Guyana is now a member of the Egmont Group, an international association comprising Financial Intelligence Units (FIUs) from around the world that, among other things, facilitates intelligence exchange and cooperation on money laundering.

This was revealed in a statement from the Attorney General Chambers and Legal Affairs Ministry on Saturday.
“On February 1, 2024, Guyana’s Financial Intelligence Unit’s application for membership of the Egmont Group or International Association of Financial Intelligence Units was granted at the organisation’s recent meeting in Malta,” the missive stated.
In addition to Guyana, the FIUs of Oman, Kenya, and Timor-Leste were also inducted into the association.
Consequently, the Egmont Group now has 174 countries that can cooperate via a secure web portal to exchange intelligence on Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) matters.

There has been talk of Guyana joining the group for years, but the application to join the organisation was only submitted in 2023.
At the Egmont Group’s recent meeting in Malta, Guyana was represented by the Director of the local Financial Intelligence Unit (FIU), Matthew Langevine.
Guyana’s application was sponsored by the FIUs of Trinidad and Tobago and the British Virgin Islands and was supported by the Caribbean Financial Action Task Force (CFATF).
Since taking office in 2020, the People’s Progressive Party/Civic (PPP/C) Government has made significant progress in its anti-corruption efforts. To this end, it has implemented robust measures to strengthen its anti-corruption framework including improving its AML/CFT architecture.
A delegation from the FIUs of Trinidad and Tobago and the British Virgin Islands visited Guyana in April of last year, during which they were updated on the various pieces of legislation currently in draft to strengthen and update Guyana’s AML/CFT regime and to meet the Financial Action Task Force (FATF) international standards.
These include key amendments to the principal AML/CFT Act, a Bill to create an omnibus agency as a supervisory authority for unsupervised entities, and the Real Estate Bill that was passed last August, to provide the regulatory framework for real estate agents and developers.

In September 2023, Guyana underwent an onsite evaluation and examination of its financial sector by CFATF. A critical element of Guyana’s fourth round of mutual evaluation was the enactment of the Real Estate Bill. The draft Real Estate Agents & Brokers Bill was prepared in consultation with the various stakeholders in the local real estate industry and was published for public feedback, before its passage in the National Assembly in August.
Another initiative aimed at addressing the gaps in Guyana’s financial sector in accordance with the AML/CFT stipulations was the establishment of a Compliance Commission, that will supervise the operations of agencies and/or sectors in the country that do not have a direct regulatory body. The Compliance Commission Bill 2023 was also passed.
Attorney General and Legal Affairs Minister Anil Nandlall, SC, had disclosed during his 2024 Budget debate presentation last month that the CFATF review was successful.
The Government’s anti-money laundering strategies are laid out in its five-year plan, which was released by the Attorney General’s Chambers last year. According to the strategy, laws and regulations will be developed and revised during that time in line with international standards.

While there are existing AML/CFT laws, more can be done to strengthen or clarify the legislative framework, to better aid Law Enforcement Agencies (LEAs) to carry out their duties. The deadline given to complete the updates and revisions to this legal framework is the fourth quarter of 2025.

The post FIU GUYANA JOINS EGMONT GROUP appeared first on Finance Intelligent Unit (Guyana).

Expo Times:

Saturday December 9, 2023 (10:00am to 6 pm)
Sunday December 10, 2023 (10:00 to 5 pm)

The Expo seeks to bring together national and international organizations working in various areas of anticorruption and human rights.

There will be an anti-corruption Panel Discussion on Saturday December 9 from 11:00am to 1:00pm. The panel
discussion topic is: “Using Technology to fight Corruption.”

The Ministry has invited panelists, such as Hon. Dr. Ashni Kumar Singh, M. P., Ms. Cristina San Juan, AntiCorruption and Judicial Integrity Specialist at UNODC Anti-Corruption Hub for Latin America and the
Caribbean, Mr. Vickram Lall, Team Lead -Financial Analysis Department of the Financial Intelligence Unit of
Guyana and a representative from the Cyber Crime Unit of the Guyana Police Force.

Various agencies, including the Financial Intelligence Unit (FIU) will have exhibition booths, where the staff of
these agencies will be engaging visitors on the work/activities of their agencies in the fight against corruption,
human rights, ML and TF. Visitors to the FIU’s booth will get the opportunity to walk away with tokens for
answering ML/TF related questions.

Also, there will be an anti-corruption quiz made available to everyone visiting the Ministry of Parliamentary
Affairs and Governance Booth. Visitors will get a chance to win a cash prize for answering anti-corruption
questions correctly.

All are invited.
See you there!

Director – Financial Intelligence Unit

The post FIU To Take Part in Anti-Corruption and Human Rights Expo 2023 appeared first on Finance Intelligent Unit (Guyana).

