NAURU’S BLACKLISTED BANKS REEMERGE: FIB ISSUES WARNING TO US FINANCIAL INSTITUTIONS

A Growing Concern

The International Chamber of Commerce’s Financial Investigation Bureau (FIB) has issued a warning to US financial institutions regarding a group of Nauru-registered banks that have re-emerged after being blacklisted by the US Department of the Treasury in 2002.

Background: The Blacklisting of Nauru

In 2002, the island nation of Nauru was designated as a money laundering concern by the US Department of the Treasury. As a result, financial dealings between US institutions and any Nauru-licensed institution were prohibited.

A New Threat Emerges

However, some of these blacklisted banks have been quietly reviving their operations under different guises. FIB Assistant Director Jon Merrett warns that these banks are attempting to disguise their origins, hoping people will forget about their three-year-old designation or believe they are dealing with a new entity.

Vigilance is Key

Merrett emphasizes the need for vigilance, stating:

“It’s an easy trap to fall into, and given the penalties for trading with discredited financial institutions, we strongly recommend taking steps to find out exactly who you’re dealing with.”

What You Can Do

The FIB has catalogued a complete list of Nauru banks and financial institutions named by the US Department of the Treasury. If you are concerned about inadvertently dealing with blacklisted institutions, the FIB offers protective measures such as:

• Tracking assets
• Assisting in exiting correspondent relationships

To avoid confusion and reduce the risk of compromising compliance obligations, Merrett advises financial institutions to contact the FIB for clarification.

Getting in Touch

If you have any questions or concerns about Nauru’s blacklisted banks, please email fib@icc-ccs.org.