Financial Crime World

GIBRALTAR TIGHTENS FINANCIAL SANCTIONS AND EMBARGOES

In a move to strengthen its commitment to international cooperation and security, Gibraltar has reinforced its financial sanctions and embargoes regime through the Sanctions Act 2019. This legislation enables the automatic recognition and enforcement of United Nations, UK, and EU sanctions, as well as providing for separate Gibraltar designations in specific cases.

Background on Financial Sanctions Regime

Sanctions have been implemented effectively in Gibraltar for many years, with a focus on achieving policy and security objectives. The Competent Authority is empowered to issue licences under specific circumstances, allowing otherwise prohibited transactions to take place.

Automatic Recognition and Enforcement of Sanctions

  • United Nations: Automatic implementation by the UK’s Office of Financial Sanctions Implementation (OFSI) targeting regimes such as terrorism and human rights abuses.
  • UK and EU Sanctions: Automatic recognition and enforcement in Gibraltar, ensuring alignment with international standards.
  • Gibraltar Designations: Separate designations for specific cases, enabling tailored responses to emerging threats.

Key Features of the Financial Sanctions Regime

  • Automatic recognition and enforcement of UN, UK, and EU sanctions
  • Separate Gibraltar designations for specific cases
  • Licence powers enabling otherwise prohibited transactions under certain conditions

Reporting Requirements

Individuals and businesses are required to report frozen funds and economic resources, as well as information regarding designated persons. Notifications of credits to frozen accounts must also be submitted through the online reporting system (THEMIS) provided by the Gibraltar Financial Intelligence Unit (GFIU).

Additional Resources