China and US Forge Partnership to Combat Financial Crimes

Historic Memorandum Signed between FinCEN Director and Chinese Counterpart

Washington D.C. - In a significant move to combat financial crimes, Jennifer Shasky Calvery, Director of the Financial Crimes Enforcement Network (FinCEN), signed a Memorandum of Understanding (MOU) with Luo Yang, Director-General of China’s Anti-Money Laundering Monitoring and Analysis Center (CAMLMAC) on December 11.

Enhanced US-China Collaboration

The agreement aims to facilitate expanded US-China collaboration, communication, and cooperation between their respective financial intelligence units (FIUs). The MOU provides a framework for sharing information on money laundering and the financing of terrorism, enabling both countries to prevent illicit actors from exploiting their financial systems.

Objectives of the Strategic and Economic Dialogue

This development comes as part of the September 2015 meetings between US and Chinese leaders, furthering the objectives of the US-China Strategic and Economic Dialogue. The MOU is a significant step in building trust and cooperation between the two nations to combat global financial threats.

Quotes from Director Calvery

“This Memorandum provides an important foundation for a reciprocal exchange of extremely valuable financial information to help thwart terrorism and money laundering in these perilous times,” said Director Calvery. “Building this mutually beneficial bridge of cooperation will serve each country’s vital interests and help protect the citizens of both our countries from the damage that criminals and terrorist financiers can inflict.”

FinCEN’s Role

As the FIU for the United States, FinCEN is responsible for collecting, analyzing, and disseminating financial intelligence to law enforcement and other relevant authorities to combat money laundering and the financing of terrorism. The organization has established dozens of similar MOUs with other FIUs, part of the global network of the Egmont Group, to share information and protect the world’s financial system.

CAMLMAC’s Contribution

CAMLMAC, FinCEN’s Chinese counterpart, possesses financial intelligence that will provide valuable information to US law enforcement investigators, helping them track down criminal networks and expose illicit activity in the global economy. The MOU ensures that exchanged information is used only in an authorized manner and treated confidentially.

Key Takeaways

• The MOU facilitates expanded US-China collaboration on combating financial crimes
• The agreement provides a framework for sharing information on money laundering and terrorism financing
• FinCEN and CAMLMAC will exchange financial intelligence to prevent illicit activity in the global economy