Financial Crime World

Headline: Moldova’s Progress in Combating Financial Crimes: A Look at the Legal Framework

Introduction

The Eastern European country of Moldova has made significant strides in the prevention and combating of financial crimes, particularly money laundering (ML) and terrorism financing (TF). In this article, we will explore the evolution of Moldova’s legislative framework for addressing ML and TF, covering key agencies, regulatory measures, and international cooperation.

Money Laundering Offenses and Penalties

  • Introduction of Money Laundering Offense (2002): First introduction of money laundering offense, later repealed and amended.
  • Current Framework: Article 243 of the Criminal Code covers ML offenses, covering all designated predicate offenses except insider dealing.
  • Penalties: Apply to both natural and legal persons.
  • Corporate Criminal Liability Framework: Continuous strengthening.

Countering Terrorism Financing

  • Legislation: Covers both domestic and international terrorist financing.
  • Assets Seizure and Provisional Measures: Provisions for seizing assets and applying provisional measures.
  • Cooperation with International Organizations: Through memorandums of understanding.

Key Agencies and Their Roles

  • National Anticorruption Center (NAC): Investigating and prosecuting ML and TF offenses.
  • Ministry of Internal Affairs: Investigating and prosecuting ML and TF offenses.
  • Ministry of Finance: Conducting financial investigations and implementing preventive measures.
  • Prosecutor’s Office: Prosecuting ML and TF offenses.

Regulatory Measures for Banks and Financial Institutions

  • Regulatory Bodies: National Bank of Moldova and National Commission on Financial Market oversee sectors’ compliance.
  • ML/TF Obligations: Ensuring effective customer and beneficial owner identification, monitoring transactions, recordkeeping, and reporting.

International Cooperation and Exchange of Information

  • Membership in International Networks: Part of various anti-money laundering networks like the Egmont Group.
  • Information Sharing: Allowing for information sharing with other financial intelligence units.

Ongoing Improvements and Staying Up-to-Date with International Best Practices

  • National Risk Assessments: Regularly conducted to identify ML/TF risks.
  • International Trainings and Seminars: Participation in international events to improve capabilities.
  • Staying Updated: Dedication to ensuring laws and regulations stay up-to-date with international best practices and standards.

Conclusion

Moldova’s legal framework for preventing and combating financial crimes continues to evolve, ensuring that the country remains a leader in the fight against financial crimes within the European region.