Cambodia put back on global money laundering watchlist

Reading Time: 2 minutes

Cambodia Put Back On Global Money Laundering WatchlistParis-based intergovernmental money-laundering watchdog Financial Action Task Force (FATF) has placed Cambodia back on its watchlist on February 22 because of concern it is highly vulnerable to money laundering, a high-level official with knowledge of the issue said, according to a Reuters report.

Cambodia has been removed from the list in 2015, so the new listing would suggest it has been backsliding on efforts to counter money laundering.

The FATF is an organisation founded in 1989 on the initiative of the G7 to develop policies to combat money laundering and terrorism financing.

Cambodia’s placing on the FATF’s “grey list” will likely curtail international financial, investment and trade flows to and from the Southeast Asian country. The listing also comes as Cambodia faces the loss of preferential trade treatment from the European Union due to concerns over its human rights record.

Companies and individuals based in Cambodia could find it “tougher” to use the international financial system after the FATF move, said a senior official of Cambodia’s ministry of economy and finance.

Cambodia’s inclusion on the list follows an FATF “mutual evaluation report” on its policies to counter money laundering and terrorism financing conducted in 2017. The report contained several damning findings and observations, including that no money-laundering case had ever been prosecuted in Cambodia.

Cambodia’s judicial system had “high levels of corruption,” the FATF said in the report, adding that there was “minimal use of financial intelligence in investigating money laundering and potential terrorism financing

The Cambodian Financial Intelligence Unit did not supervise its booming casino and real estate sectors, long identified by organisations such as the United Nations Office on Drugs and Crime as highly exposed to money laundering by organised crime groups.

According to the FATF, there are currently eleven countries on the grey list, including Myanmar and Indonesia. Nord Korea and Iran are currently on the FATF’s “black list,” which calls on its member countries to take active countermeasures against them.

Share your vote!


Do you like this post?
  • Fascinated
  • Happy
  • Sad
  • Angry
  • Bored
  • Afraid

Paris-based intergovernmental money-laundering watchdog Financial Action Task Force (FATF) has placed Cambodia back on its watchlist on February 22 because of concern it is highly vulnerable to money laundering, a high-level official with knowledge of the issue said, according to a Reuters report. Cambodia has been removed from the list in 2015, so the new listing would suggest it has been backsliding on efforts to counter money laundering. The FATF is an organisation founded in 1989 on the initiative of the G7 to develop policies to combat money laundering and terrorism financing. Cambodia’s placing on the FATF’s “grey list” will...

Reading Time: 2 minutes

Cambodia Put Back On Global Money Laundering WatchlistParis-based intergovernmental money-laundering watchdog Financial Action Task Force (FATF) has placed Cambodia back on its watchlist on February 22 because of concern it is highly vulnerable to money laundering, a high-level official with knowledge of the issue said, according to a Reuters report.

Cambodia has been removed from the list in 2015, so the new listing would suggest it has been backsliding on efforts to counter money laundering.

The FATF is an organisation founded in 1989 on the initiative of the G7 to develop policies to combat money laundering and terrorism financing.

Cambodia’s placing on the FATF’s “grey list” will likely curtail international financial, investment and trade flows to and from the Southeast Asian country. The listing also comes as Cambodia faces the loss of preferential trade treatment from the European Union due to concerns over its human rights record.

Companies and individuals based in Cambodia could find it “tougher” to use the international financial system after the FATF move, said a senior official of Cambodia’s ministry of economy and finance.

Cambodia’s inclusion on the list follows an FATF “mutual evaluation report” on its policies to counter money laundering and terrorism financing conducted in 2017. The report contained several damning findings and observations, including that no money-laundering case had ever been prosecuted in Cambodia.

Cambodia’s judicial system had “high levels of corruption,” the FATF said in the report, adding that there was “minimal use of financial intelligence in investigating money laundering and potential terrorism financing

The Cambodian Financial Intelligence Unit did not supervise its booming casino and real estate sectors, long identified by organisations such as the United Nations Office on Drugs and Crime as highly exposed to money laundering by organised crime groups.

According to the FATF, there are currently eleven countries on the grey list, including Myanmar and Indonesia. Nord Korea and Iran are currently on the FATF’s “black list,” which calls on its member countries to take active countermeasures against them.

Share your vote!


Do you like this post?
  • Fascinated
  • Happy
  • Sad
  • Angry
  • Bored
  • Afraid