Financial Crime World

Here is the article in markdown format:

Mutual Evaluation of Grenada’s Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) Regime

=====================================================

Executive Summary

The Caribbean Financial Action Task Force (CFATF) conducted a mutual evaluation of Grenada’s AML/CFT regime. This report summarizes the key points and highlights areas for improvement.

Money Laundering

Asset Recovery Unit (ARU)

  • The ARU within the Financial Intelligence Unit (FIU) focuses on criminal and civil recovery matters.
  • Two confiscations were made, with numerous cash forfeitures, but no subsequent money laundering investigations were conducted in relation to those cases.

Use of Proceeds of Crime Act (POCA)

  • There is a lack of use of POCA law to deprive criminals of their crime’s instrumentalities.

Terrorist Financing

Risk Assessment

  • Grenada’s terrorist financing risk assessment is not comprehensive, indicating no evidence of TF or proliferation financing (PF) in Grenada.

Specialized Training and Investigations

  • The Royal Grenada Police Force (RGPF) has a designated TF desk at Special Branch, but there is a need for specialized training for TF analysis and investigations.
  • Grenada’s legal framework for implementing TF measures pursuant to UNSCR 1267 and its successor resolutions or UNSCR 1373 is fundamentally weak.

Preventive Measures

Financial Institutions (FIs)

  • While some FIs have demonstrated better understanding of their AML/CFT obligations, others have deficiencies in understanding these obligations.

DNFBP Sector

  • The DNFBP sector lacks consistent AML/CFT measures, relying on long-standing relationships rather than customer profiling as a risk-mitigating measure.

Other Key Points

Targeted Risk-Based Supervision Approach

  • Grenada does not sustain a targeted risk-based supervision approach and monitoring of the Non-Profit Organization (NPO) sector.

Proliferation Financing (PF)

  • There are no laws or measures in place to address PF, and therefore, Grenada has not implemented TF measures concerning UNSCRs relating to combating PF.