MFSA Notice to Financial Services Licence Holders regarding FATF identified jurisdictions with strategic deficiencies

On February, 22 the Financial Action Task Force (FATF) – the international authority for anti-money laundering and combating the financing of terrorism identified jurisdictions with strategic deficiencies.

In order to protect the international financial system from AML\FT risks the FATF calls on its members to apply counter-measures or intensified due diligence to the jurisdictions that pose risks to the integrity of the global financial system.

The FATF urges all the jurisdictions to pay special attention to business relationships and transactions with Democratic People’s Republic of Korea (DPRK) and apply financial sanctions in accordance with applicable United Nations Security Council Resolutions. FATF members should immediately close branches of the DPRK banks on their territories and terminate any relationships with the banks of Northern Korea.

The FATF requires enhanced due diligence examination for financial institutions based in Iran as the the legislation in line with FATF Standards have not been enacted in the country. Iran will remain on the FATF Public Statement until the Action Plan to address the strategic AML/CFT deficiencies has been fully completed. Increased supervision is expected towards natural and legal persons from Iran with respect to business relationships and transactions.

More information in Public Statement – February 2019 via link – http://www.fatf-gafi.org/publications/high-riskandnon-cooperativejurisdictions/documents/public-statement-february-2019.html

Contact us now for further information on the application of such guidelines. Get in touch viainfo@ellulschranz.com or +356 2010 3020.

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