Azerbaijan’s Efforts to Prevent Financial Crime

Azerbaijan has been working tirelessly to combat financial crime, implementing various measures to tackle corporate fraud, bribery and corruption, insider dealing and market abuse, money laundering, terrorist financing, and breaches of financial/trade sanctions.

Combating Corporate Fraud

Law on Combating Corporate Crimes: Azerbaijan’s law allows the government to investigate and prosecute companies for illicit activities.
Asset Freezing and Searches: The country’s anti-corruption agency has been empowered to freeze assets and conduct searches.

Strengthening Laws Against Bribery and Corruption

Increased Penalties: The Azerbaijani government has strengthened laws against bribery and corruption, increasing penalties for those found guilty.
High-Level Anti-Corruption Commission: The country established a high-level anti-corruption commission to oversee investigations.

Insider Dealing and Market Abuse

Securities Market Law: Azerbaijan’s securities market law prohibits insider trading and other forms of market manipulation.
Enforcement Agencies: Enforcement agencies have been tasked with monitoring stock exchanges and taking action against offenders.

Money Laundering

Strict Regulations: The Azerbaijani government has implemented strict regulations to prevent money laundering, including requiring financial institutions to report suspicious transactions.
International Cooperation: The country is a member of several international organizations working to combat money laundering.

Terrorist Financing and Breaches of Financial/Trade Sanctions

Strengthened Laws: Azerbaijan has strengthened its laws against terrorist financing and breaches of financial/trade sanctions.
International Partnerships: The country works closely with international partners to prevent the flow of funds to terrorist organizations.

Preventing Financial Crimes

Accurate Financial Records: Companies in Azerbaijan are required to maintain accurate financial records, helping to prevent financial crimes such as money laundering and tax evasion.
Due Diligence: Companies operating in Azerbaijan must conduct thorough due diligence on their business partners to ensure they are not involved in illicit activities.

Corporate Liability

Corporate Accountability: Azerbaijani law holds corporations liable for the actions of their employees, making it easier to prosecute companies for financial crimes.
Cartels and Anti-Competitive Behavior: The country has strengthened laws against cartels and other forms of anti-competitive behavior.

Encouraging Whistleblowers

Immunity and Leniency Programs: Azerbaijan offers immunity and leniency programs to encourage whistleblowers to come forward with information about financial crimes.
Whistleblower Protection Law: The country has established a whistleblower protection law to encourage individuals to report financial crimes without fear of retaliation.

International Cooperation

Cross-Border Co-operation: Azerbaijan works closely with international partners to combat cross-border financial crime.
Membership in International Organizations: The country is a member of several organizations working to prevent money laundering and terrorist financing.