Samoa’s Money Laundering Prevention Act 2007: A Comprehensive Framework for Anti-Money Laundering and Counter-Terrorist Financing

The Money Laundering Prevention Act 2007 in Samoa represented a crucial step forward in the Pacific Island nation’s efforts to combat money laundering and terrorist financing activities. Replacing the Money Laundering Prevention Act 2000, this legislation aimed to prevent and mitigate financial crimes that could threaten the integrity of Samoa’s financial system.

Key Sections of the Act

The following sections outline the critical components of the Act:

1. PART 1: PRELIMINARY

   • Short title, commencement, and interpretation
   • Secrecy obligations
   • Trustee companies’ exemptions for customer due diligence and reporting suspicious transactions

2. PART 2: ANTI-MONEY LAUNDERING SUPERVISION

   • Establishment of the Money Laundering Prevention Authority, task force, and Financial Intelligence Unit
   • Functions and powers related to supervision, information exchange, and analysis of suspicious transactions

3. PART 3: OBLIGATIONS TO KEEP RECORDS AND VERIFY IDENTITY

   • Customer identification and record-keeping requirements for financial institutions
   • Standard customer due diligence, enhanced customer due diligence, and business transaction requirements

4. PART 4: OBLIGATIONS TO REPORT

   • Reporting of suspicious transactions and large cash transactions by financial institutions
   • Reporting of suspicious activities by supervisory authorities or auditors

5. “PART 5: CONFISCATED ASSETS FUNDS”

   • Establishment and management of the fund for managing confiscated assets resulting from money laundering investigations

Enhancing Transparency, Adhering to International Standards

With the passage of this legislation, Samoa demonstrates its commitment to maintaining a transparent financial system, complying with international standards, and strengthening its position as a reliable and trusted financial hub in the region.