Financial Crime World

Financial Crime Investigation Methods in Cayman Islands Prove Effective in 2016-2017

The Financial Crime Investigation Unit (FCIU) in the Cayman Islands has made significant progress in combating financial crime during the period of 2016 and 2017. According to a recent report, the unit’s efforts have resulted in notable achievements.

Investigations and Convictions

  • The FCIU investigated 93 financial crime investigations, resulting in:
    • 13 cash seizures totaling CI$160,000 and US$25,400
    • Restraining several assets, including:
      • Eight vehicles
      • One motor boat
      • Two houses
      • Cash deposits worth CI$138,000

The unit works closely with the Office of the Director of Public Prosecutions (ODPP) to pursue convictions in complex cases. Some recent notable court results include:

  • A 14-year sentence for a man who fraudulently offered immigration advice and defrauded dozens of applicants
  • An eight-year sentence for another man who defrauded the University College of the Cayman Islands of CI$500,000
  • A 12-year sentence for a woman who committed financial abuse against an elderly person
  • A 20-month sentence, compensation order, and deportation for a Bulgarian national found in possession of 62 cloned bank cards

The FCIU has also investigated fraud cases resulting from the COVID-19 pandemic. The unit has highlighted increases in fraud and cybercrime due to the crisis, including:

  • Challenges and trends related to novel fraud, money laundering, and terrorist financing threats
  • Good practices and policy responses to emerging threats and vulnerabilities arising from the pandemic

Stakeholders Forum

The Cayman Islands’ financial sector has also taken steps to combat financial crime through the Stakeholders Forum, a public-private partnership established in 2017. The forum aims to:

  • Develop a more collaborative relationship between relevant public agencies and regulated entities
  • Evolve public-private consultations to become a mainstream component of the Cayman Islands’ AML/CTF/PF regime
  • Provide relevant updates to industry from law enforcement and/or regulatory authorities
  • Examine emerging international trends, FATF guidance, and recommendations
  • Educate frontline staff within the private sector

Conclusion

The FCIU’s efforts in combating financial crime during the COVID-19 pandemic have been instrumental in protecting the reputation of the Cayman Islands’ financial sector. The unit’s progress in investigating and convicting financial criminals has demonstrated its effectiveness in addressing this critical issue.