Money Laundering (Prevention) Act
Chapter 197A of the Laws of Grenada
This Act establishes a framework for preventing and combating money laundering in Grenada. It outlines key provisions to prevent and combat money laundering, including reporting requirements, record-keeping requirements, prohibitions, penalties, procedure, regulations, and commencement.
Objectives and Definitions
The Money Laundering (Prevention) Act aims to prevent and combat money laundering by making it an offense to engage in certain activities that facilitate money laundering. Key definitions include:
- Money Laundering: The process of concealing or disguising the origin of property obtained through criminal activity.
- Financial Institution: An institution that provides financial services, including banks, credit unions, and insurance companies.
- Designated Business: A business that is designated by the Minister of Finance to be subject to the provisions of this Act.
- Suspicious Transaction: A transaction that appears to involve money laundering or a related offense.
Reporting Requirements
Financial institutions and designated businesses are required to report suspicious transactions to the Financial Intelligence Unit (FIU). This includes:
- Providing information about the customer, including their name, address, and identification number
- Describing the transaction, including the date, time, and amount of the transaction
- Explaining why the transaction is considered suspicious
Record-Keeping Requirements
Financial institutions and designated businesses must maintain records of their customers, transactions, and other relevant information. This includes:
- Keeping accurate and complete records of all customer interactions and transactions
- Maintaining records for a minimum period of five years from the date of the transaction
Prohibitions
The Act prohibits certain activities, including:
- Conducting a Transaction Involving Proceeds of Crime: Conducting any transaction that involves property obtained through criminal activity.
- Concealing or Disguising Origin of Property: Concealing or disguising the origin of property obtained through criminal activity.
- Participating in Scheme to Conceal or Disguise Origin of Property: Participating in a scheme to conceal or disguise the origin of property obtained through criminal activity.
Penalties
Offenses under this Act are punishable by fines and imprisonment, with varying penalties depending on the severity of the offense. A general penalty provision applies where no specific penalty is prescribed for an offense.
Procedure
Prosecutions for offenses under this Act must be instituted with the consent of the Director of Public Prosecutions. Offenses may be tried on indictment or summarily, subject to certain conditions.
Regulations
The Minister of Finance may make regulations to give effect to the provisions of this Act and its due administration.
Commencement
This Act comes into force on April 17, 2000.
First Schedule: Activities Subject to Provisions
The following activities are subject to the provisions of this Act:
- Banking business
- Offshore banking business
- Venture risk capital business
- Insurance business
- Securities business
Second Schedule: Money Laundering and Related Offenses
The following activities are considered money laundering or related offenses under this Act:
- Commission in Grenada of any offense under the Drug Abuse (Prevention and Control) Act.
- Commission in Grenada of any offense punishable with imprisonment for a term of five years or greater punishment.
- Acts committed outside Grenada that would be considered money laundering or related offenses if committed in Grenada.
Please note that this is a summary, and you should consult the original document for precise details.