Preventing Financial Crime in Trinidad and Tobago: A Guide to Staying Compliant

======================================================

As the global financial landscape continues to evolve, it is essential for countries like Trinidad and Tobago to implement robust measures to prevent financial crime. The country’s recent Mutual Evaluation 2016 highlights areas where improvement is needed to ensure compliance with international standards.

Assessing Risk and Applying a Risk-Based Approach

Trinidad and Tobago has made significant progress in assessing risk and applying a risk-based approach. However, there is room for improvement in identifying higher-risk countries and implementing effective measures to mitigate those risks.

Identifying Higher-Risk Countries

There is a need to improve the identification of higher-risk countries and regions.
Effective measures should be implemented to mitigate these risks.

National Cooperation and Coordination

The country’s national cooperation and coordination mechanisms are largely in place, but there is a need for greater collaboration between law enforcement agencies and financial institutions to effectively combat financial crime.

Greater Collaboration Needed

Law enforcement agencies and financial institutions should work together more effectively.
This will help to identify and prevent financial crimes.

Money Laundering Offence

Trinidad and Tobago has made efforts to criminalize money laundering, but the offence needs to be more clearly defined and penalized to deter criminals from engaging in such activities.

Clear Definition and Penalties Needed

The definition of money laundering should be clear and concise.
Effective penalties should be implemented to deter criminals.

Confiscation and Provisional Measures

The country’s confiscation and provisional measures are partially compliant with international standards. There is a need for greater clarity on the procedures for freezing and seizing assets linked to financial crime.

Greater Clarity Needed

The procedures for freezing and seizing assets should be clear and concise.
This will help to effectively combat financial crime.

Terrorist Financing Offence

Trinidad and Tobago has made significant progress in criminalizing terrorist financing, but there is a need for more effective measures to prevent the misuse of charities and other non-profit organizations.

Effective Measures Needed

More effective measures should be implemented to prevent the misuse of charities.
This will help to combat terrorist financing.

The country’s targeted financial sanctions related to terrorism and terrorist financing are partially compliant with international standards. There is a need for greater transparency in the listing and de-listing process.

Greater Transparency Needed

The listing and de-listing process should be transparent.
This will help to effectively combat terrorism and terrorist financing.

Ratings

The following ratings have been assigned based on Trinidad and Tobago’s performance:

C: Compliant
LC: Largely Compliant
PC: Partially Compliant
NC: Non-Compliant

Recommendations for Improvement

To strengthen its financial system and reduce the risk of financial crime, Trinidad and Tobago should consider the following recommendations:

Strengthen national cooperation and coordination mechanisms.
Improve the definition and penalization of money laundering and terrorist financing offences.
Enhance transparency in targeted financial sanctions related to terrorism and terrorist financing.
Implement effective measures to prevent the misuse of charities and other non-profit organizations.
Increase transparency in the listing and de-listing process for targeted financial sanctions.

By implementing these recommendations, Trinidad and Tobago can improve its ratings and effectively combat financial crime.