TCI Takes Major Step Towards Anti-Money Laundering Compliance

Preparation for CFATF Evaluation Underway

The Turks and Caicos Islands (TCI) has completed pre-assessment training ahead of its upcoming evaluation by the Caribbean Financial Action Task Force (CFATF), a significant step towards ensuring compliance with global anti-money laundering (AML) and countering terrorism financing (CTF) regulations.

Key to Success: National Cooperation and Coordination

According to Attorney General Rhondalee Braithwaite-Knowles, chair of the Anti-Money Laundering Committee (AMLC), national cooperation and coordination are crucial for a successful outcome. “This is a major step in the preparation process here in the Turks and Caicos Islands,” she said. “It provides stakeholders with the necessary understanding of the mutual evaluation process, particularly the on-site visit.”

Training for Stakeholders

A three-day workshop was held at the Sands Resort in Providenciales from October 18 to 20, attended by approximately 50 stakeholders and representatives from both the public and private sectors.

Workshop Breakdown

• The first two days targeted the public sector.
• The last day focused on the private sector.

Importance of Implementing AML Legislation

Nigel Streete, managing director of the Financial Services Commission (FSC), underscored the significance of implementing AML legislation in the TCI. “It’s especially important for a small jurisdiction like ours where you have limited resources,” he said. “What it allows you to do is an internal assessment and that assessment allows you to further identify and deploy resources.”

Risk Assessment and Compliance

The territory’s first National Risk Assessment was held on June 26, with about 50 stakeholders and representatives from both the public and private sector convening to put together comprehensive action plans to decrease levels of risks, strengthen controls and supervisory oversight in each sector, and submit ideas for legislative changes.

Mitigating Risks

Streete noted that a number of agencies must be involved to mitigate risks. “You would note from the composition of the AMLC, that it brings together law enforcement, regulation, and the AG’s chambers, customs, and immigration,” he said. “Because what you want to do is make sure that your risk management framework is sufficiently comprehensive, that it guards against the various entry points for that risk into the jurisdiction.”

Getting it Right First Time

Streete emphasized that training in this regard is pivotal. “When you have limited resources, you have to make sure you get it right the first time so that those resources can be deployed appropriately,” he said.

The TCI’s efforts towards AML compliance are crucial in preventing corruption, money laundering, and associated economic and financial crimes that undermine good governance and rule of law. The territory is committed to ensuring effective implementation of AML regulations and mitigating risks associated with money laundering and terrorism financing.