Financial Crime World

Bermuda Tightens Belts on Money Laundering Prevention

Bermuda has strengthened its regulations and measures to combat money laundering and terrorist financing, demonstrating its commitment to implementing international standards set by the Financial Action Task Force (FATF).

The Proceeds of Crime Act 1997: A Key Milestone

The Proceeds of Crime Act 1997 expanded provisions criminalizing the laundering of proceeds of crime and introduced confiscation measures for convicted individuals. This landmark legislation also established a Suspicious Activity Reporting regime, requiring all persons to disclose knowledge or suspicions of money laundering or terrorist financing to the Financial Intelligence Agency (FIA). Failure to report such information is an offense.

National Anti-Money Laundering Committee

The National Anti-Money Launderling Committee was established under the Proceeds of Crime Act 1997 to advise the Minister of Justice on matters related to money laundering detection and prevention. The committee, comprising senior officials from various government agencies and institutions, plays a crucial role in developing Bermuda’s national plan of action against money laundering.

Regulatory Framework

The Bermuda Monetary Authority (BMA), the regulator of the financial services industry, has implemented a strict licensing regime to prevent individuals with illicit intentions from establishing corporate structures on the island. The BMA also ensures compliance with Bermuda’s anti-money laundering and anti-terrorist financing systems through supervision and inspection of affected financial institutions.

Enhanced Measures

In 2008, the Minister of Justice made new regulations under the Proceeds of Crime Act to enhance money laundering prevention measures. The Proceeds of Crime (Anti-Money Laundering and Anti-Terrorist Financing) Regulations 2008 aim to prevent the misuse of Bermuda’s financial system by individuals and entities involved in illegal activities.

Collaboration and Commitment

Bermuda’s commitment to preventing money laundering and terrorist financing is unwavering, with all persons required to report knowledge or suspicions of such activity to the FIA. The island’s regulators and law enforcement agencies work closely together to detect and prevent these crimes, ensuring that Bermuda remains a safe and secure financial center.

  • All persons are required to report knowledge or suspicions of money laundering or terrorist financing to the Financial Intelligence Agency (FIA).
  • Failure to report such information is an offense.
  • The National Anti-Money Laundering Committee advises the Minister of Justice on matters related to money laundering detection and prevention.
  • The Bermuda Monetary Authority (BMA) regulates the financial services industry and ensures compliance with anti-money laundering and anti-terrorist financing systems.