Money Laundering Techniques in Belgium Under Scrutiny as FATF Monitors Progress
The Financial Action Task Force (FATF), a global anti-money laundering watchdog, has been keeping a close eye on Belgium’s efforts to combat money laundering and terrorist financing. As the country’s leader of the Belgian delegation since June 2016, Virginia Di Marcoberardino, from the General Administration of Treasury, is working closely with FATF officials to ensure that Belgium meets the international standards set forth in the organization’s 40 Recommendations.
The Role of the 40 Recommendations
These recommendations, updated regularly to reflect advancements in anti-money laundering and counter-terrorism measures, serve as a benchmark for member states to gauge their effectiveness in preventing these illegal activities. The FATF conducts regular assessments of each member state’s progress, including mutual evaluations, to ensure that they are taking concrete steps to comply with these standards.
Monitoring Efforts
As part of its monitoring efforts, the FATF has been examining Belgium’s legal, regulatory and operational measures aimed at combating money laundering and terrorist financing. While some progress has been made, concerns remain regarding certain techniques used by criminals to launder illicit funds through the Belgian financial system.
Techniques Under Scrutiny
Some of the techniques under scrutiny include:
- Shell companies: Criminals use shell companies to hide illegal activities and conceal the source of their funds.
- Cash transactions: Large cash transactions are often used to avoid detection and make it difficult for authorities to trace the origin of the funds.
- Nominee accounts: Nominee accounts are used to mask the identity of the beneficial owner, making it difficult for authorities to identify and track illegal activities.
What’s Next?
The Treasury department, which represents Belgium on the FATF, can be reached at treasury.fatf@minfin.fed.be for more information on the country’s efforts to combat money laundering and terrorist financing. The Belgian government is committed to working closely with the FATF to ensure that it meets the international standards set forth in the 40 Recommendations, and to prevent illegal activities such as money laundering and terrorist financing.