Financial Crime World

Combatting Financial Crime in Antigua and Barbuda: Banking Industry Takes a Stand

The banking industry in Antigua and Barbuda has recently stepped up its efforts to combat money laundering and terrorism financing. At the forefront of these initiatives is the newly established Financial Compliance Unit (FCU), which ensures that all financial institutions adhere to Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) regulations.

The Role of the Financial Compliance Unit (FCU)

The FCU conducts regular examinations to assess the effectiveness of AML/CFT programs implemented by financial institutions. These evaluations provide remedial feedback and assistance to ensure that these programs are robust enough to detect and deter money laundering and terrorism financing activities.

Key Responsibilities of the FCU

  • Conducting On-Site and Off-Site Examinations: The FCU evaluates AML/CFT programs implemented by financial institutions.
  • Providing Remedial Feedback and Assistance: The unit provides feedback and assistance to financial institutions to ensure their programs are effective.
  • Monitoring Report Submissions: The FCU ensures that financial institutions submit mandatory reports in a timely manner.
  • Supporting AML/CFT Training Workshops: The unit collaborates with the Financial Intelligence Unit (FIU) to provide training workshops and support.

Annual Assessments and Reports

Annual assessments of AML/CFT policies and procedures are mandatory for all financial institutions listed in the first schedule of the Money Laundering (Prevention) Act. These institutions must submit Terrorist Property reports on a quarterly basis, while those catalogued in Schedule 2 of the Money Laundering (Prevention) Regulations have to provide an additional annual Audit Review Report.

Protecting the Financial System

The FCU plays a crucial role in protecting the financial system against illicit transactions and ensuring that all financial institutions comply with relevant regulations. The annual audit reports serve as a measure of the effectiveness of an institution’s implementation of AML/CFT requirements. By taking proactive steps to combat financial crime, the banking industry in Antigua and Barbuda is strengthening its defenses against money laundering and terrorism financing.