Peru Steps Up Fight Against Financial Crimes with Enhanced Intelligence Unit
Strengthening the Financial Intelligence Unit (FIU)
In a bid to combat money laundering and terrorist financing, Peru’s government has announced plans to bolster its Financial Intelligence Unit (FIU) by granting it broader powers to supervise various sectors and access sensitive information. This move is aimed at cracking down on illicit activities that have long plagued the country.
The Scope of the Problem
According to estimates, between 2007 and 2016, approximately $13 billion in assets were laundered in Peru, with illegal drug trafficking accounting for a significant chunk of this amount. While past efforts to curb financial crimes have yielded some results, experts believe that more needs to be done to address vulnerabilities in the system.
Enhanced Powers for the FIU
Fernando Castañeda, partner at Diaz, Reus & Targ LLP, Lima Office Aramburú Castañeda Boero Abogados, explains that the new measures will strengthen the FIU by allowing it to:
- Request judges lift bank and tax secrecy provisions when necessary
- Supervise individuals and organizations such as:
- Notaries
- Credit unions
- Travel agencies
- Real estate agents
- Mining companies
- Lottery games
Promoting Transparency and Formalization
To effectively combat financial crimes, it is crucial to promote the formalization of commercial transactions in Peru and increase state presence in areas where informal mining and drug production take place. This can be achieved through cooperation among all branches of government.
Expert Insights
Only through cooperation among all branches of government can meaningful changes be achieved. The country’s success in combating financial crimes will depend on its ability to tackle corruption and increase transparency in its financial sector.
Conclusion
With the enhanced FIU, Peru is expected to make significant strides in combating financial crimes. However, experts warn that more needs to be done to address vulnerabilities in the system.