The Private Sector Commission (PSC) is calling on the government to take urgent steps to address key deficiencies in the country’s Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) administration.
In a statement issued yesterday, the PSC said it was “deeply concerned” that Guyana remains on a list of countries being monitored by the Financial Action Task Force (FATF), which recently urged Guyana to address its remaining deficiencies and continue the process of implementing its action plan.
The FATF last week noted that since June this year, Guyana has taken steps toward improving its AML/CFT regime, including by enacting the AML/CFT Amendment Act 2015. However, it said “certain strategic deficiencies” remain and it recommended that the country should continue to implement its action plan, including ensuring and implementing an adequate legal framework for identifying, tracing and freezing terrorist assets; ensuring a fully operational and effectively functioning Financial Intelligence Unit (FIU); establishing effective measures for customer due diligence and enhancing financial transparency; and implementing an adequate supervisory framework.
The PSC acknowledged that a significant step has been taken in remedying Guyana’s AML/CFT deficiencies with the passing of the Act and it congratulated the government on achieving the milestone. At the same time, it said Guyana agreed to an action plan with the FATF in October last year and its implementation remains crucial to the removal of the country from any list of countries that need to be monitored by the FATF. “…Until all the elements agreed to have been effectively dealt with, transactions emanating from Guyana will continue to be subject to additional scrutiny,” it added.
As a result, the PSC advised that government take the steps necessary to urgently remedy these strategic AML/CFT deficiencies so that Guyana can be removed from the monitoring list.
Opposition Chief Whip Gail Teixeira on Wednesday asserted that since the AML/CFT legislation was passed in June, the government has done very little to engage in the non-legislative FATF requirements.
Teixeira said the PPP/C was advocating that government re-establish a national advisory committee on AML/CFT, which under the previous administration was able to work with all necessary agencies that would be affected by the AML/CFT Act to coordinate and synchronise strategies.
While in opposition, APNU and the AFC, which now form a coalition government, had pressed for representation on the committee. Teixeira said now it would do no harm if the government were to involve members of the opposition, particularly those familiar with the process. She stated that simultaneously, the National Assembly could make immediate strides to appoint the members of the AML/CFT Authority to pave the way for a functioning FIU.
Minister of Governance Raphael Trotman had noted prior to the PPP/C’ members taking up their seats in the National Assembly that government would not proceed without cooperation from the opposition. However, since then there have been no moves to proceed.
‘Important pillars of governance’
Meanwhile, the Guyana Trades Union Congress (GTUC) yesterday reminded the government of its obligation to establish the constitutionally-required Public Procurement Commission and the Integrity Commission.
“Both are hinged to countering money laundering and financing of terrorism. As such establishment must be a matter of immediacy,” the GTUC said in a statement.
“Where the PPP regime failed to get the important pillars of governance in order, it behooves this administration to fix the anomalies in the system,” it added.
In response to the PSC’s concerns, the GTUC also noted yesterday that Guyana’s current status was expected. It recalled that Roger Hernandez, the Caribbean Financial Action Task Force’s Financial Advisor who visited Guyana in February last year, had informed that the status would likely remain for a minimum of two years, with removal contingent on implementation/enforcement of the laws.
“This inconvenience, though necessary, should be laid at the PPP regime’s feet who since 2009 had engaged in dilatory tactics in moving Guyana towards international compliance,” the GTUC added.
The GTUC also emphasised that the current APNU+AFC government has a responsibility to move to have the other supporting structures established that would lead to the required accountability, thereby demonstrating Guyana’s commitment to honour its obligations under international AML/CFT conventions, as a member of the international community.
