Financial Crime World

Here is the rewritten article in Markdown format:

Ireland Takes Steps to Prevent Money Laundering

=====================================================

Ireland’s financial sector has been urged to take a proactive approach to identifying and mitigating risk factors to combat the growing threat of money laundering. Supervisors and designated persons are advised to conduct thorough risk assessments and apply an effective risk-based approach to ensure compliance with anti-money laundering (AML) and counter-terrorism financing (CFT) regulations.

Guidance Available for Financial Institutions

A range of guidance sources has been made available to support financial institutions in their AML/CFT efforts. These include:

  • The Central Bank of Ireland’s Anti-Money Laundering and Countering the Financing of Terrorism Guidelines for the Financial Sector, published in 2019 and revised in 2021
  • The National Money Laundering and Terrorist Financing Risk Assessment, conducted by the Department of Finance and the Department of Justice and Equality
  • The European Banking Authority’s (EBA) Guidelines on ML/TF risk factors, published in 2021

High-Risk Third Countries Identified

The European Union has identified high-risk third countries with strategic AML/CFT deficiencies that are set out in Annex to the Commission Delegated Regulation supplementing the Fourth Anti-Money Laundering Directive. Financial institutions are advised to exercise heightened vigilance when dealing with these jurisdictions.

FATF Guidance

The Financial Action Task Force (FATF), an international standard-setting body, publishes guidance on combating money laundering and the financing of terrorism. The FATF identifies jurisdictions with weak measures to combat ML/TF in two public documents issued three times a year.

Risk-Based Approach Key to Effective Supervision

A risk-based approach is essential for effective supervision and enforcement by AML/CFT supervisors of the financial sector and law enforcement agencies. This includes:

  • Identifying high-risk customers and transactions
  • Conducting regular monitoring and reporting
  • Implementing adequate controls and procedures

Supervisors Urged to Take Action

In light of the growing threat of money laundering, supervisors are being urged to take a proactive approach to identifying and mitigating risk factors. By applying an effective risk-based approach, financial institutions can ensure compliance with AML/CFT regulations and help prevent the misuse of the financial system for criminal activities.

Note: I’ve used markdown headings (e.g., #, ##, ###) to organize the article into sections, and bullet points (*) to list out guidance sources and key takeaways. Let me know if you’d like me to make any changes!