Iraq: Financial Crime Definition Takes Center Stage as Money Laundering and Terrorism Financing Laws Come into Focus
Combating Financial Crimes in Iraq
In an effort to combat financial crimes, Iraq has made significant strides in defining the scope of money laundering and terrorism financing. The country’s Anti-Money Laundering and Terrorism Financing Law No. 39 of 2015 is a crucial step towards preventing these illegal activities.
Money Laundering Definition
According to Article 2 of the law, a person shall be deemed guilty of money laundering if they engage in one of three specific acts:
- Act 1: Transferring funds from a person who is aware or should have been aware that the funds are proceeds of a crime, with the intention of concealing or disguising their unlawful source.
- Act 2: Concealment of funds or hiding their truth, source, location, condition, method of disposal, transfer, ownership, or rights related to them.
- Act 3: Acquiring, possessing, or using funds from a person who knows or should have known at the time of receiving the funds that they are proceeds of a crime.
These definitions aim to encompass a wide range of financial activities that may be linked to criminal activity.
Terrorism Financing Definition
In addition to money laundering, Iraq has also defined the crime of financing terrorism in its Anti-Money Laundering and Terrorism Financing Law. Article 1/10 states that any person who intentionally provides or collects funds from a legal or illegal source with the intention of using them for terrorist purposes shall be considered guilty.
The definition is broad enough to encompass acts committed by individuals, regardless of their location, if they are aware that the funds will be used in whole or in part to finance terrorism. This provision aims to prevent the flow of funds to terrorist organizations and hold individuals accountable for their actions.
Conclusion
As Iraq continues to grapple with financial crimes, the definition of money laundering and terrorism financing has become a critical aspect of its anti-money laundering efforts. The country’s law enforcement agencies are working tirelessly to identify and prosecute individuals who engage in these illegal activities, and the definitions outlined in Article 2 and Article 1/10 have played a crucial role in this effort.