Gov’t Committed To Strengthening Jamaica’s Financial System – Senator Johnson Smith

Minister of Foreign Affairs and Foreign Trade, Senator Hon. Kamina Johnson Smith, says the Government is committed to strengthening the country’s financial system and framework against illicit activities and financial crimes.

She made the declaration in the Senate on Friday (Feb. 6), as members approved the Financial Investigations Division (Amendment) Act, which will empower the Financial Investigations Division (FID) to share intelligence more effectively with public bodies in Jamaica as well as international financial intelligence departments or associations of such departments.

The legislation was passed without amendment.

“This Bill is an important amendment… which seeks to ensure that FID exchanges information with its regulatory and investigative counterparts in an independent manner; that it is empowered so to do, such that it can carry out investigations while at the same time, ensuring that proper protocols and accountability remain in place for disclosures and treatment of such information,” Senator Johnson Smith said.

Outlining aspects of the legislation, she explained that it removes the requirement for approval by the Minister before the FID can enter a Memorandum of Understanding (MOU) or other arrangements ,thus ensuring operational independence.

“In order to ensure accountability, provisions in subsection four also stipulate that any such MOU or other arrangement entered into by the FID, must be done in accordance with the Constitution of Jamaica, the laws of Jamaica and Government policy.

“Policy, of course, will include anti-money laundering, counter terrorist financing, counter proliferation financing, secrecies, cyber security, data protection,” she said,  noting that it also includes “those referencing mutual assistance on criminal matters, sharing of forfeited property and timeframe for retention of information.”

Senator Johnson Smith, who is Leader of Government Business in the Upper House, said that the legislation is critical in ensuring that the FID continues to be eligible for membership in the Egmont Group and complies with the standards of the Financial Action Task Force (FATF) “thus ensuring that our rating, specifically as it relates to recommendation 40, which addresses international cooperation, is one in which we make continued progress on.”

The Egmont Group,  which the FID was admitted into membership in 2014, facilitates international collaboration and cooperation between financial intelligence units.

Senator Johnson Smith said that the amendment is also pertinent to Jamaica’s preparations for the fifth round of the FATF mutual evaluation, particularly in the area of international cooperation. She noted that this is expected later this year.

The Financial Investigations Division (Amendment) Act was passed in the House of Representatives on January 20.