The delegation includes, Dr. Gobind Ganga, Governor of the Central Bank, Mr. Matthew Langevine, Director of the Financial Intelligence Unit (FIU), Ms. Alicia Williams Head of Compliance -FIU, Mr. Karim Baksh – Head of the Special Organized Crime Unit (SOCU), Ms. Natasha Backer – Assistant Director of Public Prosecutions and Mr. Rommel St Hill, Anti Money Laundering/Combating the Financing of Terrorism (AML/CFT) Officer in the Attorney General’s Office.

Due to the Covid 19 pandemic this is the first Plenary and Working Group meetings by this body since November 2019. The Plenary which opens on Wednesday November 30, 2022, will follow the working group meetings such as the Heads of FIU forum, a working group of FATF issues, International Cooperation Review Group, Steering Group, and CFATF Risks Trends and Methods Group.

At these meetings, countries who are in the assessment process get the opportunity to discuss key issues identified in their Draft Mutual Evaluation Report; countries that have already been assessed under the fourth-round process provide updates on progress made since their evaluation; delegates are provided updates on outcomes for the FATF various meetings, and on new and emerging money laundering threats in the region.

These meetings also provide opportunities for member states to discuss the implementation of new recommendations and strategies and difficulties that may arise in relation thereto. Cooperation and the building of institutional relationships for exchange of information that may assist in new or ongoing investigations are enhanced. Guyana’s attendance at these meetings is very important, especially as the country prepares for its fourth-round mutual evaluation which is scheduled for 2023. It gives the delegates the opportunity to benefit from the discussions of the mutual evaluation of two of its close neighbors, Suriname and Venezuela whose Reports are currently being discussed and will be featured prominently at the Plenary. Both countries have been flagged with various identified deficiencies.

The post Attorney General Heads Guyana’s AML/CFT Team to CFATF appeared first on Finance Intelligent Unit (Guyana).

In addition to a reporting entity’s obligation to submit reports to the FIU, the Anti-Money Laundering and Countering the Financing of Terrorism legislation imposes a number of other obligations on reporting entities.

These other obligations include:

• Carrying out an assessment of the money laundering and terrorist financing risk your entity may reasonably expect to face.
• Appointing an AML/CFT compliance officer or designating a person to carry out the entity’s compliance function.
• Designing, implementing and maintaining an AML/CFT compliance programme that sets out procedures, policies, and internal controls for, among other things:
  • screening and training of all employees;
  • carrying out due diligence on customers (CDD) – includes customer identification and verification;
  • undertaking monitoring and enhanced due diligence for high risk customers;
  • reporting suspicious transactions (STRs);
  • submission of terrorist property reports (TPRs);
  • effective record-keeping;
  • ongoing risk assessment and risk management and risk mitigation programmes, including risk assessment for new products, business practices and delivery mechanisms; and
  • keeping update to date with new or developing technologies for new and pre-existing products or services.
• Ensuring independent audits and reviews of your entity’s Risk Assessment and AML/CFT Programme are conducted.
• Ensuring that AML/CFT related training is provided to all persons involved in the management of your entity as well as key staff on an ongoing basis.
• Maintaining record of verification of identity of customers; record of customers transactions; as well as a register of ML/TF enquires by the FIU, the Special Organised Crime Unit or other competent authority.
• Ensuring that AML/CFT related training is provided to all persons involved in management of the entity as well as key staff on an ongoing basis.
• Where applicable, reporting entities (financial institutions and money transfer agencies) should obtain the originator or sender’s information and other relevant information for all electronic funds-transfers facilitated by the entity.
• Maintaining records or a register of ML/TF enquires made by the FIU, the Special Organised Crime Unit (SOCU) or any other competent authority.

All records must be kept by the reporting entity for seven (7) years from the date the relevant transaction was completed, or from the date the business relationship with the customer was terminated, whichever is later.  All records must also be capable of retrieval in readable form without undue delay.

The post Issue No. 9: Other obligations of a Reporting Entity appeared first on Finance Intelligent Unit (Guyana).

Information received, accessed, processed, in the possession of or disseminated by the FIU is subject to strict confidentiality laws and safety measures.

Safety mechanisms for the exchange and use of information are in accordance with the Operational Policies and Procedures for FIUs internationally as prescribed by the Egmont Group FIUs. These Operational Procedures and Policies specify clear rules governing the security and confidentiality of information in possession of and shared by the Unit, including disciplinary measures and criminal liability for unlawful disclosures.

The staff members of the FIU are required to undergo various levels of security clearance based on their responsibilities and the need for access to and use of the sensitive and confidential information received and/or possessed by the Unit.

Generally, access to the FIU’s facilities, information and IT systems is restricted to authorized personnel only.

