Commitment against money laundering to be strengthened

The government was committed against money laundering and the financing of terrorism, Finance Minister John Dalli said yesterday.

Malta has been evaluated by the International Monetary Fund and the World Bank, among other international institutions, and in all instances had positive results.

The fact that no financing of terrorism had been found did not, however, diminish the tremendous effort made so that Malta's financial centre would not serve as a refuge for terrorist finances.

Addressing a seminar at the Hilton on 'The role and responsibilities of financial intelligence units in combating money laundering', Mr Dalli said the government intended to extend the legal structures to casinos, accountants, auditors and estate agents among other sectors to enhance its fight against money laundering.

There would also have to be declarations on the import and export of cash at country borders.

The fight against money laundering and the financing of terrorism could only be done on an international front, Mr Dalli said.

Professor Joseph Bannister, chairman of the Malta Financial Services Authority, said money laundering was the third largest 'business' in the world and the scale of the problem had grown out of all proportion, going up to $500 billion worldwide.

Eighty per cent of all money laundering schemes have an international connection.

While criminals often searched countries where money laundering legislation was weak, they tried to penetrate the banking system by means of digital currency and electronic cash.

"The internet presents the greatest opportunity for money laundering, offering as it does a total lack of traceability of transactions and the movement of capital across borders.

"The fight is to separate criminals from their ill-gotten gains," Prof. Bannister said.

Other speakers included Silvio Camilleri, chairman of the Financial Intelligence Analysis Unit; Anton Bartolo, FIAU board member; Frank Caruana, FIAU director; Andrè Camilleri, MFSA director, and Boudewÿn Verheist, from the Belgian Financial Intelligence Unit.