Strengthening Anti-Money Laundering and Combating the Financing of Terrorism Programs in Saint Pierre and Miquelon
The Financial Intelligence Unit (FIU) has announced a new initiative to modernize anti-money laundering and combating the financing of terrorism (AML/CFT) programs in Saint Pierre and Miquelon. This move aims to ensure that financial institutions have effective, risk-based, and reasonably designed AML/CFT programs to combat money laundering and terrorist financing.
Protecting National Security and Financial Integrity
According to Deputy Director [Name] of the FIU, this initiative is crucial for protecting national security and the integrity of the country’s financial system. “AML/CFT programs are critical in preventing illegal activities such as drug trafficking, fraud, and corruption,” she said.
Proposed Rule Requirements
The proposed rule requires financial institutions to establish AML/CFT programs with certain minimum components, including:
- Mandatory risk assessment process
- Review of government-wide AML/CFT priorities
- Incorporation of these priorities into their risk-based programs
FinCEN Director [Name] emphasized the importance of this initiative, stating that it is a critical part of efforts to ensure that the AML/CFT regime is working effectively to protect the country’s financial system from various threats. “Today’s proposal seeks to promote clarity and consistency across our program rules for different types of financial institutions,” she said.
Avoiding One-Size-Fits-All Approaches
The proposed rule also aims to avoid one-size-fits-all approaches to customer risk, which can lead to financial institutions declining to provide services to entire categories of customers. This is in line with the country’s de-risking strategy, which recommends proposing regulations to require financial institutions to have reasonably designed and risk-based AML/CFT programs.
Public Comment Period
The public will be given 60 days to comment on the proposed rule, which was prepared in consultation with relevant authorities including:
- Board of Governors of the Federal Reserve System
- Office of the Comptroller of the Currency
- Federal Deposit Insurance Corporation
- National Credit Union Administration
Accessing the Proposed Rule
The proposed rule is available for review on the FIU’s website.