PROTECTION FOR REPORTING ENTITIES FOR DISCLOSING INFORMATION TO THE FIU

Reporting entities are protected by law from criminal and civil liability for the breach of any restriction on disclosure of information imposed by contract or by any legislation,  provided the report is made in good faith by a Compliance Officer or some other duly authorized officer. This exemption is protected whether or not the Officer knows the underlying criminal activity or whether a crime has actually occurred.

TIPPING OFF

Tipping off is the act of alerting a customer, person or entity that a report was or is about to be filed with the FIU or that there is an ongoing investigation pertaining to that customer, person or entity. It is an offence for a person who knows or suspects that a suspicious transaction report or related information has been or will be reported to the FIU, to divulge that fact to another, whereby the investigation is likely to be prejudiced.

PENALTY FOR THE OFFENCE OF TIPPING OFF

Section 5(2) of the AMLCFT Act (2009) stipulates the penalties for the offence of tipping off as follows:

• A fine of one million dollars; and
• Imprisonment for three years.

The post Issue No. 8: Protection of information with the FIU appeared first on Finance Intelligent Unit (Guyana).

Reporting entities are required to submit the following reports to the FIU:

• Threshold transaction reports;
• Suspicious transaction reports; and
• Terrorist property reports.

WHAT ARE THRESHOLD TRANSACTION REPORTS (TTRS)?

TTRs are reports of transactions conducted by customers of reporting entities that meet pre-determined limits/ thresholds.  For example, any cash (or non-cash in some specific instances) transaction (single or accumulated) facilitated by a reporting entity for a customer within a month that meets the following threshold limit:

TTRs are required to be submitted by the 7^th of each month following the month in which the transaction(s) occurred.

WHAT IS A SUSPICIOUS TRANSACTION REPORT (STR)?

A STR is a report which reporting entities are required to submit to the FIU, whenever they suspect or have reasonable grounds to suspect that funds or a transaction (attempted or completed) are connected to the proceeds of a criminal activity, money laundering, terrorism or terrorist financing offences.

A STR must be submitted to the FIU as soon as possible but not later than three days after the suspicion has been formed by the reporting entity.

 WHAT IS A TERRORIST PROPERTY REPORT (TPR)?

A TPR is required to be submitted by reporting entities to the FIU, whenever they have knowledge that funds or other assets in their possession are for a person or entity that is listed on the United Nations Security Council Resolution (UNSCR) 1267 Sanctions List or listed or specified by order of the Minister of Finance in accordance with section 2(2) of the AMLCFT Act 2009. This is based on knowledge that these persons have been linked directly or indirectly to terrorists, terrorist activity, or the financing of terrorism.

These reports are required to be submitted to the FIU immediately (without delay) after the person has been identified as having the beforementioned association.

The post Issue No. 7: Types of reports the FIU receives appeared first on Finance Intelligent Unit (Guyana).

The Guyana Revenue Authority (GRA) is required to send reports of Declaration of International Transportation of Currency hereinafter referred to as “Foreign Currency Declaration Report” to the FIU.

WHAT IS A FOREIGN CURRENCY DECLARATION REPORT?

A foreign currency declaration report is a report prepared by the GRA based on the Declaration of International Transportation of Currency forms it receives from travellers carrying foreign currency amounting to more than US$10,000 or its equivalent in any other currency, into or out of Guyana.

WHEN AND WHERE SHOULD YOU MAKE A FOREIGN CURRENCY DECLARATION?

A person is required to make a foreign currency declaration once they are carrying foreign currency amounting to more than US$10,000 or its equivalent in any other currency out of or into Guyana. The Foreign currency declaration forms are available at all international airports and border/ferry crossings in Guyana.

International Airports include:

• Cheddi Jagan International Airport – Timehri, and
•  Eugene Francis Correia International Airport – Ogle

Border/Ferry Crossings include:

• Border Crossing – Guyana/Lethem
• Ferry Crossing – Guyana/Suriname

ARE THERE PENALTIES FOR FAILURE TO DECLARE OR FALSE DECLARATION?

Yes. Failure to make a declaration as required under section 36 of the AML/CFT Act or section 6 of the Foreign Exchange (Miscellaneous Provisions) Act Cap. 86:01 is an offence.

Additionally, it is an offence under section 6(5) of the Foreign Exchange (Miscellaneous Provisions) Act Cap. 86:01 to knowingly make a declaration that is untrue.
Penalties upon conviction may include the following:

• A fine of two hundred and fifty thousand dollars;
• Imprisonment for six months; and
• Forfeiture of currency found on the person or in the baggage of the traveller in respect of which a declaration was not made.

The post Issue No. 6: What is a foreign currency declaration report? appeared first on Finance Intelligent Unit (Guyana).

