Regulatory Alerts2020-11-23
Prescribed Businesses Instruction (Number 12) Business from Sensitive Sources - Iran
The Guernsey Financial Services Commission issued Instruction Number 12 under the Criminal Justice (Proceeds of Crime) Law to address urgent money laundering and terrorist financing risks from Iran. This directive responds to Financial Action Task Force calls and coordinated UK Treasury actions regarding Iranian financial institutions. Prescribed businesses are required to immediately report any existing or new business relationships and transactions involving Iranian banks, their branches, subsidiaries, or the Central Bank of Iran to the Commission's Deputy Director of Intelligence Services.
INSTRUCTION (NUMBER 12) FOR PRESCRIBED BUSINESSES BUSINESS FROM SENSITIVE SOURCES 22 November 2011 This Instruction is made under section 49(7) of the Criminal Justice (Proceeds of Crime) (Bailiwick of Guernsey) Law, 1999. The Financial Action Task Force has made repeated calls for jurisdictions to apply effective counter-measures to protect their finance sectors from money laundering and financing of terrorism risks emanating from Iran. The FATF renewed these calls with urgency on 28 October and noted its particular concern about Iran’s failure to address the risk of terrorist financing and the serious threat this poses to the integrity of the international financial system. HM Treasury in the UK has coordinated action within the British Isles in relation to Iranian banks. ACTION TO BE TAKEN BY PRESCRIBED BUSINESSES In light of the foregoing, prescribed businesses must immediately advise Kevin Bown, the Commission’s Deputy Director of Intelligence Services, of any business relationships and transactions with any Iranian banks, including their branches and subsidiaries, or the Central Bank of Iran.