Thailand
Cambodia: Kingdom remains on FATF’s grey list
Cambodia remains on the grey list of nations under increased monitoring by the Financial Action Task Force (FATF), a Paris-based global watchdog, for deficiencies in their efforts to counter money laundering, terrorist financing, and proliferation financing.
FATF expressed significant concern that Cambodia failed to complete its action plan, which fully expired in January 2021. It strongly urged the country to “swiftly demonstrate significant progress in completing its action plan by June 2022.” Otherwise, the watchdog said, it will consider the next steps, which could include “calling on its members and urging all jurisdictions to apply enhanced due diligence to business relations and transactions with Cambodia.”
It said in February 2019, Cambodia made a high-level political commitment to work with the FATF and APG to strengthen the effectiveness of its AML/CFT regime and address any related technical deficiencies.
“Cambodia should take urgent action to fully address the remaining measures in its action plan as all timelines have already expired. Cambodia should therefore continue to work on implementing its action plan to address its strategic deficiencies, including by enhancing disseminations of financial intelligence to law enforcement authorities in connection with high-risk crimes,” the release added.
It urged the country to demonstrate an increase in ML investigations and prosecutions in line with risk besides showing an increase in the freezing and confiscation of criminal proceeds, instrumentalities, and property of equivalent value.
FAFT added, “Demonstrate that implementation of TFS related to PF is occurring by providing training to strengthen the skills of competent authorities to implement PF TFS, and enhance the understanding of sanctions evasion.”
It said the jurisdictions under increased monitoring are actively working with the FATF to address strategic deficiencies in their regimes to counter money laundering, terrorist financing, and proliferation financing.
The FATF and FATF-style regional bodies (FSRBs) report on the progress achieved by the countries in addressing their strategic deficiencies.
The body pointed out that since the start of the COVID-19 pandemic, it has provided some flexibility to jurisdictions not facing immediate deadlines to report progress on a voluntary basis.
FATF said it has been reviewing the progress of some countries since October 2021. They were Albania, Barbados, Burkina Faso, Cambodia, Cayman Islands, Jamaica, Malta, Morocco, Myanmar, Nicaragua, Pakistan, Panama, Philippines, Senegal, South Sudan, Uganda, and Zimbabwe. Jordan, Mali, Haiti, and Turkey were given the opportunity and chose to defer reporting. Following review, the FATF also identified the United Arab Emirates.
FATF also welcomed the progress made by these countries in combating money laundering and terrorist financing, despite the challenges posed by COVID-19.
Source: https://www.khmertimeskh.com/501038975/kingdom-remains-on-fatfs-grey-list/