The Cook Islands will step up its cooperation with the fight against financial crime in the Region, says Prime Minister Dr. Terepai Maoate. Committing Government to the regional efforts in Malaysia last week, Dr. Maoate said it was important for small jurisdictions like the Cook Islands to add its cooperative efforts to the Asia-Pacific Group on Money laundering (APG). "The fight against money laundering can only be strengthened with the combined efforts of the Region and the Cook Islands will play its part," the Prime Minister said from Kuala Lumpur last week.

The Cook Islands was formally admitted to the APG on the opening day of the organisation's fourth annual meeting in Malaysia, lifting the membership of the Sydney-based organisation to more than 20 countries. The Cook Islands joins other Pacific Islands countries Fiji, Samoa, and Vanuatu in the anti-money laundering body. Macau is also a new member of the group.

Dr. Maoate said it was important for the Cook Islands to express its commitment by participating actively in the initiatives of the APG and he was pleased that Government was fully supportive of meeting the requirements of the organisation. The Prime Minister is accompanied in Kuala Lumpur by Police Commissioner G. Pira Wichman and his Deputy Chief of Staff, Arthur Taripo.

The head of the APG Secretariat in Australia Rick McDonnell recently estimated that US$200 billion a year was laundered in the Asia-Pacific Region every year. The scale of financial crime placed greater importance on the need for regional cooperation and the APG was pleased with the progress and the level of effort displayed by the member countries.

The Prime Minister said Government would place more resources into the Offshore Financial Services area next financial year to allow the office to strengthen its capabilities in dealing with financial crime issues. Donor assistance from New Zealand has also been sought to strengthen local capacity.

Anti-money laundering legislation was enacted last August but the Cook Islands did not escape being placed on a blacklist of countries, which were deemed not to have adequate protective measures in place to combat money laundering activities. The Paris-based Financial Action Task Force (FATF) says that the Cook Islands has made good progress in instituting the necessary measures but that the country would need to demonstrate effectiveness under implementation of the law.

Dr. Maoate says Government will press ahead with strengthening the framework required to prevent financial crime, including setting up a financial intelligence unit. "Our responsibility will be demonstrated with the steps we take and the commitments we make, regionally and internationally," he said.