Financial Crime World

France Tackles Global Financial Crime Threat: Robust Measures and International Collaboration

France, as a key player in the global financial sector, has been at the forefront of combating financial crimes such as money laundering and terrorist financing. This article outlines France’s significant strides in enhancing its Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) regime and addressing the challenges that persist.

Strengthened AML/CFT Measures in France

  • Transposition of 5AMLD: In 2018, France adopted the EU’s Fifth Anti-Money Laundering Directive (5AMLD), introducing more transparency, enhanced customer due diligence, and empowered law enforcement.

Transparency in Beneficial Ownership

France has increased transparency in understanding the true ownership of companies and trusts.

Enhanced Customer Due Diligence

Financial institutions perform more rigorous checks on their clients.

Empowered Law Enforcement

French authorities have been granted more tools and resources.

Challenges and Global Cooperation

Criminals continue to evolve their strategies, making increased collaboration essential. The public plays a critical role in the fight against financial crimes.

Key French Agencies Fighting Financial Crime

  1. Tracfin: Franch’s national financial intelligence unit plays a pivotal role in collecting and analyzing suspicious transactions.
  2. National Financial Prosecutor’s Office: Investigates AML/CFT offenses and ensures consequences for wrongdoers.
  3. General Directorate for Internal Security: Counters terrorist financing and maintains domestic security.

Commitment to AML Compliance Oversight

Regulatory authorities, like the AMF and ACPR, supervise and enforce AML/CFT regulations within the financial sector.

Enhanced AML/CFT Requirements

New customer identification, transaction monitoring, and suspicious activity reporting requirements have been introduced.

Enforcement Efforts

Stricter enforcement against non-compliant entities and international collaboration.

Recognition of France’s Leadership in Fighting Financial Crime

In 2018, France was recognized as a high-performing country by the FATF for its robust AML/CFT regulations and international cooperation.

Conclusion

France remains committed to combating financial crimes, fortifying its defenses, and collaborating on the global stage to safeguard the integrity of its financial system and national security. Businesses in France and those operating with French entities must stay informed and build robust compliance programs.