Consultation on Policy Paper for the introduction of Administrative Fines for Contraventions of Anti-Money Laundering, Combatting of Terrorist Financing and Countering of Proliferation Financing (collectively “AML”) Requirements
The Financial Intelligence Unit of Trinidad and Tobago (“FIUTT”), the Central Bank of Trinidad & Tobago (“Central Bank”/ “Bank”), and the Trinidad and Tobago Securities and Exchange Commission (collectively, the “Supervisory Authorities”), have developed this policy paper for the introduction of an administrative monetary fine (“AMF”) framework for contraventions of AML statutory requirements.
The AMF framework seeks to remedy a deficiency noted in Trinidad and Tobago’s 4th Round Mutual Evaluation Report published in 2016, and also in Trinidad and Tobago’s 3rd Follow-up Report (“FUR”) published in June 2019. The FUR noted inter alia that the country’s administrative sanction regime was deficient, as the Supervisory Authorities do not have the power to apply administrative monetary fines (“AMF”) to financial institutions and listed businesses (“regulated persons”) for AML contraventions. Consequently, Trinidad and Tobago is currently rated ‘partially compliant’ with the Financial Action Task Force’s Recommendation 35, which requires countries to apply dissuasive and proportionate administrative and civil sanctions, for AML contraventions.
The policy sets out the process by which the Supervisory Authorities may provide written notice offering the regulated person the opportunity to discharge the liability for the contravention, by paying the applicable AMF and by remedying or discontinuing the contravention. The Schedule of the proposed specified contraventions and the applicable AMF is also included in the policy.
This policy is relevant to all persons defined as a “financial institution” in section 2 of the Proceeds of Crime Act, Chap. 11:27 (“POCA”), which includes non-regulated financial institutions as defined in section 2 of the Financial Intelligence Unit of Trinidad and Tobago Act, Chap 72:01 (“FIUTTA”), and persons classified as “listed business” in accordance with a business or profession listed in the First Schedule of the POCA.
INSTRUCTIONS FOR PROVIDING COMMENTS ON THE POLICY:
You are invited to provide comments and feedback on this policy in the following manner:
- Download and completing this Microsoft Excel workbook which contains four (4) worksheets;
- When you are ready to submit your comments please save your completed Microsoft Excel workbook to your device and email it as an attachment to FIUTTConsult@gov.tt.
Comments should be submitted on or before January 21, 2022.
If you have any queries regarding the consultation process, including questions on use of the excel workbook to submit comments, please send an email to FIUTTConsult@gov.tt.
As a precursor to the implementation of this Policy, it is necessary to make amendments to the certain substantive Acts. These amendments are proposed in the Miscellaneous Provisions (Proceeds of Crime, Securities, Insurance and Miscellaneous (FATF Compliance) Bill, 2021, which is currently before the Parliament of the Republic of Trinidad and Tobago. This Bill may be accessed at the following webpage: http://www.ttparliament.org/legislations/b2021h14.pdf.
We thank you in advance for your timely feedback and look forward to your continued cooperation as we strive to implement appropriate AML measures to address the international standards.
Financial Intelligence Unit of Trinidad and Tobago