Financial Crime World

Here is the converted article in Markdown format:

Fraudulent Scheme Exposed in Fiji: Financial Intelligence Unit Unravels Criminal Activities

In a significant victory for financial crime prevention, the Fiji Financial Intelligence Unit (FIU) has successfully disrupted a fraudulent scheme aimed at disguising illegal activities as legitimate business transactions.

Disrupting a Fraudulent Scheme

According to FIU Director Razim Buksh, the sole intention behind registering an entity in Fiji was to disguise it as a legitimate business under a fraudulent scheme. The beneficiary of this scheme was able to receive remittance transactions from 51 known victims in Australia, totaling FJ$90,930.78 within just two months.

Investigation and Arrest

The FIU’s diligent work, combined with the timely filing of suspicious transaction reports by two commercial banks in Fiji, triggered an investigation that ultimately led to the arrest of the Australian launderer at a commercial bank lobby while attempting to cash out his last booty.

Combating Financial Crime

This case is one of several examples of the FIU’s effectiveness in combating financial crime. In another instance, an investor from Arizona, USA, was found to have substantial controlling and shareholding interests in 11 corporate entities registered in New Zealand. The FIU established that the intention behind setting up this business entity was likely to use it as a disguise.

Identifying Beneficial Ownership

The ultimate beneficial owner of this entity was identified as a New Zealander with four previous convictions relating to fraud and obtaining pecuniary advantage.

Preventing Financial Crimes

In yet another case, the FIU conducted background checks on two entities intending to invest substantial funds in Fiji. Profiling revealed that the natural persons behind these entities were linked to three entities registered in New Zealand, which had common shareholders and directors.

International Recognition

The FIU’s efforts have been instrumental in unmasking corporate ownership and preventing financial crimes in Fiji. The agency has also contributed to the successful investigation and prosecution of complex financial fraud cases in the country.

Additional Measures Proposed


The proposed new Companies Law in Fiji includes provisions aimed at addressing corporate secrecy and beneficial ownership. These measures include:

  • Prohibition on issuance of bearer shares
  • Disclosures on beneficial and third-party ownership
  • Access to information held with the registrar of companies

Conclusion

Fiji’s efforts to combat financial crime have yielded significant results, demonstrating the effectiveness of its anti-money laundering laws and the important role played by the FIU in preventing financial crimes.