2022-03-11
Added · Updated
The Hong Kong Monetary Authority updates authorized institutions on Financial Action Task Force statements regarding high-risk jurisdictions and the situation in Ukraine. Institutions must continue applying enhanced due diligence measures to Iran and North Korea while monitoring emerging risks associated with the conflict in Ukraine. The document also highlights FATF plenary outcomes, specifically amendments to Recommendation 24 requiring jurisdictions to prevent the misuse of legal persons for money laundering or terrorist financing.
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Our Ref.: B10/14C
B1/15C
11 March 2022
The Chief Executive
All Authorized Institutions
Dear Sir/Madam,
Statements issued by the Financial Action Task Force I am writing to update you on the statements published by the Financial Action Task Force (FATF) identifying jurisdictions that have strategic deficiencies in their antimoney laundering and counter-financing of terrorism (AML/CFT) and counter proliferation financing regimes, and also draw your attention to a number of outcomes from the FATF Plenary meeting held between 2 and 4 March 2022. Statements on “High-Risk Jurisdictions subject to a Call for Action” and “Jurisdictions under Increased Monitoring” In response to the COVID-19 pandemic, the FATF has paused the review process for the list of “High-Risk Jurisdictions subject to a Call for Action” since February 2020. Authorized Institutions (AIs) should therefore continue to refer to the HKMA circular on “Statements issued by the Financial Action Task Force” dated 11 March 2020, in particular, applying the enhanced due diligence measures and other counter-measures in relation to Iran and the Democratic People’s Republic of Korea. In addition, the FATF has issued an updated statement on “Jurisdictions under Increased Monitoring”. The statement can be found at: https://www.fatfgafi.org/publications/high-risk-and-other-monitoredjurisdictions/documents/increased-monitoring-march-2022.html. FATF Public Statement on the Situation of Ukraine The FATF issued a public statement on the situation of Ukraine concerning the impact on the money laundering, terrorist financing and proliferation financing risk environment as well as the integrity of the financial system, the broader economy and safety and security. AIs should monitor the situation closely, and be vigilant to the possibility of emerging risks. The statement can be found at: https://www.fatfgafi.org/publications/fatfgeneral/documents/ukraine-2022.html. /…Page 2
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Source: Hong Kong Monetary Authority — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works
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