Financial Crime World

Asset Recovery from Financial Crimes in Brunei Darussalam: Overcoming Challenges through Mutual Legal Assistance

In recent years, Brunei Darussalam has made significant efforts to combat financial crimes. One key aspect of this effort is the establishment of a robust framework for asset recovery through mutual legal assistance (MLA). This regime is governed by the Mutual Assistance in Criminal Matters Order 2005 (MACMO), which enables Brunei to receive and make requests for assistance from and to other countries.

Despite the progress made, experience has shown that there are several challenges that need to be addressed in order to ensure effective MLA. These include:

  • Urgency: The urgency of MLA requests is often not recognized, leading to delays in the execution of requests.
  • Procedure: Uncertainty about the procedure when diplomatic channels are used can lead to confusion and delays.
  • Misunderstanding: Misconceptions about the scope of MLA, including the use of “fishing expeditions,” can hinder cooperation between authorities.
  • Feedback: Lack of feedback and communication from central authorities in foreign countries can make it difficult for Brunei authorities to track the status of requests.
  • Procedural requirements: Failure to comply with procedural requirements, such as transmission through diplomatic channels, can lead to delays or even rejection of requests.

Strategies to Overcome Challenges

To address these challenges, Brunei authorities have implemented several strategies:

  1. Engagement with Law Enforcement Agencies (LEAs): Training and workshops on MLA frameworks have been conducted to enhance the knowledge and flexibility of LEAs in using MLA.
  2. Brunei Questionnaire: A template has been developed to guide LEAs in drafting requests to foreign central authorities, ensuring that essential information is included.
  3. Open Door Policy: Encouraging informal assistance prior to formal MLA requests has facilitated cooperation between authorities.
  4. Coordination with Foreign Central Authorities: Simplifying the process by focusing on what is needed and realistic, coordinating timing and execution, sharing drafts of requests, acknowledging receipt of materials or requests, and responding to updates on the status of cases have improved MLA outcomes.

Conclusion

The success of MLA in Brunei Darussalam ultimately depends on the flexibility and knowledge of authorities involved. By approaching mutual assistance requests with a view to overcoming differences between legal systems, Brunei can effectively bridge these differences and achieve its goal of asset recovery from financial crimes.