SPECIAL ORGANIZED CRIME UNIT (SOCU)

SOCU is a unit of the Guyana Police Force, designated with responsibility for ensuring that money laundering, terrorist financing and other financial crimes are fully and thoroughly investigated. Based on the findings of their investigations, the Unit may make recommendations to the Director of Public Prosecutions (DPP) for appropriate charges to be filed against the subject(s) of the investigation.

HOW DOES THE SOCU FUNCTION UNDER GUYANA’S AML/CFT REGIME?

DIRECTOR OF PUBLIC PROSECUTIONS (DPP)

The Director of Public Prosecutions (DPP) is the constitutional office responsible for instituting and undertaking all criminal prosecutions (including money laundering and terrorist financing) against any person or entity in respect of any offence against the laws of Guyana.

HOW DOES THE DPP FUNCTION UNDER GUYANA’S AML/CFT REGIME?

The post Issue No. 5: List of Supervisory Authorities and their respective Reporting Entities appeared first on Finance Intelligent Unit (Guyana).

The purpose of the Act is to, among other things, provide for unlawful proceeds of all serious offences to be identified, traced, frozen, seized and forfeited.  All citizens of Guyana have a moral obligation to assist in deterring and preventing of money laundering and the financing of terrorism. The AML/CFT Act, however, imposes specific obligations on certain agencies/entities.

The following agencies have special roles and obligations under the AML/CFT legislation:

• Reporting Entities (REs)
• Financial Intelligence Unit (FIU)
• Supervisory Authorities (SAs)
• Special Organized Crime Unit (SOCU)
• Director of Public Prosecution (DPP)
• AML/CFT and Proliferation Financing National Co-ordination Committee
• Other competent authorities (Guyana Revenue Authority, Commercial Registry, Deeds Registry, etc.).

Who is a Supervisory Authority?

A Supervisory Authority is a body or organization designated and responsible for regulation and oversight towards ensuring that reporting entities are compliant with the requirements of the AML/CFT Act and its objectives to combat money laundering and terrorist financing.

A Supervisory Authority is authorized by the AMLCFT Act to engage in the following:

• Conduct AMLCFT examinations, training, regulation, and general oversight, of Reporting Entities
• Enter the business premises of a reporting entity to carry out AML/CFT inspections
• Request and receive information relevant to ML and TF from a reporting entity
• Impose sanctions on a reporting entity for failure to comply with AML/CFT obligations

The range of sanctions that a supervisory authority can impose on a reporting entity that breaches its AML/CFT obligations include:

• Issuing written warnings;
• Ordering compliance;
• Ordering regular reports;
• Prohibiting convicted person(s) from employment by the reporting entity;
• Directing reporting entity to remove defaulting officers from its board;
• Recommending to the appropriate licensing authority (where the supervisor is not the licensing authority) suspension, restriction or withdrawal of reporting entity’s license.
• Imposition of fines between five to fifteen million dollars.

The post Issue No. 4: Measures to prevent Money Laundering and Terrorist Financing appeared first on Finance Intelligent Unit (Guyana).

Money laundering is the act of disguising the source or true nature of money obtained illegally. The crime of money laundering is also associated with other serious offences.

What is a serious offence?

A “serious offence” is an offence against any law in Guyana, for which the maximum penalty is death or imprisonment for life or other deprivation of liberty of not less than six months. See the AML/CFT Act 2009 for the full legal definition.

Some serious offences that are applicable to the crime of money laundering in Guyana include the following:

• Drug Trafficking    
• Fraud
• Insider trading
• Terrorism
• Smuggling
• Tax evasion
• Terrorist financing 
• Robbery or theft
• Corruption and bribery

What are some of the consequences of money laundering?

Money laundering has significant economic and social consequences, especially for a developing country like Guyana.   These macro and micro economic consequences include:

• Increase in Organized Crime and Corruption
• Undermining of the Legitimate Private Sector
• Weakening of Financial Institutions
• Deterrent to new Private Investment
• Loss of Control or Mistakes in Decisions Regarding Economic Policy
• Economic Distortion and Instability
• Loss of Tax Revenue
• Reputational Risk for the Country
• Risk of International Sanctions

What is Terrorist Financing?

Terrorist Financing is the activities that provide financing or financial support, with the unlawful intention or knowledge that they are to be used in the following ways:

• to carry out terrorist acts;
• by a terrorist organization; or
• by an individual terrorist.

What is the consequence of terrorist financing?

Terrorist activities of various forms are the consequences of terrorist financing.        

What are proceeds or crimes?

Proceeds of crime means any property that is derived from or obtained, directly or indirectly, through the commission of a serious offence. The proceeds of criminal activities can be channeled into the economy through numerous different channels, including the financial system.

The post Issue No. 3: What is Money Laundering? What is a serious offence? What are some of the consequences of money laundering?… appeared first on Finance Intelligent Unit (Guyana).