Plan to deal with greylisting underway

 The International Cooperation, Trade and Security cluster has noted the Financial Action Task Force’s (FATF) decision to list South Africa as a “jurisdiction under increased monitoring”, more commonly referred to as its greylist.

The cluster said yesterday Cabinet has considered the action plan and is committed to actively working with the FATF to swiftly and effectively address all outstanding deficiencies.

‘International standards’

SA was put on the greylist recently for falling short of certain international standards for the combating of money laundering and other serious financial crimes.

FATF assessed the country needed to make further and sustained progress in addressing the eight areas of strategic deficiencies related to the effective implementation of its anti-money laundering/combating the financing of terrorism laws as set out in the FATF’s statement.

President Cyril Ramaphosa said most of these deficiencies related to the implementation of laws. “Our action plan to address these deficiencies is aligned with the work we are doing to implement the recommendations of the state capture commission as outlined in our submission to parliament in October last year,” he said.

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Criminal syndicates

Like all countries, SA is dealing with the shifting sands of globalised crime and criminal syndicates. The challenge facing authorities is to anticipate criminal innovation and respond swiftly and effectively.

The country has sought to build credible, independent institutions and implement effective laws to deal with complex financial crimes of this nature.

It has forged collaborative relationships with transnational entities and global bodies in the financial sector, including the FATF and Interpol.

It has come a long way in developing world-class expertise, legislative reform and strengthening state institutions to combat complex financial crime.

One of the country’s most effective tools for combating financial crimes is the multidisciplinary Fusion Centre, established in 2020, he said. The cluster is responsible for Priority 7 of the Medium-Term Strategic Framework 2019-2024, A Better Africa and World.

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