Financial Sanctions Checklist in Mauritius: What You Need to Know

The United Nations (Financial Prohibitions, Arms Embargo and Travel Ban) Sanctions Act 2019 provides the legal framework for Mauritius to implement targeted sanctions against individuals and entities listed by the UN Security Council. The Act came into effect on May 29, 2019.

Understanding the Regimes

There are two regimes under which financial sanctions can be imposed in Mauritius:

UN Regime

Once an individual or entity is listed as a party against which targeted sanctions have been imposed, two prohibitions take immediate effect:
- It becomes illegal to deal with or make funds or other assets available to the listed party.
Reporting persons must regularly consult the Consolidated List and take immediate action with respect to any changes brought thereto.

Domestic Regime

Mauritius can declare individuals or entities as designated parties on its own list, independent of the UN.
Once a declaration is made, two prohibitions come into operation, but in this case, a freezing order must be obtained against the funds or other assets of the designated party.

Obligations Under the Act

Reporting persons under the Act have several obligations:

Reporting Obligations

Verify whether a listed party matches with one of its customers.
Identify whether the customer owns funds or other assets.
Report to the National Sanctions Secretariat and their AML/CFT supervisor if necessary.

Reporting of Suspicious Information

Submit any information relating to a listed party to the FIU in accordance with section 14 of the Financial Intelligence and Anti-Money Laundering Act.

Internal Controls

Implement internal controls and other procedures to enable them to effectively comply with the obligations under the Act.

Supervision and Enforcement

The FIU is responsible for supervising and enforcing compliance by reporting persons falling under its AML/CFT purview with the requirements imposed under the Act. Failure to comply with the Act is an offence.