Financial Crime World

Here is the article in markdown format:

Egypt’s Financial Sector Under Fire: Criminals Exploit Casinos, Dealers, and Banks to Fund Terrorism

New Report Reveals Alarming Levels of Money Laundering and Terrorist Financing in Egyptian Economy

CAIRO - A shocking new report has exposed the widespread use of Egypt’s financial sector for money laundering and terrorist financing. The report, released by the National Regulatory Authority (NRA), reveals that criminals are exploiting casinos, dealers of precious metals and stones, and banks to funnel illegal funds into the economy.

Banking Sector Vulnerability

According to the report, the banking sector is the most vulnerable to money laundering, with electronic transfers being a favorite method for launderers. Real estate is also a popular destination for illegally obtained funds, with criminals using them to purchase properties.

Terrorist Financing

The situation is equally alarming when it comes to terrorist financing. The report found that banks are being misused to move funds raised for terrorism, with electronic transfers again playing a key role.

Legislative and Regulatory Measures

=====================================

In response to the growing problem of money laundering and terrorist financing, Egypt has introduced several legislative and regulatory measures:

  • AML Law No. 80 of 2002 was approved in 2002, followed by amendments in 2020.
  • The Prime Minister issued Decision No. 457 of 2020 amending some provisions of the executive regulation of the AML Law.
  • Law No. 15 of 2020 amended some provisions of Anti-Terrorism Law No. 94 of 2015.

Supervisory Controls

=====================

The report also highlights the importance of supervisory controls in preventing money laundering and terrorist financing:

  • Supervisors have issued AML/CTF controls to entities subject to their supervision, including banks, exchange companies, and non-banking financial activities.

Risk Assessment and Coordination

================================

Egypt has also conducted a risk assessment of money laundering and terrorist financing, with the participation of all national entities, including the private sector. The report covered the period between 2014 and 2017 and was based on:

  • A sample of ML and TF cases
  • Statistics on predicate offenses
  • Intelligence information provided by security agencies
  • Results of an overall analysis prepared by the Egyptian Money Laundering Combating Unit (EMLCU)

Conclusion

==========

The report highlights the urgent need for increased cooperation and coordination among regulatory bodies, law enforcement agencies, and financial institutions to combat money laundering and terrorist financing. The Egyptian government must take concrete steps to strengthen its legal and regulatory framework, improve supervisory controls, and enhance public awareness of these critical issues.

As the global community continues to grapple with the threat of terrorism, it is essential that Egypt’s financial sector is protected from exploitation by criminals and terrorists. The time for action is now.