The Alliance For Change wishes to make a preliminary comment on the reported extension given by the Caribbean Financial Action Task Force (CFATF) for Guyana to reform laws to fight illicit and other forms of dirty money.
The Alliance For Change wishes to make a preliminary comment on the reported extension given by the Caribbean Financial Action Task Force (CFATF) for Guyana to reform laws to fight illicit and other forms of dirty money.
We would await the details of what transpired in Managua, what representation the Guyana Government made, and what progress, if any, has been reported by the Financial Intelligence Unit in investigating money laundering.
This unit, headed by Mr Paul Geer, has made no report over several years on the implementation of the Anti-Money Laundering and Countering the Financing of Terrorism Act, which came into law in 2009. Mr Geer must feel compelled to tell this nation whether any persons, including politically exposed persons, have been investigated for handling proceeds of crime – be it bribe money, kick-backs for contracts etc.
For us, the issue is not simply to reform the law to deal with the burgeoning financial underworld, but on enforcing the law, protecting legitimate businesses and safeguarding our state’s revenue stream. For a start, we need to know how many transactions the FIU has undertaken, and whether or not there has been progress in identifying possible sources of contaminated cash.
Recently, it was unearthed in Trinidad that money launderers and drug traffickers were renting the bank accounts from persons of ‘straw’, who would sell their banking identity documents. The ‘tenants’ reportedly cleaned large sums of money which, in turn, were wired to safe havens overseas.
The FIU could tell the nation if the process of establishing multiple proof of identity of account holders has been completed, so that our financial institutions could have a firewall that could insulate them from infiltration by phantom customers.
Though we are committed in the national interest to help our faltering government to keep faith with international obligations, the AFC would be hesitant to expedite passage of laws or reformation of laws when all that happens at the end of the day is that we unleash a hoard of toothless poodles, such as we already have in the name and shape of the Integrity Commission, (which is Headless); the Public Procurement Act, which is devoid of a Constitutional Commission to enforce it, and a Tribunal to review its workings.
The AFC will not de-link reform of the AML-CFT from enforcement mechanisms for its sister legislation, the Public Procurement Act and the Integrity Act.
