Financial Crime World

Regulatory Bodies for Financial Crime Prevention in New Zealand Take Centre Stage

In an effort to combat financial crime and terrorism financing, New Zealand has established a robust regulatory framework comprising several key bodies. This article explores the roles of the Financial Intelligence Unit (FIU), Asset Recovery Units (ARUs), and the Money Laundering Team (MLT) in preventing financial crime.

The Financial Intelligence Unit (FIU)

  • Role: The FIU is based at Police National Headquarters and plays a crucial role in detecting and investigating money laundering, terrorism financing, and other serious offences.
  • Functions:
    • Collects, analyses, and disseminates financial information received under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009
    • Generates intelligence products, including proactive and targeted financial offender profiles
    • Provides advice on policy and legal matters where necessary
    • Produces the National Risk Assessment (NRA) and conducts outreach and training for New Zealand Police workgroups, partner agencies, and AML/CFT reporting entities

Asset Recovery Units (ARUs)

  • Established: December 2009
  • Objective: To disrupt and deter crime by denying criminals the opportunity to enjoy the benefits of offending or reinvest those proceeds in further criminal activity
  • Investigation methods: Cases are investigated using complex forensic accountancy and financial analysis processes as part of an all-of-government approach involving agencies such as Customs, the Serious Fraud Office (SFO), and Inland Revenue

Money Laundering Team (MLT)

  • Established: 2017
  • Objective: To bridge the investigative gap between financial intelligence, financial investigations, and organised crime investigations
  • Investigation focus: The team investigates criminal offenders moving the proceeds of predicate offending, with a focus on disrupting and dismantling facilitators assisting organised criminal groups to hide illicit funds

New Zealand’s Financial Crime Prevention Network (FCPN)

  • Chair: The Financial Crime Group
  • Members: NZ Customs, ANZ, ASB, BNZ, Kiwibank, and Westpac
  • Activities: The FCPN has commenced work on producing four joint strategic typology products covering topics such as child exploitation, trade-based money laundering, virtual asset service providers, and trust and company service providers

These regulatory bodies and partnerships demonstrate New Zealand’s commitment to preventing financial crime and terrorism financing, ensuring a safer and more secure financial environment for its citizens.