Financial Crime World

Moldova’s Money Laundering Regulations: A Modernized Approach to Combat Financial Crimes

The Republic of Moldova has made notable strides in combating money laundering and terrorist financing offenses through legislative reform. Internationally, Moldova’s efforts have received positive recognition.

Criminalization and Regulations

  • Money laundering criminalized (September 2002): Repealed with the new Criminal Code (June 12, 2003)
  • Current provision, article 243 of the Criminal Code: Meets international standards (covers all predicate offenses)
  • Financial institutions subject to regulations: Except for insider dealing (penalized in 2006)
  • Penalties: In line with international practices
  • Corporate criminal liability: Limited to commercial legal entities
  • Terrorist financing: Covered under article 279 of the Criminal Code
  • Provisional measures and confiscation: Newly adopted Criminal Procedure Code

Enforcing the Laws

  • Responsible Authority: National Anticorruption Center (NAC), formerly Center for Combating Economic Crimes and Corruption (CCCEC)
  • Financial Intelligence Unit: Office for Prevention and Control of Money Laundering (OPCML)
  • OPCML staff: 17 permanent officials

Compliance and Supervision in the Financial Sector

  • Financial institutions: Banks, insurance companies, and stockbrokers
  • Measures to prevent financial crimes: Customer identification, transaction monitoring, record-keeping
  • Ensuring compliance: KYC procedures, reporting suspicious transactions
  • Regulatory bodies: National Bank of Moldova (NBM), National Commission on Financial Markets (NCFM)
  • Reporting entities: Banks, foreign bank subsidiaries, stock exchanges, insurance companies, etc.

International Cooperation and Information Exchange

  • Membership: Several anti-money laundering networks (Egmont Group)
  • Exchange of Information: Formal and informal channels (Interpol, Europol)

Challenges and Future Steps

  • Training and awareness programs: Required for law enforcement and judicial authorities
  • National risk assessment: Identifying areas for improvement (initiated with World Bank support)

The modernization of Moldova’s approach to fighting financial crimes has brought significant improvements, yet challenges remain. Continuous efforts in training, risk assessment, and international cooperation will be instrumental in strengthening the country’s regulatory framework.