Financial Crime World

Mauritius’ New Financial Crimes Commission Act: Expanded Powers and Special Techniques to Combat Financial Crimes

Introduction

The Mauritian government has taken a significant step towards enhancing its financial crime-fighting capabilities with the adoption and assent of the new Financial Crimes Commission Act. Here’s a closer look at this important legislation.

Establishment of the Financial Crimes Commission (FCC)

  • The Act, which was approved by the National Assembly on December 19, 2023, and obtained Presidential assent on December 21, 2023, is set to establish the Financial Crimes Commission (FCC).
  • The FCC is scheduled to come into force once proclaimed by Parliament.

Combating Financial Crimes

  • The new act empowers the FCC to serve as the primary body in Mauritius for detecting, investigating, and prosecuting financial crimes and related offenses.
  • The Independent Commission Against Corruption, the Asset Recovery Investigation Division, and the Integrity Reporting Services Agency will merge, consolidating resources and expertise.

Covered Offenses

  • The Act covers various types of financial crimes, including:
    • Corruption offenses
    • Money laundering offenses
    • Fraud offenses
    • Financing drug dealing offenses

Confiscation Orders and Asset Recovery

  • Under the new legislation, FCC will have the authority to apply for attachment and confiscation orders for both criminal and civil asset recovery.
  • The FCC is authorized to engage in tracing assets, compensation orders, and international cooperation to enforce these orders.

Expanded Powers of Arrest

  • The FCC’s powers extend to the ability to make arrests.
  • The FCC will exercise this power when necessary, such as instances where potential witnesses or investigations have been compromised or evidence is at risk of destruction.

Special Investigative Techniques

  • The Director of the FCC’s Investigation Division will have access to unique investigative techniques.
  • These include intrusive surveillance, covert human intelligence sources, and equipment interception, subject to certain conditions of justification, proportionality, and public interest.

Institution of Criminal Proceedings

  • Upon completion of a comprehensive investigation and receiving the necessary report, the FCC is granted the power to institute criminal proceedings for any offense under the Act or the Declaration of Assets Act.
  • Importantly, the FCC’s role in these proceedings does not infringe upon the Director of Public Prosecutions’ powers to take over, continue, or discontinue such cases under the Mauritian Constitution.