Money Laundering Schemes in Timor Leste Under Scrutiny

Experts Evaluate Anti-Money Laundering Measures

Dili, September 19, 2023

A team of experts from the Asia Pacific Group (APG) has been assessing Timor Leste’s efforts to prevent money laundering and terrorist financing, sparking concerns about the prevalence of these illicit activities in the country.

Evaluation Process

The evaluation took place over a period of 10 days, involving meetings with various public and private sector institutions involved in combating money laundering and terrorist financing. The APG team evaluated Timor Leste’s legal regime and instruments to prevent these crimes, as well as its progress in complying with international standards.

Importance of the Evaluation

According to Justice Minister Amândio de Sá Benevides, “This evaluation will help us identify the strengths and weaknesses of our AML/CFT system and provide recommendations on how to improve it.” The assessment is crucial for identifying areas of improvement and ensuring that Timor Leste’s anti-money laundering (AML) and combating the financing of terrorism (CFT) systems are effective.

APG Evaluation Team

The assessment was carried out by a team of 10 experts from APG, comprising legal, financial, and law enforcement specialists. The evaluation is a core requirement for APG membership, and Timor Leste has been a full member since July 2008.

Benefits of the Assessment

Maria Sarmento, Director of the Central Bank of Timor Leste (BCTL), said that “APG provides recommendations to Timor-Leste to improve its AML and CFT system or regulations, and they also review our progress in complying with international standards.” The evaluation will help improve the country’s AML/CFT system and regulations.

Report Submission

The evaluation is expected to submit a report at the APG’s annual meeting in July 2024, which will provide insights into Timor Leste’s efforts to combat money laundering and terrorist financing.