Evaluating the Paraguay Economic Crimes Team (ECT)

The Paraguay Economic Crimes Team (ECT) was established to tackle economic crimes in Paraguay, with a focus on increasing the effectiveness of SEPRELAD’s analysis and reporting, improving Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) case development, developing an asset forfeiture program, and enhancing the capacity of Paraguayan authorities to investigate and prosecute money laundering cases.

Project Objectives

The ECT aimed to achieve four key project objectives:

• 1. Increasing SEPRELAD’s Analytical and Reporting Capacity: The ECT sought to enhance SEPRELAD’s ability to analyze and report on economic crimes, making it more effective in combating these offenses.
• 2. Improving AML/CFT Case Development and Creating a Financial Crimes Working Group: The team aimed to develop AML/CFT cases and establish a working group focused on financial crimes, promoting collaboration among authorities.
• 3. Developing an Asset Forfeiture Program: The ECT aimed to create an asset forfeiture program to help recover assets linked to economic crimes and reduce the proceeds of these offenses.
• 4. Enhancing Capacity of Paraguayan Authorities to Investigate and Prosecute Money Laundering Cases: The team’s fourth objective was to improve the capacity of Paraguayan authorities to investigate and prosecute money laundering cases.

Evaluation Report Findings

The evaluation report concluded that:

• Objective 1: Success: The ECT was most successful in achieving project objective 1, increasing SEPRELAD’s analytical and reporting capacity.
• Objectives 2 and 3: Partial Progress: Project objectives 2 and 3 were partially achieved, with some progress made towards creating a financial crimes working group and developing an asset forfeiture program.
• Objective 4: Challenges Remain: Unfortunately, project objective 4 was not achieved, as Paraguayan authorities continued to face challenges in investigating and prosecuting money laundering cases.

Sustainability of ECT’s Work

The report notes that the ECT’s work has been sustained over time, particularly in areas where project objectives were partially or fully achieved. The GAFILAT Mutual Evaluation Report (MER) of Paraguay’s AML/CFT system provides further support for aspects of the evaluation’s findings and represents a milestone achievement for the country.

Conclusion

The ECT made significant strides in combating economic crimes in Paraguay, particularly in enhancing SEPRELAD’s analytical capacity. While challenges remain, the team’s work has laid the groundwork for future progress in AML/CFT case development, asset forfeiture, and the capacity of Paraguayan authorities to investigate and prosecute money laundering cases.