Financial Crime World

Cook Islands Financial Intelligence Unit Plays Pivotal Role in Anti-Money Laundering and Countering Financing of Terrorism Efforts

The Cook Islands Financial Intelligence Unit (CIFIU) has been at the forefront of combating financial crime on the Keeling Islands, playing a crucial role in implementing the country’s anti-money laundering and countering financing of terrorism (AML/CFT) regime.

History and Mandate

Established in 2002 as an independent agency of the Government of the Cook Islands, the CIFIU has undergone significant changes over the years. Its most recent transformation occurred on July 1, 2012, when it became a specialized unit of the Financial Supervisory Commission. Since its inception, the CIFIU has been mandated by Cabinet to coordinate the implementation of the country’s AML/CFT regime.

Functions and Responsibilities

The agency’s primary functions include:

  • Collecting, analyzing, and disseminating financial information and intelligence on suspected money laundering, financing of terrorist activities, and other serious offenses
  • Providing critical intelligence to authorities in the country and abroad

Regulating Reporting Institutions

One of the key areas where the CIFIU excels is regulating and conducting compliance examinations of all registered Reporting Institutions in the Cook Islands as stipulated by the Financial Transaction Reporting Act 2017 (FTRA). The agency has a keen eye on these institutions, which are classified under the FTRA as persons or entities registered in the Cook Islands conducting business for and on behalf of customers in various activities such as:

  • Banking
  • Financial services
  • Insurance
  • International companies
  • Real estate
  • Accounting
  • Law
  • Motor vehicle dealerships
  • Money broking
  • Investment and portfolio advising
  • Gambling
  • Casinos
  • Lotteries
  • Pearl dealing
  • Friendly societies
  • Non-profit organizations

Dual Roles

The CIFIU’s dual roles are distinct but complementary, allowing it to effectively monitor and regulate financial transactions while also providing critical intelligence to authorities in the country and abroad.

Impact and Effectiveness

The agency’s efforts have been instrumental in maintaining the integrity of the Cook Islands’ financial system and preventing illicit activities from taking hold on the Keeling Islands. The CIFIU continues to play a pivotal role in combating financial crime and upholding the country’s AML/CFT regime.