REGULATORY UPDATES ON FINANCIAL CRIME PREVENTION IN THE TURKS AND CAICOS ISLANDS
Strengthening Anti-Money Laundering and Combating Terrorism Frameworks
The Turks and Caicos Islands have made significant strides in enhancing their regulatory framework to combat financial crime, including money laundering and terrorist financing. Recent updates aim to strengthen the effectiveness of the current system.
The Anti-Money Laundering Committee
At the heart of the Turks and Caicos Islands’ AML/CFT efforts is the Anti-Money Laundering Committee (AMLC), established under Section 115 of the Proceeds of Crime Ordinance. The committee, chaired by the Attorney General, brings together key stakeholders from various sectors to advise on the prevention of money laundering, terrorist financing, and the financing of proliferation.
- Advises the Governor on the development of a national plan of action to prevent financial crime
- Issues codes and guidance for financial institutions and other designated non-financial businesses and professions (DNFBPs)
- Authorizes payment out of the National Forfeiture Fund
Role of Key Government Agencies
Attorney General’s Chambers
The Attorney General’s Chambers plays a critical role in coordinating the country’s AML/CFT efforts, processing mutual legal assistance requests, and handling external orders under Schedule 4 to the Proceeds of Crime Ordinance. The Attorney General also serves as the Civil Recovery Authority, allowing for the recovery of proceeds from unlawful conduct without the need for a conviction.
Financial Services Commission
The Turks and Caicos Islands Financial Services Commission is responsible for monitoring compliance by licensees with AML/CFT laws and regulations. The commission’s supervisory role includes ensuring that financial businesses and DNFBPs implement effective AML/CFT measures to prevent financial crime.
Director of Public Prosecutions
The Director of Public Prosecutions (DPP) has the power to institute and undertake criminal proceedings against any person for an offence against any law in force in the islands. The DPP also conducts criminal confiscation proceedings under Part II of the Proceeds of Crime Ordinance, seeking to recover financial benefits gained from committing a crime.
Royal Turks and Caicos Islands Police Force
The Royal Turks and Caicos Islands Police Force (RTCIPF) investigates and develops ML/TF cases, leading to prosecution and recovery of proceeds from crime. A senior officer may apply for Production Orders under the Proceeds of Crime Ordinance in relation to criminal conduct, investigations, and money laundering.
Customs Department
The Customs Department collects import and export duties on behalf of the Turks and Caicos Islands Government, preventing and interdicting illegal drugs and other prohibited and restricted goods while facilitating legitimate trade and international travel.
Financial Intelligence Agency
Established by the Financial Intelligence Agency Ordinance, the agency plays a central role in the country’s anti-money laundering regime. It receives Suspicious Activity Reports from financial businesses and DNFBPs, conducts enquiries, and develops intelligence products to support law enforcement agencies.
Conclusion
These regulatory updates demonstrate the Turks and Caicos Islands’ commitment to strengthening their AML/CFT framework and enhancing their ability to combat financial crime. The country continues to work towards international standards and best practices in preventing money laundering, terrorist financing, and the financing of proliferation.