Financial Crime World

Saint Lucia Tightens the Screws on Money Laundering with New Legislation

Saint Lucia has made a significant step forward in the fight against money laundering by passing a new act aimed at preventing and combating this illicit activity. The legislation, which meets regional and industry standards, was passed into law ahead of many other international financial services jurisdictions.

Key Provisions of the Act

  • Covers a wide range of offences, including:
    • Proceeds from fraud
    • Terrorism
    • Corruption
    • Other illegal activities
  • Allows for mutual assistance with other states in combating money laundering, a crucial aspect in global efforts to disrupt criminal networks
  • Regulates the operation of all financial institutions in Saint Lucia through the Financial Intelligence Authority (FIA)

Identity Verification and Record Keeping

A key provision of the legislation requires financial institutions to:

  • Ascertain the identity of the beneficial owner of any account
  • Maintain records relating to that person’s identity
  • Prevent anonymous transactions and ensure greater transparency in financial dealings

Investigations and Asset Forfeiture

The Act also provides for:

  • Searches of financial institutions and other premises
  • Freezes, and even forfeiture of assets where justified
  • Development of internal reporting procedures and training programs to detect possible offences by all financial institutions

Significance of the Legislation

Saint Lucia’s new legislation is a significant development in the country’s efforts to establish itself as a responsible and compliant player in the global financial system. By implementing robust measures to prevent money laundering, Saint Lucia is sending a strong message that it will not tolerate illegal activities and is committed to protecting its economy and reputation.

Overall, the passage of this legislation demonstrates Saint Lucia’s commitment to combating money laundering and maintaining transparency in financial dealings. It sets a positive example for other jurisdictions and reinforces the country’s position as a responsible player in the global financial system.