Financial Crime World

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Financial Crime Reporting Requirements in Namibia: A Crucial Aspect of Combating Illicit Activities

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Protecting the Economy and Combating Illegal Activities

Windhoek, Namibia - The reporting of suspicious transactions and activities has been identified as a crucial aspect in the fight against financial crime in Namibia. According to the Financial Intelligence Centre (FIC) at the Bank of Namibia, tax evasion remains the leading potential offence in all suspicious reports finalized.

Anti-Money Laundering Requirements: A Shield Against Financial Crime

The primary objective of Anti-Money Laundering (AML) requirements such as Know Your Customer (KYC) and Enhanced Due Diligence is to report Suspicious Transactions Reports (STRs) or Suspicious Activity Reports (SARs) to enable law enforcement and prevent criminals from benefiting from their illicit activities. These requirements also protect financial institutions, including Bank Windhoek and Capricorn Group, from being used as conduits for laundering illicit funds.

The Role of the General Public

The general public, particularly businesses, have a role to play in appreciating the importance of KYC in assisting banks to combat financial crime and decreasing the risk of proceeds of crime being laundered through Namibia’s financial system.

When is a Transaction Considered Suspicious?

  • From a bank’s perspective, a transaction is considered suspicious when there is no match between the client’s profile and the transaction in question.
  • This can include scenarios where:
    • A client’s source of funds does not align with the transaction
    • Identification documentation is not provided

Who Should Report STRs/SARs?

  • The fight against financial crime is a collective responsibility, and anyone with knowledge of suspicious activity or transactions concluded in any business, or who suspects that a business received or is about to receive proceeds of unlawful activities, must report it without delay to the FIC.

Are Reporters Protected?

  • Yes, the identity of individuals who provide information and the information itself are confidential and cannot be disclosed unless necessary to assist the FIC.

How to Submit STRs/SARs

  • Reports can be made through:
    • The internet-based reporting system available on the FIC website
    • Completing forms in Annexures 1 and 2 and sending them via facsimile or hand-delivering them to the Centre at 71 Robert Mugabe Avenue, Windhoek.