WHAT ARE THE
Money laundering and terrorism financing laws in Trinidad and Tobago?
The following laws govern money laundering and terrorism financing in Trinidad and Tobago:
- The Proceeds of Crime Act (POCA), 2000: This Act criminalises money laundering, provides measures for the identification, tracing, and confiscation of proceeds of crime, and establishes the Financial Intelligence Unit (FIU).
- The Anti-Terrorism Act (ATA), 2005: This Act criminalises terrorism financing, provides measures to prevent and suppress terrorist acts, and establishes the Financial Intelligence Unit (FIU) as the national agency responsible for receiving, analysing, and disseminating information related to terrorism financing.
- The Financial Intelligence Unit Act (FIUA), 2009: Establishes the Financial Intelligence Unit (FIU) as the central authority for the receipt, analysis, and dissemination of suspicious transaction reports and other financial intelligence.
These laws aim to combat money laundering, terrorist financing, and other financial crimes in Trinidad and Tobago.
WHAT ARE THE
Key obligations reporting entities have under Trinidad and Tobago's laws?
The key obligations that reporting entities have under the money laundering and terrorism financing laws in Trinidad and Tobago include:
- Customer Due Diligence (CDD): Reporting entities are required to establish and verify the identity of their customers, including beneficial owners. This includes obtaining identification documents, understanding the nature of the customer's business, and assessing the risk associated with the customer relationship.
- Record Keeping: Reporting entities must maintain records related to customer identification, transactions, and other relevant information for a specified period. These records should be easily accessible for review by competent authorities.
- Reporting Suspicious Transactions: Reporting entities are obliged to report suspicious transactions or activities that may linked to money laundering, terrorist financing, or other criminal activities to the Financial Intelligence Unit (FIU). These reports made through submission of Suspicious Transaction Reports (STRs).
- Internal Controls and Policies: Reporting entities must establish and implement internal controls, policies, and procedures to prevent and detect money laundering and terrorism financing. This includes conducting regular risk assessments, implementing effective compliance programs, and providing ongoing training to staff.
- Cooperation with Authorities: Reporting entities are required to cooperate and provide assistance to competent authorities, such as the FIU and law enforcement agencies, in their investigations related to money laundering and terrorism financing.
WHO ARE THE
ML/TF regulators in Trinidad and Tobago and what functions do they perform?
The regulators responsible for monitoring money laundering and terrorism financing in Trinidad and Tobago are:
- Central Bank of Trinidad and Tobago: Responsible for the implementation of monetary policy and the regulation of financial institutions. It plays a crucial role in maintaining financial stability, including the enforcement of AML/CFT laws.
- Financial Intelligence Unit of Trinidad and Tobago (FIUTT): The FIUTT is a national agency responsible for the collection, analysis, and dissemination of financial information related to suspicious or unusual financial activities. It plays a critical role in the fight against money laundering and terrorist financing.
- Trinidad and Tobago Securities and Exchange Commission: Regulates the securities market in Trinidad and Tobago, ensuring fairness and transparency. It is responsible for enforcing AML/CFT regulations within the securities sector, promoting investor confidence, and reducing systemic risk.
WHAT ARE THE
Industry sectors subject to ML/TF regulations?
In Trinidad and Tobago, the following industry sectors are regulated under Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) laws:
WHAT ARE THE
Penalties for non-compliance with AML/CTF laws?
In Trinidad and Tobago, non-compliance with Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) laws can result in severe penalties under the Proceeds of Crime Act (POCA) and the Anti-Terrorism Act (ATA).
For individuals, non-compliance can lead to:
- Imprisonment: Imprisonment for up to twenty-five years and/or a fine of up to $25 million TT dollars for money laundering offenses under the POCA.
- $5 million Fine: An additional fine of $5 million TT dollars and imprisonment for up to five years if a person fails to report suspicious activity.
- Imprisonment and Fine: For offenses related to terrorism financing under the ATA, imprisonment for a term of up to twenty-five years and/or a fine of an unlimited amount.
For corporations, non-compliance can attract:
- $50 million Fine: A fine of $50 million TT dollars for money laundering offenses.
- $5 million Fine: An additional fine of $5 million TT dollars if the corporation fails to report suspicious activity.
For offenses related to terrorism financing, a fine of an unlimited amount.
Additional penalties under specific sections of the law include:
- $20,000 Fines: A fine of up to $20,000 and imprisonment for up to 6 months for offenses under section 5(3).
- $500,000 and More Fine: A fine of up to $500,000 and a further fine of $25,000 for each day that the offence continues, or a fine of up to $1 million and a further fine of $50,000 for each day that the offence continues, for offenses under section 12.
- $250,000 Fine and Imprisonment: A fine of up to $250,000 and imprisonment for up to 3 years for offenses under section 21(2).
- $250,000 Fine and Imprisonment: A fine of up to $250,000 and imprisonment for up to 3 years for an FIU officer who discloses information not in the proper exercise of their duties.
Lastly, non-compliant businesses may also face other sanctions, such as enhanced monitoring measures by the regulator or even loss of their business license.