From: tcmay@got.net (Tim May)
Date: Fri, 9 Feb 96 18:41:29 PST
To: tcmay@got.net
Subject: World's Financial Police To Cast Money Laundering Net Wider
In-Reply-To: <4fbg19$nv1@ixnews7.ix.netcom.com>
Message-ID: <199602100539.VAA23895@you.got.net>
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I found this article in misc.survivalism, but despite its presence there,
it actually has some interesting things to say about developing directions
in money laundering enforcement, including mention of electronic purses.
And "The Financial Times" is no slouch of a paper.

--Tim May



In article <4fbg19$nv1@ixnews7.ix.netcom.com>, taxhaven@ix.netcom.com(Adam
Starchild ) wrote:

> From The Financial Times (London) for February 3-4, 1996:
> 
> 
>    WORLD'S FINANCIAL POLICE TO CAST MONEY LAUNDERING NET WIDER
> 
>              by George Graham, Banking Correspondent
> 
> 
>      The world's leading financial policemen are to consider
> targeting money laundering from arms trafficking, extortion and
> bribery as well as the drugs trade.
>      Members of the Financial Action Task Force, grouping senior
> government officials from the European Commission, the Gulf Co-
> operation Council and 26 other countries, have launched a review
> of their guiding principles.
>      The review is expected to be completed by June, and could
> result in the criminalisation of money laundering linked to any
> serious crime.
>      The Task Force's current recommendations, which set out
> minimum standards for money laundering laws in member countries,
> only require the criminalisation of drug money laundering,
> although countries are also urged to consider extending the
> offence to other crimes with a narcotics link.
>      Mr. Ronald Noble, under-secretary for enforcement at the US
> Treasury and president of the Task Force, said the group had not
> yet decided whether to widen the definition of money laundering. 
> Including all serious crimes could, however, make it simpler for
> law enforcement officials to launch investigations of
> transactions that look suspicious but have no obvious drugs link.
>      "It would make it much easier to collect information," Mr.
> Noble said. "People who before were engaged in the illegal
> transfer of funds would find it more difficult and more costly."
>      A broader definition might, however, make it more difficult
> to apply the Task Force recommendation that countries should have
> the power to confiscate laundered money.
>      The review is not expected to result in big changes to the
> 40 principles currently recommended by the Task Force, which
> officials believe have already contributed to substantial
> advances in the fight against money laundering.
>      But the review will also have to consider whether to address
> the new issues raised by the development of "cybercash," new
> varieties of payments systems such as stored value cards or
> electronic purses.
>      "We have to be concerned as an organisation to come up with
> principles which recognize that technologies could pose a threat
> but do not define them in such a way that you are dated as soon
> as you publish them," Mr. Noble said.
>      Law enforcement officials are keen that the developers of
> new financial technologies should think about their criminal
> potential before they launch them, so that governments do not
> have to clamp down on them afterwards with rigid rules.
>      Possible safeguards against the misuse of electronic purses
> could include limiting their maximum value or restricting their
> use to certain closed systems.
> 
> Posted by Adam Starchild
>      Asset Protection & Becoming Judgement Proof on the World
> Wide Web at http://www.catalog.com/corner/taxhaven