Financial Crime World

Bermuda Enhances Regulatory Framework to Combat Financial Crimes

A Stronger Defense Against Money Laundering and Terrorist Financing

Hamilton, Bermuda - The island nation has taken significant steps to strengthen its regulatory framework in combating financial crimes, including money laundering and terrorist financing. As a member of the Caribbean Financial Action Task Force (CFATF), a regional body of the Financial Action Task Force (FATF), Bermuda is committed to implementing international standards to prevent these illicit activities.

Key Legislation

  • Proceeds of Crime Act 1997: This legislation expanded provisions criminalizing the laundering of proceeds of crime and provided for the confiscation of a convicted person’s benefits from criminal conduct.
  • Anti-Terrorism (Financial and Other Measures) Act 2004: This act further strengthened Bermuda’s anti-money laundering and anti-terrorist financing regulations, providing protection from civil liability for individuals making disclosures under the Suspicious Activity Reporting regime.

Regulatory Framework

National Anti-Money Laundering Committee

  • The committee advises the Minister of Justice on matters related to money laundering and terrorist financing.
  • Composed of senior officials from various government agencies, including the FIA, the Financial Secretary, and the Director of Public Prosecutions.

Bermuda Monetary Authority (BMA)

  • Regulator of the financial services industry.
  • Ensures compliance with Bermuda’s anti-money laundering and anti-terrorist financing systems and controls through supervision and inspection of affected financial institutions.

Enhanced Regulations

  • Proceeds of Crime (Anti-Money Laundering and Anti-Terrorist Financing) Regulations 2008: Made by the Minister under the Proceeds of Crime Act 1997, these regulations provide further guidance on detecting and preventing money laundering.

Bermuda’s efforts to strengthen its regulatory framework have been recognized by international bodies, including the CFATF. The island nation’s commitment to implementing FATF standards demonstrates its dedication to preventing money laundering and terrorist financing, and protecting the integrity of its financial system.