Minister of Legal Affairs, Hon. Kathy Lynn Simmons, JP, today issued AML-ATF Advisory 1/2019 about the risks in a number of jurisdictions arising from inadequate systems and controls to combat money laundering and terrorist financing.

The Proceeds of Crime (Anti-Money Laundering and Anti-Terrorist Financing) Regulations 2008 (POCA Regulations) require the Bermuda regulated sector and relevant persons to apply enhanced customer due diligence to high-risk countries.

• Regulation 11 (1)(aa) of the Proceeds of Crime (Anti-Money Laundering and Anti-Terrorist Financing) Regulations 2008, requires that a relevant person must apply on a risk-sensitive basis enhanced customer due diligence measures to business relationships with customers in instances where a person or a transaction is from or in a country that has been identified as having a higher risk by the Financial Action Task Force; and

• Regulation 11 (1)(ab) requires that a relevant person to apply, on a risk-sensitive basis, enhanced customer due diligence in instances where a person or transaction is from or in a country which represent a higher risk of money laundering, corruption, terrorist financing or being subject to international sanctions.

As the international anti-money laundering and counter-terrorist financing (AML/CFT) standard-setter, FATF regularly publishes statements that identify high-risk countries based on assessments of their AML/CFT regimes. In accordance with Regulation 11 (1)(aa), the Minister for Legal Affairs would like to draw the regulated sector’s and relevant persons’ attention to the latest FATF publication on high risk jurisdictions.

• Press release from the Ministry of Legal Affairs