Financial Crime World

Rise in Financial Fraud Activities in Guyana during Pandemic

The Financial Intelligence Unit (FIU) has reported a significant increase in fraudulent activities in Guyana’s financial sector, particularly in the areas of online fraud and money laundering. According to FIU Director, Langevine, the pandemic has created an environment conducive to crime.

Challenges and Response

Despite the challenges posed by the pandemic, Langevine emphasized that the FIU has remained vigilant and continues to work closely with law enforcement agencies to investigate and prosecute financial crimes. The unit has submitted 14 intelligence reports to the Special Organised Crime Unit (SOCU) and has been working on several cases involving suspected money laundering activities.

Types of Fraud

The FIU has identified several types of fraud, including:

  • Online Frauds: Romance scams and package delivery scams have resulted in significant losses for victims. Langevine urged individuals to exercise caution when using social media platforms and to report any suspicious activity to the authorities.
  • Email Compromise Types Fraud: Criminals compromise the email accounts of senior executives and use them to instruct banks to wire funds to fake suppliers. These cases often involve substantial amounts of money and target large companies.
  • Smurfing: A type of money laundering activity that involves using the financial system to move money on behalf of criminals. While not technically a crime, Langevine emphasized that it is an unusual transaction that requires further investigation.

Collaboration and Information Sharing

The FIU has been collaborating with local and international agencies, including the FIUs of other countries. In fact, the unit has shared information with Suriname, Trinidad and Tobago, and the United States on seven occasions this year alone.

Conclusion

Langevine encouraged individuals to remain vigilant and report any suspicious activity to the authorities. He also commended financial institutions for their cooperation in reporting and blocking suspicious transactions. The FIU will continue to work tirelessly to bring perpetrators of financial crimes to justice.