Palestinian Financial Intelligence Unit Cracks Down on Fraud and Terrorism Financing
Strengthening Efforts Against Financial Crimes
RAMALLAH, WEST BANK - The Palestinian Capital Market Authority has issued Anti-Money Laundering (AML) regulations to combat financial crimes in the securities markets. In a move to strengthen its efforts against fraud and terrorism financing, the Financial Follow-up Unit (FFU) of the Palestine Monetary Authority has been working closely with banks and financial institutions to prevent money laundering and terrorist financing activities.
The Role of the Financial Follow-up Unit
The FFU is responsible for analyzing and investigating suspicious transactions and identifying potential cases of money laundering. Under the current regulations, each bank has a designated Money Laundering Reporting Officer who is responsible for reporting any suspicious transactions to the FFU.
National Bank Takes Steps to Prevent Money Laundering
In compliance with AML regulations, The National Bank has implemented strict measures to prevent money laundering and terrorist financing activities. These measures include:
- Customer Identification: Obtaining full information/identification of customers and beneficial owners of companies
- Know Your Customer (KYC): Conducting comprehensive KYC and Customer Due Diligence processes
- Reporting Suspicious Transactions: Reporting suspicious transactions to the FFU
- Treating with Caution: Treating with caution business relationships and transactions with persons, companies, and financial institutions from countries that do not apply adequate controls against money laundering
The National Bank also provides ongoing training to its employees on money laundering prevention and combating terrorist financing. This includes:
- Identifying signs of money laundering
- Reporting suspicious transactions
- Maintaining records of customer identification and transactions
FFU Issues Decrees to Combat Money Laundering
Decree No. (20) for the year 2015 and Amendment Issued by Decree Law No. (13) Of 2016 describe in detail the conduct and activities that constitute “terrorism” within the definition of the law, as well as the penalties for breaching any of its provisions.
The FFU has also issued Decision No. (1) of 2017 and its amendments to Decision No. (3) of 2019, which relate to high-risk and other monitored jurisdictions.
Conclusion
In conclusion, The National Bank’s Anti-Money Laundering and Terrorist Financing Manual outlines the bank’s policies and procedures for preventing money laundering and terrorist financing activities. These measures are designed to ensure compliance with AML regulations and to protect the bank’s reputation and employees from potential lawsuits and criminal charges.
The FFU’s efforts to combat fraud and terrorism financing are crucial in maintaining the stability of the Palestinian financial system and protecting the integrity of financial transactions.