Cyprus and US Join Forces to Bolster Financial Crime Prevention Measures

Collaboration Between Cyprus, US to Fortify Global Financial System

The financial systems of Singapore, Cyprus, and the United States are taking concerted efforts to bolster their defenses against financial crimes. In this context, Cyprus and the US have signed a memorandum of cooperation to intensify collaborative efforts in curbing financial crimes.

Objectives of the Cooperation Agreement

The Cyprus Council of Ministers announced the agreement, detailing its primary objective: fortifying law enforcement authorities in battling sanctions violations, corruption, money laundering, and related financial crimes [1].

Partnership Between Cyprus Police and FBI

In a statement, the council highlighted the importance of the new collaboration between the Cyprus Police and the FBI. This partnership will expedite investigations and counteract money laundering activities, reflecting Cyprus’s commitment to strengthening its law enforcement against illegal financial activities [1].

Under this cooperation, both parties will focus on exchanging investigative methodologies, tactics, and techniques, ensuring the highest standards of confidentiality and data protection [2].

Singapore’s MAS Introduces COSMIC: A Centralized Hub for Financial Institutions

Singapore’s Monetary Authority (MAS) has unveiled an innovation—the Collaborative Sharing of Money Laundering (ML)/Terrorist Financing (TF) Information and Cases (COSMIC) platform. This online platform’s goal is to enhance the financial system’s resilience against financial crimes [3].

Key Features and Benefits of COSMIC

Some of COSMIC’s essential features include:

Empowering financial institutions (FIs) to alert each other of suspicious activities [3].
Increasing overall risk assessment effectiveness [3].
Strengthening Singapore’s capabilities as a trusted and well-regulated financial center [3].

COSMIC Participants and Focus Areas

Some of the initial participants include Singapore’s six leading commercial banks and the MAS [3]. The primary focus areas in this collaboration include trade finance for illicit activities, proliferation financing, and misuse of legal entities [3].

New AML Guidelines for Money Laundering Officers and Virtual Asset Service Providers

Separately, the Malta Financial Services Authority (MFSA), Securities and Exchange Commission (SEC), and Financial Conduct Authority (FCA) have introduced new Anti-Money Laundering (AML) guidelines for money laundering officers and Virtual Asset Service Providers [4].

Strict Penalties for AML and CFT Failings in UAE

The United Arab Emirates (UAE) has imposed stringent penalties for AML and Counter-Financing of Terrorism (CFT) violations, as part of ongoing efforts to combat financial crime within its borders [5].

India and the United States Collaborate to Combat Financial Crime

The US and India have announced an ongoing collaboration to identify financial crimes [6]. Stay tuned for updates on this developing story.

[1] Cypriot Council of Ministers, “Cooperation with the United States on Combating Financial Crimes,” press statement, 27 April 2023, www.moci.gov.cy/moci

[2] Cyprus Mail, “U.S. FBI and Cyprus Police signed MOU,” article, 27 April 2023, www.cyprus-mail.com

[3] Monetary Authority of Singapore, “Collaborative Sharing of Money Laundering/Terrorist Financing Information & Cases (COSMIC),” factsheet, 26 April 2023, www.mas.gov.sg

[4] Financial Crimes Enforcement Network (FinCEN), “MFSA, SEC, and FCA Issue New Joint Guidance for Money Laundering Officers and Virtual Asset Service Providers,” press release, 24 April 2023, www.fincen.gov

[5] Gulf Business, “UAE Impose strict penalties for financial crime offences,” article, 20 April 2023, gulfbusiness.com

[6] Press Trust of India, “India, US to collaborate in identifying financial crimes,” article, 19 April 2023, www.ptinews.com