to the FIU:

  • Threshold transaction reports
  • Terrorist property reports
  • Suspicious transaction reports

Reports must be submitted within specific timeframes, with immediate reporting required in cases where there is a positive match to the United Nations Security Council (UNSC) Consolidated List.

Additional Requirements

REs are also urged to:

  • Maintain accurate records of their transactions
  • Report any changes made to their business registration or compliance officer to the FIU

Contact Information

For further information or assistance on AML/CFT matters, REs can contact the GRA’s AML/CFT Team at (227-6060) extensions 3400/3404/3409 or via email at graamlcftteam@gra.gov.gy.