“If borders are not a barrier to criminals, they must not be a barrier to effective global criminal investigations either” – Derville Rowland, Director General, Financial Conduct

• Central Bank welcomes European Commission Anti-Money Laundering Action Plan
• Single supervisor will deliver a consistent application of the rules and eliminate gaps that can be exploited by criminals
• Coordination mechanism for financial intelligence units an important step

Director General, Financial Conduct, Derville Rowland spoke at the International Fraud Prevention Conference 2021 today (21 April 2021), where she provided an overview the role of the Central Bank in the fight against money laundering and the financing of terrorism.

Ms Rowland outlined the reasons why effective anti-money laundering (AML) and countering the financing of terrorism (CFT) frameworks are so important: “The laundering of the proceeds of crime is a key enabler of most serious and organised crime. Effective AML/CFT regimes are essential to protect the integrity of the global financial system. They are key to making the laundering of the proceeds of the crime more difficult, thereby limiting the ability of criminals to gain access to ‘legitimised’ criminal proceeds.”

In this context Ms Rowland welcomed the introduction of the European Commission Anti Money Laundering (AML) Action Plan, adding: “The Action Plan marks a move towards a more coordinated and cross-border focus on the fight against money-laundering and terrorist financing. The establishment of a single Supervisor for Anti-Money Laundering and Countering the Financing of Terrorism frameworks will deliver a consistent application of the rules and eliminate gaps that can be exploited by criminals.”

Among the key elements in the Action Plan is the proposal to create a coordination and support mechanism for financial intelligence units. “Given the global nature of the financial crime networks, any initiatives that will support cross-border co-operation and information sharing amongst law enforcement authorities is to be welcomed. If borders are not a barrier to criminals, they must not be a barrier to effective global criminal investigations either.”

On public and private collaboration, the Director General said: “No one agency, public or private, has the information or intelligence necessary to combat money laundering and terrorist financing. In order to be effective, public and private organisations alike require a legislative basis providing powers and necessary gateways to facilitate the sharing and use of intelligence and information.

“We can’t wipe out financial crime – any more than we can wipe out car theft, shop lifting or burglary. But what we can do, and hopefully what the Action Plan will enable us to do, is to become as effective as possible at greatly reducing its prevalence and impact.”

Notes to Editor
• Find out more about the International Fraud Prevention Conference 2021.
• On 7 May 2020, the European Commission adopted an action plan for a comprehensive Union policy on preventing money laundering and terrorism financing.
• The action plan builds on six pillars-
- Effective implementation of existing rules
- A single EU rulebook
- EU-level supervision
- A support and cooperation mechanism for financial intelligence units
- Better use of information to enforce criminal law
- A stronger EU in the world