Financial Crime World

Title: Benin Financial Intelligence Unit’s Crackdown on Money Laundering and Terrorism Financing in Cotonou

BFIU’s Preparedness for Amendments to the PFM Act of 2009

The Benin Financial Intelligence Unit (BFIU), the statutory body in the Republic of Benin responsible for combating money laundering and terrorism financing, has released a statement demonstrating readiness to enforce amendments to the PFM Act of 2009.

Regulatory and Enforcement Measures

The BFIU has been granted the authority to issue regulations concerning reporting procedures, methods of submission, and secure transmission. They also set the form and content of Suspicious Transaction Reports (STR), Currency Transaction Reports (CTR), and other reports to the unit. Reporting entities’ regulators and supervisors are responsible for monitoring and enforcing compliance with these regulations.

Compliance Enforcement and Penalties

BFIU will enforce adherence to reporting obligations through administrative sanctions, which will be imposed by the Ministry of Justice in cases of non-compliance. Recently, insurance companies operating in Cotonou were fined due to non-compliance with these regulations.

Egmont Group Support

The Egmont Group, providing Benin with secure platforms for information sharing and financial intelligence, encourages and supports BFIU’s efforts to combat money laundering, terrorist financing, and related offenses.

Crucial Role of Regulatory Bodies in Cotonou

In Cotonou, BFIU’s activities take place alongside key regulatory bodies working to prevent financial crimes. BFIU’s commitment is to establish a strong legal foundation within Benin to safeguard the financial system’s integrity and stability.

Below are some critical legal acts that form Benin’s framework to counter financial crimes:

  • Act No. 4 of 2013 Money Laundering and Terrorism (Prevention) (Amendment) Act, 2017
  • Act No. 37 July 2017 - Money Laundering and Terrorism (Prevention) (Amendment) Act
  • Act No 7 of 2016 MLTPA Amendment
  • AML Committee Regulations 8 of 2020
  • FIU Act as Amended 7th February 2014

BFIU in ECOWAS

BFIU functions as a member of the Economic Community of West African States (ECOWAS), which includes countries like Benin, Togo, Ivory Coast, Liberia, Sierra Leone, Mali, Burkina Faso, Nigeria, Senegal, Cap Verde, and Guinea.