Financial Crime World

National Risk Assessment Report: Money Laundering and Financial Crimes in St. Kitts and Nevis

Overview

The National Risk Assessment report for St. Kitts and Nevis highlights the country’s risk profile regarding money laundering and related financial crimes. The report identifies key areas of concern, including predicate offenses, drug offenses, gun offenses, and the effectiveness of law enforcement efforts.

Predominant Crimes

Top 5 Predicate Offenses

  • Larceny (41%): theft and stealing
  • House Breaking & Larceny (32%): breaking into homes to steal
  • Drug Trafficking with Intent to Supply Drugs (12%): trafficking and distributing illicit substances
  • Robbery (8%): taking property by force or threat
  • Burglary (7%): breaking into homes or buildings to commit a crime

Drug Offenses

  • Most drug-related offenses involve locally grown marijuana.

Gun Offenses

  • The majority of gun offenses are related to local robberies.
  • There have been no convictions for Money Laundering to date.

Financial Intelligence Unit (FIU)

  • The FIU processes Suspicious Transaction Reports (STRs) from banks and money service businesses.
  • Despite an increase in STR reporting, it remains low across sectors, suggesting a need for greater awareness and compliance.

Law Enforcement Efforts

  • There’s a need to augment human resources within the FIU, Witness Protection and Coordination Unit, and the Police Force.
  • Consistent record-keeping and data collection are crucial areas that require improvement.

Money Laundering Prosecution

  • The prosecution of Money Laundering cases is not being vigorously pursued due to lack of evidence.
  • This hinders the effective investigation and prosecution of these crimes.

Asset-Based Recovery Legislation

  • Work is ongoing on civil forfeiture/asset-based recovery legislation to assist in confiscating proceeds from crime even without money laundering charges.

Tax Crimes

  • The jurisdiction has an effective mechanism for exchanging information for tax purposes, supported by the St. Kitts and Nevis (Mutual Exchange of Information on Tax Matters) Act.
  • This leads to a rating as Largely Compliant.