Financial Crime World

FIU Commissioner’s Tenure and Responsibilities Clarified

Introduction

The Financial Intelligence Unit (FIU) Commissioner in Tanzania is now bound to a five-year term, with the possibility of re-appointment for another term of similar duration, subject to satisfactory performance. This clarity comes as part of new regulations outlined in the FIU Act.

FIU Commissioner’s Tenure and Responsibilities

According to Article 3 of the Act, the Commissioner serves as both the Chief Executive Officer and accounting officer of the FIU. The Commissioner’s powers include:

  • Receiving, analyzing, and disseminating suspicious transaction reports
  • Supervising reporting persons for compliance with anti-money laundering (AML) regulations

The Commissioner may be removed from office by the President in cases of misconduct, incompetency, or mental or physical incapacity. In such cases, a committee will be formed to investigate the matter and make recommendations to the President.

FIU’s Key Responsibilities

The FIU is responsible for:

  • Receiving and analyzing suspicious transaction reports related to money laundering, terrorist financing, and proliferation financing
  • Disseminating findings to law enforcement agencies, supervisory authorities, and other competent bodies

Other key responsibilities of the FIU include:

  • Compiling statistics and records on AML cases
  • Providing training for stakeholders, including reporting persons and their employees
  • Issuing guidelines for reporting persons in respect of their AML obligations
  • Requesting information from reporting persons, regulators, or law enforcement agencies

Employees of the FIU

The Act also outlines the employment terms for staff members of the FIU. Employees will be appointed by the Government or other public institutions and will hold office for a term of five years. They will be eligible for re-appointment.

FIU employees are subject to:

  • Initial and periodical disclosure of their financial position
  • Confidentiality obligations during and after their employment

National Committee Established

The Act also establishes a National Multi-Disciplinary Committee on Anti-Money Laundering, Counter-Terrorist Financing, and Counter-Proliferation Financing. The committee will be composed of representatives from various government agencies, including:

  • Bank of Tanzania
  • Ministry of Finance
  • Attorney General’s Chambers
  • Others

The committee may co-opt experts with special knowledge or experience in investigating AML matters. Members of the National Committee will be appointed by the Minister and will serve for a term of five years.

Conclusion

These regulations aim to strengthen the country’s efforts against money laundering, terrorist financing, and proliferation financing, and ensure effective implementation of the FIU Act.