Dominica Strengthens Financial Crime Prevention with Amended Legislation
The Commonwealth of Dominica has taken a significant step in preventing financial crimes by amending the Money Laundering (Prevention) Act, 2000. The updated legislation aims to enhance the country’s ability to combat money laundering and other financial malpractices.
Key Provisions of the Amended Act
The amendments introduce several key provisions aimed at strengthening financial crime prevention in Dominica:
- Expanded Definition of Money Laundering: The act now includes a broader definition of money laundering, which encompasses receiving, possessing, managing, investing, concealing, disguising, disposing of, bringing into or taking out of Dominica any property that is the proceeds of crime.
- Increased Penalties for Non-Compliance: The amended act provides for penalties on conviction not exceeding $50,000 or imprisonment for a term not exceeding three years.
- Enhanced Powers of Inspection: The Financial Intelligence Unit (FIU) will now have the power to conduct inspections of financial institutions and scheduled businesses from time to time or whenever it deems necessary.
Impact on Businesses
The amended act is expected to have a significant impact on businesses operating in Dominica. All financial institutions and scheduled businesses are required to comply with the requirements of the act, regulations made thereunder, or any instructions relating to money laundering given by the FIU.
Stay Ahead of the Curve
To ensure compliance with the amended act, businesses should:
- Conduct Risk Assessments: Identify potential risks and take steps to mitigate them.
- Implement Anti-Money Laundering (AML) Policies: Develop and implement AML policies that meet or exceed international standards.
- Report Suspicious Transactions: Report any suspicious transactions to the FIU.
By taking proactive steps, businesses can ensure compliance with the amended act and avoid potential penalties.