TO further bolster Guyana’s Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) efforts, Attorney-General and Minister of Legal Affairs, Anil Nandlall, on Thursday, presented the AML/CFT Amendment Bill to the National Assembly.

During a sitting at the Arthur Chung Conference Centre (ACCC), Liliendaal, Nandlall presented the bill.

The bill aims to elevate Guyana’s AML/CFT legislation, aligning it with international standards set forth by the Financial Action Task Force (FATF) and reinforcing the country’s commitment to transparency and global recommendations.

The proposed amendments are expected to equip law enforcement agencies with enhanced abilities and powers in the fight against money laundering, terrorism financing, and proliferation financing.

With the ever-evolving nature of financial crimes, the People’s Progressive Party Civic-led government has taken proactive measures to stay ahead of the curve, acknowledging the paramount importance of updating its AML/CFT laws to combat these illicit activities effectively.

One of the most critical updates introduced by the bill is found in Clause two, where the interpretation section is revised to align with FATF’s designated definitions.

This will ensure that Guyana’s legal framework adheres to international standards, enabling seamless co-operation and communication with global partners in tackling financial crimes.
Moreover, the new section 2(2)A paves the way for designating specific individuals and entities under the United Nations Security Council Resolutions (UNSCR) Sanctions Regime.

Once an order is issued, the Director of Public Prosecutions (DPP) will simultaneously apply for freezing or restraint orders against the property of the designated person or entity. Notably, the DPP will make these orders public, enhancing transparency and accountability.

Recognising the importance of co-operation among reporting entities in curbing proliferation financing, Sections 22 and 23 have been updated to mandate the filing of suspicious reports linked to such activities.

This measure will enhance intelligence sharing and early detection of potential threats related to proliferation financing.

Additionally, the bill introduces provisions that define privileged material in line with the Regional Security System Asset Recover Unit (RSS) Model Proceeds of Crime Bill (POCA-B).
An exception to privileged material is outlined, specifying that material held with the intention of furthering a criminal purpose shall not be considered privileged. These steps are designed to prevent misuse of privileged information in the facilitation of illegal financial activities.

In a bid to ensure swift and effective implementation of terrorist financing sanctions, Sections 68A and 68E have been amended, streamlining the process for applying such sanctions without delay.

The bill also sets a milestone in criminalising proliferation financing by inserting new sections 75A and 75B into the Act. This strategic measure demonstrates Guyana’s unwavering commitment to combatting all forms of illicit financial activities that threaten national and global security.

Moreover, the amendment to Section 76 enhances Guyana’s capacity for international co-operation, streamlining its ability to collaborate with foreign counterparts and exchange vital information in the fight against financial crimes.

A crucial development within the proposed bill is the recognition of the Special Organised Crime Unit (SOCU) as the primary body within the Guyana Police Force responsible for handling matters related to money laundering, terrorist financing, and proliferation financing.

This recognition bestows SOCU with greater authority and resources, empowering them to take a front-line role in the nation’s efforts to combat financial crimes effectively.
The establishment of the Guyana Compliance Commission under new Section 110A represents another significant milestone.

With its functions to be elaborated further under the Guyana Compliance Commission Act 2023, this body will play a pivotal role in ensuring compliance with AML/CFT regulations and contributing to a robust financial ecosystem.

The proposed bill also includes consequential amendments to the Evidence Act, Combatting the Trafficking of Persons Act 2023, the Financial Institutions Act, and the Foreign Exchange (Miscellaneous Provisions) Act, Cap 86:01, reflecting a comprehensive and interconnected approach to tackle financial crimes across various sectors.

STRONG COMMITMENT
Previously, Nandlall had said that the government is committed to strengthening the country’s AML/CFT framework, especially with an upcoming on-site evaluation and examination by the Caribbean Financial Action Task Force (CFATF).

“Work continues on the AML/CFT as Guyana prepares for an on-site evaluation and examination to be conducted by the Caribbean Financial Action Task Force of Guyana’s financial sector scheduled to take place in September of this year.… We have implemented a number of administrative decisions and measures, as well as checked many aspects of our legislative architecture,” he said

Nandlall highlighted the need for a dedicated regulatory body, stating, “In our AML/CFT structure, it has been recognised that there are agencies that have no regulator or supervisor to lead them.”

“This compliance commission will act as the regulator and supervisor in areas where a proper regulatory framework is absent, ensuring compliance with international standards,” the AG said.
The amendments, which focus on empowering authorities to forfeit assets and seize proceeds of crime, will be presented to the National Assembly ahead of the CFATF evaluation in September.
Highlighting the significance of targeting criminals’ financial assets, Nandlall said, “It is recognised worldwide that one of the most effective ways of dealing with the criminal is to hit him in the pocket or hit them financially.”

He expressed the government’s determination to strengthen its legal framework for asset forfeiture and proceeds of crime, noting, “Our law was not as strong as it should be in that regard.”