Press Release - 27 September 2000
Report endorses Jersey's "robust" arsenal of anti-money laundering legislation
Jersey's high anti-money laundering standards are now close to "complete adherence" with international recommendations, according to a report prepared by evaluators from the United States, France, and Malta. Commenting on the report, Richard Pratt, Director General of the Commission, said: "The report is an important endorsement of all that Jersey has done in this area over the last few years."
The report calls for appropriate changes in a few remaining areas to ensure that these standards are met in accordance with the 40 Recommendations set by the Financial Action Task Force on Money Laundering (FATF). The report will now be presented to the FATF in Paris.
The report concludes that:
· Jersey now has in place a "robust" arsenal of legislation, regulations, and administrative practices to counter money laundering. These arrangements are close to 'complete adherence' with the FATF 40 recommendations.
· The Island's authorities clearly demonstrate a political will to ensure that their offshore financial institutions and associated professionals maximise their defences against money laundering, and co-operate effectively in international investigations into criminal funds.
· The Island's system of financial regulation is comprehensive and effective and can employ wide ranging sanctions for non-compliance.
· Jersey now has a good record of co-operation with overseas requests for assistance, on both regulatory and criminal matters.
The report also strongly endorses the Jersey Financial Commission's programme which provides for the regulation, licencing, and supervision of company and trust service providers in the Island by the end of this year. The new requirements are one of the first to be put in place anywhere. They place Jersey at the forefront of international efforts to prevent the abuse of company structures for criminal purposes.
Richard Pratt added: "We have become increasingly effective in our fight against money laundering- as the substantial increase in suspicious transactions reports following the introduced of our Proceeds of Crime Law in July 1999, shows. We are determined to be leaders in the fight against money laundering.
"We will consider carefully all the points raised in the report. In fact the Commission is consulting or legislating on most of them already."
"Jersey is very committed to the discipline of multilateral surveillance and peer review. The report follows the Island's rating as a "Group 1" jurisdiction (defined as co-operative, with a high quality of supervision) in a survey of 35 onshore jurisdictions earlier this year by the G7's Financial Stability Forum (FSF); and an FATF report in June that the Island should be regarded as co-operative in the fight against money laundering. Both the FATF and FSF reports are entirely consistent with the findings of the 1998 Edwards Report, which placed the Island in the "top division" of offshore finance centres."