FINTRAC provides additional money laundering indicators associated with human trafficking for sexual exploitation in support of Project Protect — FINTRAC — CA

From:

Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)

News release

July 30, 2021
, Ottawa ON

On this
World Day Against Trafficking in Persons
, FINTRAC has published its latest Operational Alert, Updated Indicators: Laundering of proceeds from human trafficking for sexual exploitation . Following a strategic analysis of its financial intelligence since the launch of Project Protect and developed in consultation with BMO and Canada’s other major financial institutions and the Royal Canadian Mounted Police, these additional indicators are meant to further assist businesses in identifying and reporting to FINTRAC financial transactions suspected of being related to the laundering of funds associated with human trafficking for sexual exploitation.

Suspicious transaction reporting is critical to the Centre’s analyses and the financial intelligence that it is able to generate in support of the money laundering investigations of Canada’s police and law enforcement agencies. By following the money, FINTRAC is able to help police and law enforcement identify and target the perpetrators of this horrific crime.

Launched in 2016 as an innovative public-private partnership, Project Protect is an important element of the Government of Canada’s National Strategy to Combat Human Trafficking: 2019–2024 , and is playing a key role in helping to protect and rescue some of Canada’s most vulnerable citizens.

Quotes

“Working closely with Canada’s financial institutions and law enforcement agencies, FINTRAC is harnessing the power of financial intelligence to help identify perpetrators—and broader networks—linked to these appalling acts. Project Protect is a clear and tangible example of the critical role that Canada’s Anti-Money Laundering and Anti-Terrorist Financing Regime is playing in protecting the safety of Canadians and the integrity of Canada’s financial system.”

“As a survivor of human trafficking, I have worked closely with financial institutions to help them understand the critical role they are playing in eradicating this heinous crime from our society. This new publication has left me hopeful for the future. When governments and the financial sector work together to fight crime, they get things done! Human trafficking is about greed – if we can disrupt money flows and inconvenience the criminals, they will stop destroying our loved ones’ lives for generations to come.”

“Since the inception of the BMO led partnership with FINTRAC in 2016, BMO along with our financial services partners, have valued the impact we can make by providing law enforcement with meaningful intelligence needed to detect human trafficking. The magnitude of social impacts from these crimes continues to have implications in our communities globally, and our Financial Intelligence Units remain focused and passionate in our efforts to share critical information that will reduce these crimes through Project Protect.”

“Human trafficking is a global problem that requires both domestic and international solutions. The RCMP supports the Government of Canada's National Strategy to Combat Human Trafficking and remains committed to addressing human trafficking in collaboration with federal, provincial and territorial governments and agencies, non-government organizations and law enforcement partners.”

Quick facts

Since the creation of Project Protect, FINTRAC has seen a 750% increase in suspicious transaction reporting related to money laundering associated with human trafficking in the sex trade.

With the reporting that it has received since the launch of Project Protect, FINTRAC has provided 979 disclosures of actionable financial intelligence to police and law enforcement agencies across Canada and internationally.

Based on FINTRAC’s analysis, the victims of this crime were nearly all females and 60% were under the age of 25, including some minors.

Building on the success of Project Protect, FINTRAC is participating in four additional public-private partnerships aimed a combatting money laundering related to: online child sexual exploitation ( Project Shadow ), trafficking of fentanyl ( Project Guardian ), romance fraud ( Project Chameleon ) and casino-related transactions through underground banking ( Project Athena ), subsequently transformed into a new permanent public-private partnership aimed at combatting money laundering and financial crime in British Columbia.

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