Money Laundering: The FSA Moves In

Abstract

Those carrying on ‘relevant financial business’ are already aware of the responsibilities imposed on them by the legislation relating to money laundering. At present this is made up of a variety of statutes, namely the Criminal Justice Act 1988, as amended (in Scotland the Criminal Justice (Scotland) Act 1987), the Prevention of Terrorism (Temporary Provisions) Act 1989, the Northern Ireland (Emergency Provisions) Act 1991 and the Drug Trafficking Act 1994. Pursuant to the anti‐laundering policy adopted by successive governments, the Money Laundering Regulations came into effect on 1st April, 1994, providing details of the requirements that were imposed on those carrying on ‘relevant financial business’. Since then there have been guidance notes issued by the Joint Money Laundering Steering Group, the Law Society and the Institute of Chartered Accountants which set out the steps that those regulated by particular bodies should take to satisfy the law. The latest step is that the FSA has now issued a draft set of rules that will, when enacted, operate in addition to the above. This has arisen as a result of the Financial Services and Markets Act 2000 which, inter alia, gives the FSA the power to make rules in relation to the prevention and detection of money laundering in connection with the carrying on of regulated activities by authorised persons, with the objective of reducing financial crime. In this context ‘financial crime’ is interpreted to mean

Citation

Haynes, A. (2001), "Money Laundering: The FSA Moves In", Journal of Money Laundering Control, Vol. 4 No. 3, pp. 226-230. https://doi.org/10.1108/eb027275