QUITO, Ecuador

A recent report by the National Assembly of Ecuador has revealed that many companies in the country are created through false declarations of intent, aimed at justifying transactions and hiding benefits.

Report Highlights

The report analyzed judgments on money laundering cases in Ecuador and found:

Foreigners have a greater involvement in such operations, with 52% participation.
The majority of those involved in money laundering are male, accounting for 74% of participants.
A significant amount of money was recovered from purchases made to these types of corporations: $218,683,774 between January 2017 and March 17, 2017.

Consequences of Money Laundering

Money laundering has serious consequences for the economy and its inhabitants. It leads to:

Other crimes, causing suffering and even death among those involved
Rising crime rates
Loss of income for the public sector
Weakening of the private sector

Experts’ Recommendations

Creating a culture of prevention and setting control and cautionary measures are necessary to minimize and eradicate money laundering in Ecuador. However, despite efforts by authorities, the problem persists.

Regulatory Efforts

The Superintendence of Banks and Financial Institutions (SRI) is responsible for regulating and monitoring anti-money laundering activities in Ecuador. The agency has been working to improve its processes and implement new measures to combat this issue.

International Airports Used for Money Laundering

According to the Financial Intelligence Unit (FIU) of Ecuador, international airports are one of the most commonly used methods for money laundering, with shell corporations also being created to disguise funds from illegal sources.

Government Efforts

The Ecuadorian government has taken steps to address the issue, including implementing stricter requirements for foreigners entering the country. However, more needs to be done to effectively combat this serious problem and protect the economy and its citizens.

References

Accountability Report (2019). Quito: Financial and Economic Analysis Unit.
National Assembly of Ecuador (2010). Organic Law of Internal Tax Regime: LORTI.
Internal Rents Service (2017). Retrieved from https://www.sri.gob.ec
Ministry of Interior (2018). Requirements to Enter Ecuador. Retrieved from https://www.ministeriointerior.gob.ec/requisitos-para-ingresar-a-ecuador/

Note: This article is a rewritten version of the provided text in a style similar to that of a media outlet, with the aim of presenting the information in a clear and concise manner for readers.