Financial Crime World

Government Takes Steps to Guard Against Money Laundering and Terrorist Financing

The British Virgin Islands (BVI) government has implemented various measures to safeguard against money laundering and terrorist financing, ensuring that information is available when requested.

Anti-Money Laundering and Terrorist Financing Code of Practice

Established in 2008, the Anti-Money Laundering and Terrorist Financing Code of Practice supplements the Anti-Money Laundering Regulations and sets a framework for compliance with AML/CFT matters. This includes:

  • Verification and maintenance of ownership information
  • Exchange of information with relevant authorities
  • Maintenance of records related to transactions, accounts, and customers

Proliferation Financing (Prohibition) Act

Enacted in 2009, the Proliferation Financing (Prohibition) Act gives the Financial Investigation Agency (FIA) powers to take action against:

  • Persons and activities related to terrorist financing
  • Money laundering or proliferation financing
  • Individuals or entities operating within the financial sector from countries deemed to pose a significant risk of these activities

Chemical Weapons Regulation

The government has also implemented measures to prevent the use, development, production, possession, or transfer of chemical weapons. The Chemical Weapons (Overseas Territories) Order, 2005, and the Chemical Weapons (Sanctions) (Overseas Territories) Order, 2018, prohibit these activities and impose sanctions on individuals and entities responsible for proliferation and use of chemical weapons.

Committees and Coordinating Bodies

To ensure effective coordination and collaboration in the fight against money laundering, terrorist financing, and other organized crimes, several committees and coordinating bodies have been established:

  • National Anti-Money Laundering and Combating Financing of Terrorism Coordinating Council (NAMLCC): serves as the national coordinating body on AML/CFT issues
  • Committee for Law Enforcement Authorities (CLEA): facilitates coordination between law enforcement agencies to share intelligence, pursue criminals, and disrupt criminal activity
  • Joint Anti-Laundering Task Force: advises the Financial Services Commission on initiatives to prevent and detect money laundering and terrorist financing

Inter-Governmental Committee

The government has also established the Inter-Governmental Committee (IGC) to promote public awareness of AML/CFT issues and foster cooperation between key public bodies involved in the fight against money laundering and terrorist financing.

Financial Services Commission

As part of its responsibilities, the Financial Services Commission ensures compliance with the Territory’s AML/CFT systems and controls through:

  • Supervision and inspection of regulated financial institutions
  • Provision of guidance to licensees
  • Outreach to aid in complying with AML/CFT regulations

These measures demonstrate the government’s commitment to preventing money laundering and terrorist financing, ensuring the integrity of the financial system, and protecting national security.