Financial Crime World

NETHERLANDS FALTERS IN ANTI-MONEY LAUNDERING EFFORTS, SAYS GLOBAL WATCHDOG

Lack of Compliance in Key Anti-Money Laundering Regulations

Amsterdam - The Netherlands has failed to fully implement key anti-money laundering regulations, according to a recent report by the Financial Action Task Force (FATF), a global watchdog that monitors money laundering and terrorist financing efforts.

Key Findings of the FATF Report

  • The Netherlands was found to be non-compliant in one area: regulation and supervision of financial institutions.
  • The country was partially compliant in three areas:
    • Correspondent banking
    • Money or value transfer services
    • New technologies

Areas Where the Netherlands Met International Standards

  • Assessing risk and applying a risk-based approach
  • National cooperation and coordination
  • Confiscation and provisional measures
  • Terrorist financing offence
  • Targeted financial sanctions related to terrorism and terrorist financing
  • Targeted financial sanctions related to proliferation
  • Non-profit organisations
  • Financial institution secrecy laws
  • Customer due diligence
  • Record keeping
  • Politically exposed persons
  • Wire transfers
  • Reliance on third parties
  • Internal controls and foreign branches and subsidiaries
  • Higher-risk countries
  • Reporting of suspicious transactions
  • Tipping-off and confidentiality
  • DNFBPs: Customer due diligence
  • DNFBPs: Other measures
  • Transparency and beneficial ownership of legal persons
  • Transparency and beneficial ownership of legal arrangements
  • Regulation and supervision of financial institutions
  • Powers of supervisors
  • Financial intelligence units
  • Responsibilities of law enforcement and investigative authorities
  • Powers of law enforcement and investigative authorities
  • Cash couriers
  • Statistics
  • Guidance and feedback
  • Sanctions
  • International instruments
  • Mutual legal assistance
  • Mutual legal assistance: freezing and confiscation
  • Extradition
  • Other forms of international cooperation

The FATF report highlights the importance of effective anti-money laundering regulations in preventing financial crime and maintaining global stability. The Netherlands has been given a deadline to address its shortcomings and bring its regulatory framework into line with international standards.