Financial Crime World

Financial Inclusion and Crime Prevention: Virgin Islands Committed to Combating Money Laundering and Terrorist Financing

The Virgin Islands has reaffirmed its commitment to the global fight against money laundering (ML), terrorist financing (TF) and proliferation financing (PF), ensuring compliance with the Financial Action Task Force’s (FATF) International Standards on Combatting Money Laundering and the Financing of Terrorism and Proliferation.

A Coordinated Global Effort

According to officials, the fight against ML, TF and PF requires a coordinated global effort to achieve positive results. The Virgin Islands operates an Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) framework that adheres to all relevant international standards.

AML/CFT Framework

  • The framework includes laws and regulations that give effect to AML/CFT obligations.
  • It is led by the National AML/CFT Coordinating Council (NAMLCC), which plays an important role in the Territory’s architecture.
  • NAMLCC includes representatives from various committees, including:
    • Council of Competent Authorities
    • Inter-governmental Committee on AML/CFT Matters
    • Joint Anti-money Laundering and Terrorist Financing Advisory Committee
    • Committee of Law Enforcement Agencies

Supervision and Compliance

The Financial Services Commission (FSC) is responsible for ensuring compliance with the Territory’s AML/CFT systems and controls through supervision of regulated financial institutions. The FSC monitors licensees for compliance with various requirements, including:

  • Identification and verification procedures
  • Record keeping
  • Reporting of suspicious activities
  • Internal control system requirements

Guidance and Outreach

The FSC provides guidance and performs outreach to its licensees to aid them in understanding their obligations and ensuring the highest level of compliance with AML/CFT requirements. The commission’s AML/CFT policy and strategy are guided by a three-year roadmap that aims to strengthen:

  • Supervision
  • Enforcement
  • Cooperation
  • Stakeholder awareness

Strategy Objectives

The strategy sets out goals within four key areas:

  • Supervision: strengthening the FSC’s supervision of financial institutions.
  • Enforcement: enhancing enforcement measures to combat ML, TF and PF.
  • Promotion of cooperation: fostering international cooperation to share information and best practices.
  • Stakeholder awareness and outreach: raising awareness among stakeholders about AML/CFT requirements.

Conclusion

The Virgin Islands’ commitment to combating ML, TF and PF is crucial in maintaining the integrity of its financial system, stability of its economy, and safety of its citizens. The Territory’s efforts demonstrate its dedication to promoting financial inclusion while preventing financial crime and ensuring a safe and secure environment for businesses and individuals alike.