Govt. commits to curbing money laundering
-- practice linked to crime upsurge by Chamanlall Naipaul
Guyana Chronicle
May 25, 2004

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MINISTER of Finance Saisnarine Kowlessar has reiterated government's commitment towards eradicating money laundering activities.

Speaking at the opening of an anti-money laundering seminar yesterday at the Le Meridian, Pegasus jointly organized by the Bank of Guyana and the Caribbean Anti-Money Laundering Programme (CALP), Minister Kowlessar declared: "The government is deeply committed to eradicating this activity for several reasons. We are concerned because of the links that money laundering has with criminal activities, since we have all experienced this, directly or indirectly over the recent past and consequently, the case for stamping out this practice. It is possible to reduce the circulation of money in hardcore criminal activity by restricting money laundering and in so doing contain the underlying criminal enterprise."

He stressed that government's anti-money laundering commitment is evidenced by the enactment of the Money Laundering Prevention Act of 2000 and drafting of the implementing regulations, obtaining membership in the Caribbean Financial Action Task Force (CFATF) as well as the establishment of Financial Institutions Unit specifically to address this problem.

Mr. Kowlessar added that money laundering also undermines the quality and effectiveness of key institutions, pointing out that in societies in which such activities are prevalent the financial sector tends to be weak and ineffective, and this is translated to the institutions tasked with the maintenance of law and order which are the foundations of authority and government.

Legal and Judicial Technical Adviser to CALP, Fitz-Roy Drayton acknowledging the progress that has been made by Caribbean countries in adopting anti-money laundering programmes offered, that the enactment of relevant legislation is important but only implementation of legislative measures is equally important or else they become meaningless.

Speaking on the effectiveness of anti-money laundering programmes in the Caribbean, Drayton disclosed that US$40M in assets suspected of being illegal has been frozen.

He also urged that sharing of information among financial agencies of the various countries in the Caribbean is necessary if the fight against money laundering in the region is to be successful.

CALP began operation in 1999 to provide technical assistance and training to beneficiary countries in their anti-money laundering efforts. It is funded by the European Union, the U.S. and the UK.