Financial Crime World

Cook Islands’ Financial Crime Legislation: A New Era of Compliance with the Enactment of the Financial Intelligence Unit Act

The Cook Islands took a significant step in strengthening its financial crime legislation on June 12, 2015, with the enactment of the Financial Intelligence Unit (FIU) Act. The new legislation, given royal assent by Queen Elizabeth II’s representative, bolstered the FIU’s capabilities as an independent unit under the Financial Supervisory Commission (FSC).

Empowering the Financial Intelligence Unit (FIU)

The FIU Act grants the unit the authority to:

  • Administer and enforce financial misconduct-related statutes
  • Conduct investigations
  • Function as an autonomous entity within the FSC

This legislation is crucial for enabling the Cook Islands to comply with international financial standards and tackle financial crimes such as money laundering and terrorism financing.

The Financial Intelligence Unit Act of 2015 is accessible [here](/cookIslandsFscApp/content/assets/88aa9b100ccc4d00ae5860502301039d/2015 - FIU Bill.pdf). An amendment to the Act in 2017, Financial Intelligence Unit Amendment Act 2017 No. 4, further strengthened the FIU’s authority.

Mandated Oversight

The Cook Islands FIU is now responsible for overseeing the administration of several enactments and regulations:

  1. Financial Transactions Reporting Act 2017 No. 3 (Link)
  2. Financial Transactions Reporting Amendment Act 2017 (Link)
  3. Financial Transactions Reporting Regulations 2017 (Link)
  4. Financial Transactions Reporting (Maritime Cook Islands) Regulations 2017 (Link)

Enforcing Key Acts in Conjunction with Other Entities

The Cook Islands FIU also collaborates with other entities to enforce several key Acts:

  • Financial Transactions Reporting Act 2001 (Link)
  • Criminal Procedure Act 1968 (Link)
  • Income Tax Act 1967 (Link)
  • Money Laundering and Proceeds of Crime Act 2000 (Link)

A New Era of Financial Crime Legislation

The implementation of the Financial Intelligence Unit Act 2015 marks a new era of financial crime legislation for the Cook Islands. This legislation enhances the Cook Islands’ reputation as a reputable and compliant international financial services jurisdiction.