-As CEMESP ends One Day Comparative Analysis of law on Anti-Money Laundering and Terrorist Financing in Liberia, Sierra Leone and Ghana
By James L. Davids
The Director of the Financial Intelligence Unit (FIU) in Liberia, Mr. Alex Cuffy has spoken of the need for more budgetary support to his agency in order to beef up its fight against money laundering and terrorist financing.
Mr. Cuffy was speaking at the ICAMPUS in Monrovia on Tuesday, March 19, 2010 at a one-day validation workshop of anti-money laundering and terrorist financing, comparative analysis of Legal Frameworks: Liberia, Leone and Ghana, which was held in collaboration with the Center for Media Studies and Peacebuilding (CEMESP) with funding from OSIWA..
OSIWA is the Open Society for West Africa.
The FIU boss agreed with the Liberian Consultant, Atty. Oscar Bloh who conducted a study on the money laundering and terrorist financing laws in the three countries that lack of data base was making it difficult to meet reporting obligations.
Mr. Cuffy said Liberia has a cash-based economy, where most financial transactions are done outside the banking sector and a lot of intelligence are not captured in the formal process, thus more funding for the FIU will improve the fight against money laundering.
Liberia’s FIU Director said his institution was happy to work with local NGOs and other Institutions such as CEMESP in building their capacity in the area of Money laundering, but he spoke of the need for OSIWA to provide further direct assistance to his agency beyond the current initiative.
The author of the comparative study, Atty. Oscar Bloh highlighted some key Issues on money laundering in Liberia, Sierra Leone and Ghana.
According to him, study has revealed that Liberia, Sierra Leone and Ghana have dedicated anti-money Laundering (AML) and Terrorists financing (TF) laws.
The Liberian Lawyer and civil society executive noted that these laws criminalized money laundering with differences and similarities in penalties for violators.
In all three countries, he noted that these laws call for the confiscation, freezing and seizure of assets of individuals or entities found guilty of the offense. They make the offense felonious with felonious with Liberia further categorizing it as first degree felony.
According to Atty. Bloh, Liberia and Sierra Leone are yet to subscribe to the membership of Egmont Group that would facilitate information sharing between Finance Intelligence Unit (FIUs). He further, stated that in term of Institutional set up, it has been proven that Ghana is a major regional financial center as compared to Liberia and Sierra Leone.
Atty. Bloh, added that all of the FIUs these three countries are administrative in nature and have similar functions, to monitor, receive and analyze suspicious transaction reports.
He said they do not have investigative powers but provide only intelligence to other relevant investigative institutions based on the findings of their analysis.
FIU’s Director Alex Coffey also said the relevant laws need to be worked on and harmonized into codified piece of legislation to meet international standards.
“This requires legal backstopping in drafting for onward submission to lawmakers for enactment,” the FIU boss asserted.
He then appealed to partners in the fight against money laundering and terrorist financing to support their effort in avoiding a regression that would see Liberia tripping from the watch list to blacklist.
According to Mr. Cuffy, such a situation will mean that financial transfers in aid and grants will be curtailed to have grave economic knock on effect on the country.
The Financial Intelligence Unit receives, analyze and disseminate information to relevant sectors including the national security and the Anti-Corruption Commission, the FIU boss explained.
Throughout the one-day forum, the need for political was imperative in ensuring a successful fight against money laundering and terrorist financing in Liberia.
Liberia is currently upgrading its status to qualify for the global Egmont Group membership. The Egmont Group is the platform for sharing information on terrorist financing and money laundering and provides technical support to member state.
Earlier at the formal opening ceremony, CEMESP Executive Director, Mr. Malcolm W. Joseph said that his Institution is working closely with the Financial Intelligence Unit of Liberia in supporting Liberian Anti Money Laundering Law.
Mr. Joseph also said CESMESP is involved in making awareness of this law amongst Stakeholders. Mr. Joseph added that CEMESP will be working with seven Counties on the awareness of this law.
A proxy for Ms. Massa S. Crayton, Liberia Country Officer of Open Society Initiative of West Africa (OSIWA) lauded the CEMESP for the organizing the forum.
He said that OSIWA is supporting over (90) ninety governmental agencies and some local NGO’s.