Cabinet Approves Changes to Proceeds of Crime Act and Money Laundering Regulations

Cabinet has approved changes to the Proceeds of Crime Act (POCA), and the Proceeds of Crime Money Laundering Prevention Regulations, to meet international requirements.

The changes were recommended by the Financial Action Task Force to address matters dealing with: suspicious and unusual transactions; rules governing reporting, documenting, supervision and regulation of designated non-financial businesses and professions; and non-face to face business transactions. Drafting instructions are to be issued to the Chief Parliamentary Counsel.

Making the announcement at the weekly Jamaica House Press briefing on Wednesday, April 17, Minister with responsibility for Information, Senator the Hon. Sandrea Falconer explained that the amendments provide for the forfeiture of the properties of persons found to have accumulated wealth through criminal means.

“It provides a more comprehensive and effective scheme for the forfeiture of the proceeds of crime and the prevention of money laundering,” she stated.

The changes will enhance the effectiveness of POCA locally, and meet the international requirements as set out by the Financial Action Task Force. Failure to comply may result in measures such as refusal by the Financial Action Task Force’s countries to conduct any business with Jamaica. These countries include the United States, the United Kingdom and other European Union countries, Canada and China.

At present, Jamaica is partially compliant, and must take additional steps to fall in line with international standards.

Amending the POCA is one such step.

The Financial Action Task Force is an inter-governmental body, which sets standards to combat money laundering, terrorist financing and other related threats to the integrity of the international financial system.Jamaica is a member of the Caribbean Financial Action Task Force.

POCA repealed and replaced the Drug Offences Forfeiture of Proceeds and the Money Laundering Acts in 2007.

By Alphea Saunders, JIS Reporter